Today's Talk Money Show, I covered two of the latest legislative amendments of The Taxation Laws Amendment Act 3,2008 and how these changes affect Retirement Annuities in South Africa.
(This will be covered in more than one part, so follow future Talk Money shows over the next few days)
So what are some of the changes affecting Retirement Annuities?
1. One of the amendments has moved the maximum retirement date from beyond age 70. Prior to March 2008, individuals were forced to take retirement at age 70. This will be helpful to individuals who have not yet retired from their Retirement Annuities at age 70 and would like to continue their contributions! Personally I have yet to come across anyone at age 70 that has not yet retired from their Retirement Annuity, but who knows in the future and with the magic of the little blue pill and medical wonders there may be many young 70 year old "spring chickens" that have no intention of retiring!
2. Until recently one could not access retirement annuity savings until age 55. You can now have your retirement annuity paid to you if your RA is paid up (lapsed) and the total value is less than R7000. If you emigrate you are also entitled to withdraw from your retirement annuity entirely. Both these options are of course subject to Tax.
If you are overseas and would like help with this please contact me as I can help you with this online, or if you are planning to emigrate I will gladly assist you in this regard.
If you have any questions in connection with your retirement annuity I will gladly assist you. Over the next few days I will be cover some other aspects around Retirement Annuities and Linked Life Annuities.
