Medical Aid Increase

2015 Payroll Medical Aid Increase

One of the areas of Tax and Sage Pastel Payroll administration which Sage Pastel Payroll clients tend to neglect is that of Medical Aid Contribution inconsistencies.

As many of us already know, Medical Aid Contributions for most open Medical Aid Schemes increase in January of each year.

As this affects the income of the employees and expenses for the employer, there can be dire effects if this is not updated on the Sage Pastel Payroll administration system.

Some of the negative effects of not updating your Sage Pastel Payroll system include:

  • Incorrect PAYE, UIF and SDL
    • EMP201 Correctives
    • Penalties and Interest
    • SARS Payment Allocation issues (You know what we’re talking about)
  • Non Balancing Sage Pastel Payroll Journal to Expenses.
  • Reporting Reconciliation issues
  • Under taxation of employees
  • Incorrect IRP5’s
  • Corrective Retrospective Transactions and entries for Year to Date contribution adjustments.

For those who like trend analysis and comparisons, here is the average medical aid contribution increases for 2015:

Medical Aid SchemeIncrease Percentage
Genesis Medical Scheme6.4%
Momentum Health7.2%
Spectramed Medical Scheme7.53%
Compcare Wellness Medical Scheme7.7%
Bestmed Medical Scheme8.7%
Discovery Health Medical Scheme8.9%
Fedhealth Medical Scheme8.9%
Sizwe Medical Fund8.9%
Keyhealth8.9%
Hosmed Medical Aid Scheme 9.1%
Medshield Medical Scheme9.4%
Liberty Medical Scheme9.5%
Medihelp10.1%
Bonitas Medical Fund10.6%

 

Let this be a friendly yet urgent reminder to update your relevant medical aid contributions in your Sage Pastel Partner Payroll account.

Remember, if you need assistance, please contact Francois for immediate support.

francois@e2e.co.za

About the Author

fraswa – who has written posts on End 2 End Business Solutions.


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