Medical aid tax credits: what your family gets back in 2026/27
A family of three on medical aid gets R12 072 a year off its tax in 2026/27 - and out-of-pocket medical costs can add more once they pass 7.5% of income.
In 30 seconds
- R376 a month each for you and your first dependant, R254 for each extra one - up from R364 and R246.
- It comes straight off your tax: R9 024 a year for you and one dependant, worth the same whatever you earn.
- Out-of-pocket costs can earn a second credit of 25% once they pass 7.5% of taxable income (under 65) - keep the receipts.
The medical scheme fees tax credit
If you pay medical aid contributions, SARS reduces your tax by a fixed amount for each person covered (SARS - Medical tax credit rates):
| Covered | Credit a month | Credit a year |
|---|---|---|
| You (main member) | R376 | R4 512 |
| You + 1 dependant | R752 | R9 024 |
| You + 2 dependants | R1 006 | R12 072 |
| Each further dependant | +R254 | +R3 048 |
Employees usually get it through PAYE each month if they pay through the payroll. If you pay your scheme privately, you claim it on your tax return.
The additional medical expenses credit
For a taxpayer under 65 with no disability in the family, SARS adds (SARS - Additional medical expenses tax credit):
- contributions above 4 times the scheme fees credit, plus
- qualifying medical costs you paid yourself, minus
- 7.5% of your taxable income -
and gives you 25% of whatever is left. At 65 or older, or with a disability in the family, the rule is more generous: 33.3% of fees above 3 times the credit plus 33.3% of out-of-pocket costs, with no 7.5% threshold.
What to keep for your return
- Your scheme's tax certificate - it lists contributions and what the scheme did not pay.
- Receipts for costs you paid yourself: co-payments, specialists, prescribed medicine, and costs above your scheme's tariff.
- Check that the right person claims. The credit goes to whoever pays the contributions.
The 2025/26 amounts (R364 and R246) are given for comparison from our own record of the previous tables; the 2026/27 SARS page we checked shows only the new amounts.
How MaxWealth helps
The MaxWealth income tax tool works out both medical credits step by step on your own salary, age, dependants and contributions, next to your PAYE and take-home pay for 2026/27. You can try it as a guest, without signing up.
Sources
- R376 / R752 / R254 a month for the 2027 tax year: SARS - Medical tax credit rates; SARS - Budget 2026 FAQ (checked 15 Oct 2026).
- Additional credit formula (25%, 4x, 7.5%; 33.3%, 3x for 65+ or disability): SARS - Additional medical expenses tax credit.
- Credit amounts: our own calculation, shown in the calculator above.
Education, not financial advice. This post explains how the rules and the arithmetic work. It does not recommend any financial product, and your own situation may differ - speak to a registered financial adviser or tax practitioner before you act. Figures were checked against the linked sources on the date above.