Means testing

This letter was published in The New Paper on 5 Mar 2008, p24.
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I was not sure previously what means testing meant, but I must comment that Mr Khaw Boon Wan's method of assessing the amount of subsidy a patient receives for Class B2 & C wards is a breath of fresh air. He has done away with the rigid system used so widely in our Government and introduced what can only be described as a fairer and more flexible system. Instead of one inflexible income ceiling, there are now as many as 16 different stages spanning $2000 in average monthly income, each with a difference in subsidy of only 1%. If everyone was to follow suit, we may never see the words 'falling in the gap' any more in The New Paper's human-interest sob stories.

For example, for the C Class wards, a family earning $3200 and below gets an 80% subsidy. Previously, it would not be uncommon for someone to earn, say, $3300/month and fall in the gap completely, getting no subsidy at all. This practice forced people to desperate measures like asking their employers to pay them less just to meet the income requirements. As we speak, come couples applying to buy new flats are caught in this conundrum, earning just above $8000 and qualifying only for resale flats. With this new means testing system, it is hoped that such borderline cases will be dealt with greater mathematical sympathy and flexibility. The more exhaustive the range, the fewer unfortunate borderline cases there will be.

Now if only the other ministries could follow MOH's lead and correct their inflexible systems to better cater to the needs of Singaporeans. Knowing our Government, they'll probably adopt a prudent wait-and-see attitude. May I stick my neck out and say they should start developing them immediately: Mr Khaw's means testing looks every bit a winner.
Reference: The New Paper, 4 Mar 2008, p10-11