Financial advisers should understand the broader implications on tax planning, retirement savings, and investment strategies to guide their clients effectively.
The tax structure aims to be progressive, with low-income earners paying little to no tax on withdrawals, while high earners are taxed more.
More than 60% of two-pot withdrawal applicants have come from low-income groups, according to Momentum’s latest figures.
The Authority is seeking information on how much it costs retirement funds and administrators to adapt their systems for the new two-pot structure.
The Pension Funds Adjudicator is looking to implement a 4.7% increase in its levy, raising the cost to retirement funds by 49c per eligible member.
The introduction of the two-pot retirement system has triggered a wave of withdrawal applications, prompting concerns over tax liabilities and the need for improved financial education.
The Mafube Local Municipality is accused of withholding nearly R38 million in employee retirement fund contributions.
Administrators may be in for a ‘windfall’ of R500 million to R1 billion a year in future tax years, says Keystone Actuarial Solutions.
Avoiding the tax hit is one of the reasons retirement fund members should have an emergency fund.
Emily Broodryk, Rion Malan, and Francois Mostert share why they found it rewarding to study for the Higher Certificate in Wealth Management at MBSE.
Commentators did not raise any significant concerns in their responses to the draft conditions, the FSCA says.
A request for a tax directive will be declined if a member is not a registered taxpayer or has outstanding returns.
Members should find out whether they will be eligible to withdraw money from their savings components.
If a fund cannot follow the standard allocation methods, it must apply for FSCA approval to use an alternative, reasonable method.
The FSCA says prescribed assets will compromise the fiduciary duty of retirement fund trustees.
High Court hands down a decision on the interpretation of the tracing provision in section 37C of the Pension Funds Act.
The Companies Amendment Bills impose crucial changes to remuneration disclosure and shareholder approval that trustees must integrate into their governance practices.
