South Africa faces a significant and growing issue of unclaimed benefits across retirement funds, shares, and other financial instruments on the JSE and from various institutions. A sizable portion of the population is unaware that they may be entitled to funds from...
Cost of water joins medical aid as the new retirement risk
Water is joining medical aid as a major threat to retirement affordability. In 2019, about 31 kL (1kL per day) cost roughly R636. Today, a comparable bill is around R2,267 — more than tripled in under six years. This isn’t just price inflation; tariff structures...
Two ways to give away some of your big windfall
If you win a lottery or inherit big money, you have two simple options to give away cash. Both affect your taxes, but in different ways. 1) Give to friends and family (private gifts) You probably will want to share some of the spoils with friends and family. This has...
Donations can save you tax…
- Donations tax (on gifts to non-18A recipients) - What it is: A tax you pay when you give money or assets to someone who isn’t an approved 18A recipient. - How it works with your estate: Money or assets you give away during your life reduce what you own...
Lay-by verses Buy Now Pay Later….
The recent upsurge of Buy Now Pay Later plans (BNPL) being taken up by South African households clearly exposes a shift in consumer behavior when comparing against the 'lay-by" way of buying. Lay-by vs. Buy Now, Pay Later (BNPL): what’s the difference and what’s...
Buy now, pay later… keep close
How it works Buy now, pay later (BNPL) can feel convenient—buy today and split the cost into small installments, often with no interest if you pay on time. In South Africa, the appeal is clear, but so are the risks. BNPL can encourage spending beyond what you can...
Women’s face challenges with financial planning…..
National Women’s Day in South Africa, is a good time to reflect on why tailored financial planning for women matters. Women often face gaps in financial literacy, career interruptions, and longer life expectancy, all of which influence savings, investments, and...
Elder Financial Exploitation in South Africa: A Growing Concern
Seniors facing financial abuse South Africa is facing an increasing challenge with elder financial exploitation, often perpetrated by trusted family members or caregivers. With the country’s population aging rapidly—estimates suggest that by 2050, over 12% of South...
Buying Property: Key Additional Costs
When buying a property you should be fully aware of the additional costs. --- 1. Transfer Duty - A tax payable to SARS based on a sliding scale. - For properties valued at R1 million, **transfer duty is approximately R0** (properties at R1 million or below are...
Few South Africans Planning for Retirement, Survey Finds
According to a recent report by Mail & Guardian, most South Africans are unprepared for retirement, risking financial insecurity in old age. Several reasons explain this trend. Limited Financial Literacy Many people lack understanding of financial products and the...
Tax Season is here …..Why wait for your RA refund?
Tax season in South Africa is a time for reflection—reviewing past financial decisions and planning for a more secure future. One of the most effective ways to reduce your tax liability and boost your savings is by investing in a Retirement Annuity (RA). Not only does...
Auto Assessment: Here’s what to do….
What’s auto-assessment? Basically, SARS figures out your taxes for you using info they already have. You don’t have to do anything unless you’re not happy with it. Who can do this? Some provisional taxpayers (like you) can now choose to be part of it this year. How to...
Why has my pension fund dropped in value?
Pension fund values can experience declines due to various factors, impacting the financial well-being of retirees and future pensioners. Economic downturns, such as recessions or financial crises, can significantly affect the performance of pension funds. During...
2023 was really tough for SA households…
In 2023, South African households faced many financial challenges, over and above the challenges of load shedding and water shortages. Reflecting on the year here are three huge battles we had to face. Inflation Inflation rates jumped to nearly 6%, marking a...
Tax consequences when cancelling your retirement annuity….
Cancelling a retirement annuity not only impacts the future financial stability but also carries significant tax consequences due to the deductible nature of contributions. An annuity serves as a crucial vehicle for retirement savings with tax advantages on...
Take Control this Festive Season…
As the festive season approaches, it’s easy to get caught up in the whirlwind of celebrations and overspend. However, with a bit of planning and self-discipline, you can enjoy the festivities without breaking the bank. Here are six practical financial tips to avoid...
Co-Buying a House: Good or Bad?
The steep rise in the cost of living and the high rates of interest have made it difficult for many to buy property. A recent trend has been found in co-buying with friends and family making entering the property market more attainable. There are some distinct...
Navigating Financial Storms in South Africa: 3 Crucial Measures for Protection
As South Africa grapples with unpredictable storms, safeguarding your finances becomes paramount. To mitigate potential financial losses, three key strategies are imperative. Firstly, secure comprehensive insurance coverage. Ensure your policies adequately protect...
So how is your personal mid-term budget doing?
Household budgets and national budgets may differ in scale, but they share three key aspects that are essential for effective financial planning, especially within the context of personal households: sustainability, equity, and accountability. Sustainability: Ensuring...
#I’m Staying….. revisited
Amidst the prevailing concerns about our struggling economy, it’s essential to acknowledge that South Africa still stands in a relatively favorable position when compared to many other countries globally. While this perspective might carry a touch of humor, it sheds...