Insights categories - Retirement

Retirement

Our best advice when it comes to saving for retirement is to start saving early, add to your investment whenever you can afford to, and avoid dipping into your retirement savings when you change jobs. In addition, remember, your investment journey doesn’t end when you reach retirement, it merely shifts a gear. Here we discuss these themes, as well as other topical subjects in the retirement savings arena.

Articles in "Retirement"

Insights categories - Retirement

Part 1 (updated): Challenges and opportunities with South Africa’s retirement fund system

By Richard Carter on 28 Feb 2024

Reading time: 6 mins

While the South African retirement fund system faces its fair share of challenges, there are opportunities to harness and improve retirement outcomes for Sou...

Insights categories - Retirement

Part 2 (updated): The two-pot system – what we know for now

By Jaya Leibowitz on 28 Feb 2024

Reading time: 6 mins

There has been a lot of noise in the past few months about the changes that are being made to the South African retirement system. In part 2 of our Two-pot...

Insights categories - Retirement

Part 3 (updated): The two-pot system and your savings withdrawal benefit

By Jaya Leibowitz on 28 Feb 2024

Reading time: 8 mins

In part 3 of our Two-pot chapter, Jaya Leibowitz reminds us not to lose sight of the importance of preserving retirement savings, and cautions investors...

Insights categories - Retirement

Questions to ponder when choosing an umbrella fund

By Andrew Reid on 18 Jan 2024

Reading time: 6 mins

With the ability to leverage economies of scale to provide a cost-effective offering, umbrella funds have the potential to significantly transform the countr...

Insights categories - Retirement

Offshore toolkit part 2: Unpacking South African tax obligations for non-resident living annuitants

By Ebrahim Southgate on 20 Oct 2023

Reading time: 7 mins

South African legislation specifically prohibits the transfer of living annuities to other financial service providers abroad. Therefore, South Africans who...

Insights categories - Retirement

How to choose the right default option for a retirement fund

By Shaheed Mohamed on 19 Oct 2023

Reading time: 7 mins

A well-designed default investment strategy should strike an appropriate balance between risk and return. Shaheed Mohamed, head of Group Savings and...

Insights categories - Retirement

Retirement annuities still work

By Earl Van Zyl and Tiaan van Wijk on 31 Jul 2023

Reading time: 10 mins

Planning well for retirement is essential to ensure your long-term financial well-being. One key aspect of retirement planning is choosing the product, or...

Insights categories - Retirement

A focus on the regulatory aspects and challenges of the two-pot system

By Richard Carter on 01 Mar 2023

Reading time: 6 mins

During the recent Budget speech, the Minister of Finance confirmed the intended launch date of 1 March 2024 for the two-pot retirement system. With 12 months...

Insights categories - Retirement

Making sense of the proposed two-pot retirement system

By Richard Carter on 27 Oct 2022

Reading time: 11 mins

In February 2021, the National Treasury announced its intention to amend the retirement fund system in South Africa with the dual aim of creating limited...

Insights categories - Retirement

Podcast: Are better outcomes for retirement savers on the horizon?

By Mica Townsend on 26 Oct 2022

Listening time: 36 mins

Allan Gray’s head of Assurance, Richard Carter, joins Umbrella Fund specialist Mica Townsend to discuss the challenges with the current system, the...

Insights categories - Retirement

Five ways employers can help employees prepare for a better retirement

By Mica Townsend on 07 Jul 2022

Reading time: 11 mins

Employers can play a meaningful role in helping their workforce maximise their retirement savings outcomes. Mica Townsend, Group Savings and Investments...

Insights categories - Retirement

Navigating a changing retirement savings system

By Richard Carter on 10 Mar 2022

Viewing time: 1 min

The finer detail may remain unclear for the moment, but National Treasury’s proposed retirement reforms have largely been welcomed by the retirement savings...

Insights categories - Retirement

Great news for retirement savers as offshore limits increased to 45%

By Earl Van Zyl on 02 Mar 2022

Reading time: 2 mins

Following announcements in the recent Budget speech, the South African Reserve Bank (SARB) has confirmed that the offshore investment limits for all investme...

Insights categories - Retirement

Could you survive on less than a third of your income in retirement?

By Twanji Kalula on 27 Jan 2022

Reading time: 12 mins

Despite taking steps to save, millions of South Africans are at risk of having to make significant lifestyle-related downgrades when they are no longer...

Insights categories - Retirement

How to make investing for retirement feel less like a sacrifice

By Thandi Skade on 11 Oct 2021

Reading time: 7 mins

With all the financial demands of present-day life, it can be difficult to stay focused on investing for our longer-term financial goals. Balancing the...

Insights categories - Retirement

PART 10: Retiring? The five most important decisions to ensure your income lasts

By Nazia Kahlon on 30 Mar 2021

Reading time: 6 mins

Planning is essential to ensure your retirement money lasts as long as you do.

Insights categories - Retirement

PART 9: When can I retire? Some questions to ask before you hang up your boots

By Nazia Kahlon on 30 Mar 2021

Reading time: 5 mins

Important questions to ask before you decide to retire.

Insights categories - Retirement

PART 8: What can I do if I don’t have enough money to retire?

By Nazia Kahlon on 30 Mar 2021

Reading time: 6 mins

Nine tips to help you increase your retirement savings pot.

Insights categories - Retirement

PART 7: How much is enough when saving for retirement?

By Nazia Kahlon on 30 Mar 2021

Reading time: 4 mins

You should aim for a retirement income of 75% of your final salary. Here’s why…

Insights categories - Retirement

PART 6: How do retirement products work?

By Nazia Kahlon on 30 Mar 2021

Reading time: 3 mins

It is important to understand how your retirement product works and for retirement annuities this means understanding what the underlying unit trusts invest...

Insights categories - Retirement

PART 5: What's the difference between retirement products?

By Nazia Kahlon on 30 Mar 2021

Reading time: 6 mins

Official retirement products have great tax benefits but come with some restrictions. Understand your options before you commit.

Insights categories - Retirement

PART 4: How to save for retirement: Tips to get you started

By Nazia Kahlon on 30 Mar 2021

Reading time: 6 mins

Some simple steps to follow to get your retirement savings started.

Insights categories - Retirement

PART 3: When to start saving for retirement

By Nazia Kahlon on 30 Mar 2021

Reading time: 3 mins

The accepted wisdom is that you need to start saving for retirement as soon as you are employed, but if you are late it is worthwhile to start as soon as...

Insights categories - Retirement

PART 2: Why saving for retirement makes sense

By Nazia Kahlon on 30 Mar 2021

Reading time: 5 mins

Starting your retirement savings is as much a mental battle as it is a financial one. Read up on how your excuses may be holding you back.

Insights categories - Retirement

PART 1: Why save for retirement?

By Nazia Kahlon on 30 Mar 2021

Reading time: 5 mins

Step into the shoes of the future you to find out why you should save for retirement.

Insights categories - Retirement

Key questions to help you prepare for your retirement

By Daniel van Andel on 26 Mar 2021

Viewing time: 41 mins

Although we all have different circumstances, our objectives in retirement are often similar. We want the income we receive to be sustainable for life and to...

Insights categories - Retirement

Upcoming changes to provident and provident preservation funds

By Shaun Duddy on 27 Jan 2021

Reading time: 11 mins

The Taxation Laws Amendment Act includes changes to the legislation that governs provident and provident preservation funds that will come into effect on 1...

Insights categories - Retirement

Changes to provident and provident preservation funds: What will they mean for members?

By Shaun Duddy on 15 Dec 2020

Reading time: 8 mins

The latest Taxation Laws Amendment Bill includes changes to the laws that govern provident and provident preservation funds that will come into effect from 1...

Insights categories - Retirement

Divorce and your retirement savings

By Lebona Khabo on 24 Nov 2020

Reading time: 10 mins

Divorce can be a traumatic and life-altering experience with wide-ranging social and financial implications. Lebona Khabo discusses entitlement when it comes...

Insights categories - Retirement

Will prescribed assets be used as a policy tool?

By Sandy McGregor on 24 Aug 2020

Reading time: 7 mins

Reports that the government plans to compel pension funds to invest in state assets and projects have understandably caused alarm among investors, spurring...

Insights categories - Retirement

How to manage your living annuity in uncertain times

By Shaun Duddy on 17 Jun 2020

Reading time: 8 mins

Presenting via Zoom webinar, Shaun Duddy discusses the “Rule Book” for managing your living annuity over the long term and interrogates whether these rules...

Insights categories - Retirement

Managing your living annuity in an uncertain world

By Earl Van Zyl on 02 Jun 2020

Reading time: 11 mins

In response to the dramatic impact that measures to contain COVID-19 have had on asset prices, National Treasury has announced temporary changes to living...

Insights categories - Retirement

What happens to your retirement savings if your company shuts its doors?

By Saleem Sonday on 09 Apr 2020

Reading time: 6 mins

What are employees’ rights and responsibilities when it comes to retirement savings if a company faces closure during the COVID-19 pandemic?

Insights categories - Retirement

How to save for retirement when you work for yourself

By Ray Mhere on 12 Nov 2019

Viewing time: 1 min

Driven by the desire for greater flexibility, and improvements in technology, many skilled workers are turning to the gig economy to earn a living. Working...

Insights categories - Retirement

How your retirement fund benefits are allocated when you die

By Sonja Smit on 28 Oct 2019

Reading time: 8 mins

The process behind retirement fund death claims is challenging to understand and complex to execute. Sonja Smit discusses how to be better informed as a...

Insights categories - Retirement

How to bring conversations about saving out of the closet

By Saleem Sonday on 16 Aug 2019

Reading time: 5 mins

Talking about finances at work can seem like a taboo subject, especially given that conversations about salaries, bonuses or saving for retirement usually ta...

Insights categories - Retirement

How often should employers review their umbrella fund provider?

By Nazia Kahlon on 08 Aug 2019

Reading time: 4 mins

The 2019 Sanlam Benchmark Survey found that one-third of employers using umbrella funds have never reviewed their provider, while less than half of responden...

Insights categories - Retirement

Retirement planning in reality

By Leaveil Des Fountain on 24 Jul 2019

Reading time: 9 mins

To truly break the cycle of poverty and start creating generational wealth, young working professionals need to prioritise saving for retirement. Leaveil Des...

Insights categories - Retirement

Planning for retirement in the gig economy

By Tamryn Lamb on 21 Jun 2019

Reading time: 9 mins

Millennials are revolutionising the way we work as they embrace the flexibility and independence of the gig economy, but what does this mean for their...

Insights categories - Retirement

The ultimate human race

By Belinda Carbutt on 31 May 2019

Reading time: 7 mins

As investors there is a lot we can learn from marathon runners that can assist us with our own “ultimate human race” – the challenge of retiring financially...

Insights categories - Retirement

How to prevent a financial day zero

By Belinda Carbutt on 12 Nov 2018

Reading time: 6 mins

Over the past year, Western Cape residents have had to envisage a future without running water and adapt their lifestyles accordingly. They have rallied...

Insights categories - Retirement

How to make your retirement savings last: Common myths debunked

By Shaun Duddy on 01 Jun 2018

Reading time: 4 mins

There are many risks that need to be overcome to ensure that retirement savings last, says Shaun Duddy, including longevity, inflation and investment risk. I...

Insights categories - Retirement

Umbrella funds can help attract millennial talent

By Saleem Sonday on 16 Mar 2018

Reading time: 3 mins

Millennials are redefining the working environment, placing a bigger emphasis on tech and innovation, flexibility and rewards that aren’t only about...

Insights categories - Retirement

Top up your umbrella fund now to maximise your annual tax benefits

By Saleem Sonday on 16 Feb 2018

Reading time: 2 mins

With the end of the tax year fast approaching, investors who are saving for retirement through their employer’s umbrella fund have until 28 February...

Insights categories - Retirement

How to achieve a sustainable retirement income

By Shaun Duddy on 23 Nov 2017

Reading time: 8 mins

Shaun Duddy discusses how to meet and manage risks while drawing a stable income in retirement. He explains why investing at least 50% in growth assets is a...

Insights categories - Retirement

Retiring or withdrawing? Think carefully before sending us the form

By Carrie Norden on 05 Sep 2017

Reading time: 5 mins

After a lifetime of work retirement is often a welcome change of pace, but many people rush into a decision to retire or withdraw from their retirement fund....

Insights categories - Retirement

The trick to retiring with enough

By Thandi Ngwane on 20 Jul 2017

Reading time: 6 mins

We are often asked by clients and prospective clients what the magic trick is that can turn a portion of your income into a comfortable retirement. It is har...

Insights categories - Retirement

How do I know I’m on track with my retirement savings?

By Jeanette Marais on 03 Jul 2017

Viewing time: 1 min

It is important to have a goal when you are saving for retirement. Studies show that you need 17 times your final pre-tax salary...

Insights categories - Retirement

Introducing the Allan Gray Umbrella Retirement Fund

By Nazia Kahlon on 29 Jun 2017

Viewing time: 1 min

Over the last four years, the market share of commercial umbrella funds has increased by 70%, at the expense of standalone employer funds...

Insights categories - Retirement

Introducing the Allan Gray Umbrella Retirement Fund 2017

By Nazia Kahlon and Saleem Sonday on 31 Mar 2017

Reading time: 11 mins

Group savings should be an extremely efficient way to prepare for a comfortable retirement. Nazia Suleman and Saleem Sonday discuss how Allan Gray plans to...

Insights categories - Retirement

What are the tax benefits of contributing to a retirement annuity?

By Carrie Norden on 08 Feb 2017

Reading time: 6 mins

The South African Revenue Service (SARS) wants to help you pay for your retirement. The way in which they do this is by offering generous tax deductions when...

Insights categories - Retirement

How to save for a comfortable retirement

By Wanita Isaacs on 31 Mar 2016

Reading time: 7 mins

How much is enough to save for a comfortable retirement? Wanita Isaacs unpacks the concepts of ‘enough’ and ‘comfortable’ in the context of this distant,...

Insights categories - Retirement

What you need to know about the retirement fund changes

By Richard Carter on 25 Feb 2016

Reading time: 4 mins

National Treasury is making changes to retirement legislation to encourage investors to save more for their retirement and to improve the alignment between t...

Insights categories - Retirement

Welcome amendments to retirement reform

By Richard Carter on 03 Feb 2016

Reading time: 3 mins

The retirement reform amendments contained in the Taxation Laws Amendment Bill, which will come into effect on 1 March 2016, are a positive step by Treasury ...

Insights categories - Retirement

More for the future you, less for the tax man

By Carla Rossouw on 14 Jan 2016

Reading time: 4 mins

The tides are changing in the retirement savings space, with National Treasury encouraging us to save more for retirement by significantly increasing the tax...

Insights categories - Retirement

Empower your staff with a Group RA

By Belinda Carbutt on 15 Dec 2015

Reading time: 5 mins

Employers who illustrate to their staff that they care about their futures by providing them with retirement savings solution, along with investor education,...

Insights categories - Retirement

Life in a month

By Chris Tisdall on 01 Jul 2015

Reading time: 5 mins

July has been designated ‘Savings Month’ by the Savings Institute of South Africa. It is a good time to reflect on the choice we make between saving and...

Insights categories - Retirement

Delays to retirement reform shouldn't mean delays to your retirement savings

By Richard Carter on 31 Mar 2015

Reading time: 9 mins

In Quarterly Commentary 1, 2013 we wrote about retirement reform, discussing how the changes would affect existing and potential retirement fund members. Fas...

Insights categories - Retirement

Convert part of your tax bill into retirement savings

By Carla Rossouw on 18 Feb 2015

Reading time: 3 mins

While the long-term benefit of saving for a secure retirement may be obvious, investors may not appreciate the extra tax boost available from saving in an...

Insights categories - Retirement

Regulatory update: Get up to speed before year-end

By Richard Carter on 02 Dec 2014

Reading time: 5 mins

There is a lot going on in the regulatory space. Between retirement reform, on the one hand, and the so-called ‘Twin peaks’ model of financial regulation on...

Insights categories - Retirement

How to ensure your retirement income goes the distance

By Michael Summerton on 30 Jun 2014

Reading time: 9 mins

It is only a number of years into retirement that the consequences of decisions made early on begin to show. If you are nearing retirement , or you are in...

Insights categories - Retirement

Retirement fund withdrawals and tax

By Carla Rossouw on 06 May 2014

Reading time: 4 mins

The 2014 National Budget introduced changes to the retirement tax table. From 1 March 2014, the tax-free amount members and beneficiaries can take as a lump...

Insights categories - Retirement

Consider your lifestyle inflation when saving for retirement

By Shaun Duddy on 25 Feb 2014

Reading time: 5 mins

While most investors seem to understand the need to contribute consistently to their retirement funds, and to start saving as early as possible, many investo...

Insights categories - Retirement

Group retirement annuities bolstered by retirement reform

By Gerhard Klinger and Debbie Ryan on 31 Mar 2013

Reading time: 6 mins

You should not let the current uncertainty around retirement reform inhibit your willingness to save for your retirement; it is very difficult to make up for...

Insights categories - Retirement

Retirement reform: How will the changes affect you?

By Richard Carter on 31 Mar 2013

Reading time: 7 mins

With a very small percentage of South Africans able to support themselves financially in retirement, Treasury has been taking a thorough look at retirement...

Insights categories - Retirement

February: A good month to review your retirement plans and bump up your retirement savings

By Wanita Isaacs on 19 Feb 2013

Reading time: 5 mins

Don’t kid yourself that retirement planning is for those nearing retirement; the decisions you make early on have the greatest impact on your investment. The...

Insights categories - Retirement

Make sustainability a priority when planning your retirement income

By Richard Carter on 29 Oct 2012

Reading time: 6 mins

Over the last 20 years pension funds have increasingly passed the responsibility for generating income after retirement on to retirees and insurers, rather...

Insights categories - Retirement

Planning for income post retirement

By Richard Carter on 30 Sep 2012

Reading time: 9 mins

If you are knocking at 60's door and fall into the small minority of South Africans who have saved enough to retire comfortably, you may be planning your...

Insights categories - Retirement

Retirement annuities: still an attractive choice for retirement savings

By Christo Terblanche on 09 Feb 2012

Reading time: 5 mins

In light of changes to the legislation governing retirement funds, which now limits the exposure individuals may have to various asset classes (e.g. a maximu...

Insights categories - Retirement

Do the more restrictive individual investment limits on RAs outweigh their tax benefits?

By Wanita Isaacs and Christo Terblanche on 30 Sep 2011

Reading time: 9 mins

Previously, retirement funds were considered an obvious choice for many investors due to the tax benefits they afforded. However, changes to Regulation 28 of...

Insights categories - Retirement

Making sense of the revised retirement fund regulations

By Ian Barow and Taryn Hirsch on 30 Jun 2011

Reading time: 7 mins

A recent revision in South African pension fund regulations affects your ability to transact on your retirement fund investment account. Ian Barow and Taryn...

Insights categories - Retirement

Working with the new retirement fund regulations

By Christo Terblanche on 01 Apr 2011

Reading time: 7 mins

Regulation 28 of the Pension Funds Act sets out the maximum exposures that retirement funds may have to various asset classes. Previously this was monitored ...

Insights categories - Retirement

Living annuities for life

By Richard Carter on 31 Mar 2011

Reading time: 8 mins

Living annuities need to provide an income stream for life. This means that the asset allocation in your living annuity investment should be aimed both at...

Insights categories - Retirement

Solving the problem of retirement funding for small and medium-size businesses

By Gerhard Klinger on 31 Dec 2010

Reading time: 8 mins

In Quarterly Commentary 1 of 2008 we introduced you to the Allan Gray Group Retirement Annuity. Two years on we reflect on how this system is proving to be a...

Insights categories - Retirement

Early withdrawals from your retirement savings can be taxing

By Michael Summerton and Carla Rossouw on 30 Jun 2010

Reading time: 8 mins

In this article, Michael Summerton and Carla Rossouw provide an overview of how withdrawal and retirement benefits are taxed. They use practical examples to...

Insights categories - Retirement

Retirement fund reform - still debated

By Christo Terblanche on 31 Mar 2010

Reading time: 7 mins

In previous articles covering retirement fund reform, we have shared our views on some of the choices being debated between stakeholders (see Quarterly...

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