Lifestyle Financial Planning
As legislation currently stands, you can invest a maximum of R36 000 per year towards tax-free savings with a lifetime contribution maximum of R500 000 which, while not sufficient as a retirement funding vehicle, can be used to supplement one’s
Despite what many investors believe, there is no correlation between investment fees and returns, so don’t fall into the trap of thinking that by paying more, you’re guaranteed higher rates of return.
Once you’ve maximised your retirement fund contributions, consider enhancing your long-term savings by investing through a tax-free savings account (TFSA). Or, if you already have a TFSA in place, consider maximising your annual allowable contributions.
If you have a large portion of your accumulated wealth invested in your business, then it is important to consider what will happen to your business interests in the event of your death. It is likely that you intend for
Contributions to approved retirement funds are tax deductible up to a limit of 27.5% of taxable income, capped at an annual limit of R350 000, but this does not mean that you can’t contribute more without still reaping tax benefits.
Key to the validity of a trust is that the trust founder relinquishes full control of the assets transferred to the trust. It must be clear that the trust founder hands over control of the assets to his nominated trustees
Trying to guess how long you will live is a dangerous game to play when developing your retirement plan, and our advice is to develop a range of retirement scenarios using varying longevity assumptions so that you have a clear
Tax planning is an important part of your overall estate plan, and it’s important to factor in the various taxes that your estate may be liable for. Keep in mind that your death will trigger a capital gain meaning that,
Investors are permitted to take out as many retirement annuities as they like. However, the tax benefit is calculated in aggregate and not in respect of each retirement annuity. Similarly, the tax-free portion at retirement may only be claimed once.
Probate is a procedure whereby your South African-drafted Will is approved by the foreign legal authority as valid so that your foreign assets can be administered, although keep in mind that obtaining a probate order may delay the winding up
