retirement annuity
When leaving employment, many are tempted to cash in their pension or provident fund benefits. However, any withdrawals made from your long-term investments interrupt the process of compounding and effectively re-sets your wealth creation.
The financial and emotional complexities of modern-day blended and extended families can be exacerbated by ineffective estate planning and lack of communication. In many instances, the legacy that loved ones are expecting and what is actually bequeathed in terms of
Retirement planning is a comprehensive process that addresses the financial, logistical, emotional, social, and psychological aspects of your retirement. Start planning at least five years before your intended retirement date to work with your financial planner on strategies to ease
According to the South African Journal of Psychiatry, the prevalence of dementia is approximately 5% to 7% of the elderly population, starting at around 1% for those aged 60. Thereafter, the prevalence doubles every 5.1 years, rising to between 30%
Endowments are taxed at a fixed rate of 30% in the hands of the life company, making them more tax-efficient than unit trust investments for higher tax brackets. They also facilitate estate planning by allowing investors to nominate beneficiaries, ensuring
Upon marriage or entering into a long-term relationship, it is essential to reassess your life cover needs to reflect your new circumstances. If you and your spouse have acquired a home, your life cover should ideally match the value of
When a member leaves their employment, they have the option to leave the accumulated capital in the employer’s default investment strategy until retirement. The member also has the option of transferring the funds on a tax-neutral basis to a retirement
Endowments also offer tax benefits to investors with a marginal tax rate of more than 30% as they effectively reduce the tax payable on investment growth. However, they require a minimum investment term of five years, allowing for one withdrawal
Preservation funds are excellent for housing and preserving the proceeds of a pension or provident fund when someone is retrenched, dismissed, or resigns. Upon leaving employment, you can transfer your retirement fund capital tax-free into a preservation fund, where investment
Avoid relying on your spouse to fund for your retirement. Investing towards a comfortable retirement requires careful planning, time, and a commitment to regular saving – and relying on one person to save sufficiently for two people’s retirement can be
