Good News on Retirement Planning (RA)...For a Change!

To those of you worried about your retirement and thinking that you might fall short, there is FINALLY some good news.

There are NO longer penalties for exiting your Retirement Annuity ("RA") early!

This benefit applies to all new policies taken out under the new rulings.

In the past you would have been charged a percentage of your fund value should you have made changes to your RA but now, if you make sure your contract is paid up, (i.e. discontinue your recurring contributions or reduce your recurring contribution) there are NO exit fees. You will only incur a flat fee of R200 to make any alterations to your policy.

The advantages of having a new RA are:

• No penalties on exiting or reducing your contributions;
• No tax on the amounts invested in the fund until retirement thereby allowing a greater amount to grow in your name;
• Tax reductions from SARS on your current earnings as RA’s are tax deductible (subject to SARS usual conditions);
• No Estate duty on your death on any RA’s paid into your estate. (usually 20%);
• No exposure to creditors (RA funds cannot be attached).

We at SATIB can offer you a FREE detailed analysis indicating what you need to save to retire and to help you make sure you are taking full advantage of all the tax breaks available to you with retirement savings.

Please contact Brett Lazarus TODAY on: T 0861 SATIB 4U (72842 48) | C +27 (0)82 445 6666 | E blazarus@satib.co.za.

Source: SATIB Insurance Brokers