Maya Fisher-French

CityPress - - Business -

Af­ter re­al­is­ing we would pay R1 500 less per month on our pre­mi­ums if we se­lected a med­i­cal scheme op­tion that did not cover my son’s R900-per-month chronic med­i­ca­tion, it was a no-brainer to make the change.

On that cal­cu­la­tion alone, we save around R600 per month.

How­ever, we also face the chal­lenge that each year we run out of funds by about July – and that was when my son’s med­i­ca­tion came out of the chronic cover and not out of our day-to-day sav­ings. If we used our day-to-day sav­ings to cover his med­i­ca­tion, we would run out even sooner.

So, we have im­ple­mented a dual strat­egy of sav­ings and re­wards to make our med­i­cal sav­ings funds last the whole year.

SUPPLEMENTING MED­I­CAL SAV­INGS

We have taken R1 000 of our premium sav­ing and added that to a sep­a­rate med­i­cal sav­ings ac­count. As Mo­men­tum is our med­i­cal scheme provider, we are us­ing the Mo­men­tum HealthSaver ac­count that earns in­ter­est and that we can use for any healthre­lated ex­penses.

If your scheme does not of­fer such a prod­uct, then you can open a sav­ings ac­count linked to your bank ac­count that is ear­marked for med­i­cal ex­penses.

US­ING RE­WARDS

By us­ing our re­ward pro­grammes, we can earn an ad­di­tional R11 940 per year to fund med­i­cal costs.

We have signed up with the med­i­cal scheme re­ward pro­gramme.

Mul­ti­ply Premier costs us R265 per month for the whole fam­ily, but be­cause my hus­band and I are ac­tive, we can eas­ily earn up to a to­tal of R1 200 per month back in cash, which is paid straight into our HealthSaver ac­count. We each earned R600 at the end of Jan­uary by hav­ing had 16 ac­tive days.

This means each time I go for a run, I earn R40. Af­ter de­duct­ing the monthly sub­scrip­tion fee, we still earn a net R935 per month that we can put to­wards cov­er­ing med­i­cal ex­penses.

Our Clicks re­wards also go to cov­er­ing medicine costs. We re­ceive cash-back points when we shop at Clicks, as well as ad­di­tional points when we fill up at a Shell garage.

Be­tween Clicks and Shell we earn around R60 in cash back each month – or R720 in a year.

Based on this strat­egy, we will be spend­ing R235 less per month than we did last year. The dif­fer­ence is that the funds will last the whole year and we shouldn’t ex­pe­ri­ence any out-the-pocket ex­penses.

We may even find that the re­ward pro­grammes are suf­fi­cient to cover our med­i­cal ex­penses with­out supplementing with ad­di­tional sav­ings, but those ad­di­tional sav­ings are good to build up for any un­cov­ered emer­gen­cies or to cover fu­ture health-cost in­creases.

Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.