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Medical aid

Medical scheme fees tax credits

A medical scheme contribution can qualify for a monthly tax credit. A health-insurance premium is not automatically the same contribution.

Reviewed 29 October 2026 by the WiT Money editorial team. This is general information, not a recommendation from a named adviser.

Key points

  • For the 2027 year of assessment the tax file uses R376 a month for each of the first two people and R254 for each person after that.
  • Those amounts were checked against SARS on 28 October 2026.
  • The additional medical expenses tax credit is a separate calculation and is not done here.

The medical scheme fees tax credit reduces the tax you pay. It is a credit, not a deduction of the whole contribution. In the 2027 year of assessment, from 1 March 2026 to 28 February 2027, the amounts stored for the calculators are R376 a month for the main member and the first dependant, and R254 a month for each further dependant. Two people are R752 a month, or R9 024 for the year.

The credit follows registered medical scheme membership. A health-insurance premium is not entered as a scheme contribution. Gap cover is insurance as well. If your payroll already applies the credit, do not claim it twice.

What is left out

Out-of-pocket expenses can qualify for an additional medical expenses tax credit under a different formula, with a threshold for people under 65. That formula is not in the calculator. Qualifying expenses, the disability rules and the threshold need a return, not a rough monthly premium.

Questions readers ask

Does a more expensive option give a bigger credit?

The fees tax credit depends on the number of people on the scheme, not on how large the contribution is. A more expensive option may still be the right cover. The credit is not the reason to choose it.

Related

Sources

Page updated 29 October 2026. A source date is the day WiT Money checked that page, not a promise the institution has not changed it since.