Could you save money on tax?

If you're earning $93K+ as a single or $186K+ as a couple/family, you could save money on tax with hospital cover. Use our Medicare Levy Surcharge Calculator to find out more.

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What is the Medicare Levy?

Currently, everyone chips into the Australian public healthcare system, Medicare. Most taxpayers contribute 2% of their taxable income, unless they earn under a certain amount, in which case they don’t need to pay anything at all. This is referred to as the Medicare Levy.

In addition to the Medicare Levy, some taxpayers also need to pay a Medicare Levy Surcharge (MLS), a government scheme designed to help take the burden off the public system.

When does the Medicare Levy Surcharge apply?

The Medicare Levy Surcharge applies if your annual income is over $93,000 as a single (or $186,000 as a single parent/couple/family) and you or any of your dependants# don't hold an appropriate level of hospital cover. It starts at 1% and increases (up to 1.5%) depending on your annual income#. The family income threshold for single parents, couples and families is increased by $1,500 for each MLS dependant child after the first child.

However, if you and all your dependants# take out Medibank hospital cover and hold it for the full tax year, you may not have to pay the Medicare Levy Surcharge. Plus you can enjoy knowing that your health is in good hands.

How much extra tax could you pay without hospital cover?

Nice one! Looks like you don’t have to pay the Medicare Levy Surcharge.

This calculation is a guide only. For a more detailed quote of what you might pay we recommend speaking to a financial advisor who will be able to take into account your income and personal situation.

Why not invest that money in your health

Medibank Basic Plus Healthy Start

from
/ year

This is our starter hospital cover

  • Cover for things like Joint reconstructions and dental surgery
  • Accidental injury benefit
  • Unlimited Emergency Ambulance^

Medibank Bronze Plus Progress

from
/ year

Invest a little more to get more cover

All the inclusions of Medibank Basic Plus Healthy Start plus the following.

  • Chemotherapy, radiotherapy and immunotherapy for cancer
  • Colonoscopy
  • Bone, joint and muscle

Medibank Bronze Plus Progress

from
/ year

Invest a little more to get more cover

All the inclusions of Medibank Basic Plus Healthy Start plus the following.

  • Chemotherapy, radiotherapy and immunotherapy for cancer
  • Colonoscopy
  • Bone, joint and muscle

Medibank Silver Plus Support

from
/ year

Invest more to get more cover

All the inclusions of Medibank Bronze Plus Progress plus the following.

  • Broader range of services
  • Heart and vascular system
  • Plastic and reconstructive surgery (medically necessary)

Still not convinced?

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Unlimited Emergency Ambulance

No matter which hospital policy you choose, you’ll have the peace of mind that comes from knowing that your cover includes unlimited emergency ambulance.²

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Accident Cover Boost

Medibank members with hospital cover are eligible for benefits of gold level cover if they have an Accident in Australia after joining, thanks to our Accidental Injury Benefit.¹

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24/7 Nurse and Mental Health Phone Support

Eligible members with hospital cover can talk to a qualified nurse or mental health professional over the phone, 24 hours a day, 7 days a week, at no extra cost.³

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One of the largest health provider networks in Australia

We’ll help you make the most of your cover, with access to more than 470 Members’ Choice hospitals and more than 17,000 Members’ Choice extras provider locations.

Enquire today, the numbers add up

We can recommend more covers based on what you selected.

Things you should know 

# 'Income’ and 'dependants' for Medicare Levy Surcharge purposes only.

*Price is for Singles cover in NSW paying by direct debit and includes an Australian Government Rebate of 24.608% with a 0% Lifetime Health Cover Loading and $750 excess (unless otherwise stated). ‘Income’ for Medicare Levy Surcharge purposes. Waiting period and annual limits may apply.

^Tasmania and Queensland have State schemes that cover ambulance services for residents of those States.

¹ For Accidents that occur in Australia after your cover starts.  Must seek medical treatment within 7 days, and receive hospital treatment within 12 months, of the Accident occurring.  Excludes claims covered by third parties and our Private Room Promise. Out-of-pocket expenses may apply.  

² Waiting periods apply. For ambulance attendance or transportation to a hospital where immediate medical attention is required and your condition is such that you couldn't be transported any other way. Tas and Qld have State schemes that provide ambulance servies for residents of those States. 

³ 24/7 Medibank Nurse and Mental Health phone support is available to all eligible Medibank members who hold hospital cover. OSHC members should call the Student Health & Support Line on 1800 887 283