When you decide to retire, you need to sort out what you're going to do with your pension.
You can take a third of your retirement savings in a lump sum, the remainder must go towards an annuity.
So what is an annuity? And what are your options picking one?
Read on to find out…
What is an annuity?
An annuity refers to a payment you receive on an annual basis.
When it comes t... ››› more
A retirement annuity is a popular way to save for your retirement.
Since their launch in 1960, many people use them as a way to save for their later years as retirement annuities come with tax benefits.
So how does a retirement annuity work? Who are retirement annuities for? And what are the benefits of using a retirement annuity for saving for retirement?
Read on to find out...
How... ››› more
It's never too early to look at financial planning.
Whether you've just left school or already been slogging away for years, if you haven't taken the time to plan for the long-term, start today.
So how can you build wealth for the long-term?
You can achieve it by sticking to these three top financial planning tips…
Make financial planning a priority
It’s not just your retire... ››› more
Making decisions about your retirement and pension isn't easy.
If you're young, it's hard to think about your needs when you reach retirement age. And as you get older, you'll start to worry you don't have enough money to last you through retirement.
One option you have is to save for retirement through a provident fund.
So what exactly is a provident fund? And what are the advantages an... ››› more
When it comes to thinking about retirement and pensions, some of the terminology can be confusing.
So let's get back to basics with pensions and have a look at the two types of company schemes: Defined benefit funds and defined contribution funds.
Here are the main differences between the two…
Defined benefit funds
One type of pension you may come across is a defined benefit fund.... ››› more
It's never too early to start planning for retirement. And this means thinking about a pension or another way of investing for your later years.
So what should you consider when it comes to finding the best pension solution for you?
Read on to find out…
The earlier you start planning for retirement, the better
Read anything about retirement planning and you’ll no doubt come acro... ››› more
Do you own unit trusts, ETFs or shares?
If you do, you're paying 15% tax on all the dividends you receive.
You also pay 13.33% capital gains tax once you sell any of these. In fact, if you held them for less than three years you will end up paying up to 40% in income tax on them…
But you don't have to.
Stop paying tax on your investments today
The National Treasury introduced Tax... ››› more
Estate planning is an aspect of life that many people don't make time for. But by ensuring you plan your estate well, it can make things a whole lot easier for you and your family.
One essential estate planning tool is an Inter Vivos Trust.
So what is an Inter Vivos Trust? And why should you consider setting one up?
Read on to find out…
What is an Inter Vivos Trust?
An Inter Vi... ››› more
Over the years, you'll likely build up the assets you hold. This could be property, investments in shares, jewellery and other items of worth.
Whatever you have, it's important you think about estate planning. Estate planning is about sorting out what will happen to your assets when you pass on.
So what are the major things you need to consider with estate planning?
Read on to find out…... ››› more
If you're investing for your retirement, you may want to take bigger risks when you're younger and move into safer investments the older you get.
The idea here is that you can make up for any losses as you age. But this perhaps isn't the best way to approach your retirement investments.
Let's take a closer look…
Investing for retirement
When you’re younger, retirement seems ligh... ››› more
It's prudent to have a cash emergency fund to tide you over if something unexpected happens. It's also a good idea to hold some cash as part of your investment portfolio.
So where should you keep your cash?
You need to weigh up the returns…
Keeping your cash in the bank
Keeping your cash in the bank is one of the safest ways to store it, but it’s also likely to give you the poo... ››› more
If you're looking for a long-term savings vehicle, government retail bonds are definitely worth considering.
So how do government retail bonds work? What are your options? What are the tax implications? And how can you make the most of them?
To discover the answers to these questions and much more, read on…
The ins and outs of government retail bonds
Government retail bonds, or RS... ››› more
It's probably not a surprise to learn that many South Africans haven't adequately prepared for retirement and have little or no savings.
Saving for retirement is something that you need to do. How else are you going to support yourself when you're older?
You may think you don't have enough money to save towards retirement, but chances are you do.
Read on to find out more…
Stop was... ››› more
You may think the only way to grow substantial wealth is to invest on the stock market or trade futures and other risky instruments.
It's not. You just need to invest some of your time, and you can generate and grow wealth.
Here's how you can do it…
All you need is to invest your time to kick-start your wealth building journey
You can generate an income which grows your wealth in... ››› more
Have you been contributing to a pension fund? Or, do you know someone who has?
The report of the Registrar of Pension Funds put the value of unclaimed pension benefits at just over R20 billion. This amount steadily grew over the past five years.
In fact, the amount of unclaimed pension benefits has almost doubled since 2010 (R10.6 billion).
Whether you're owed R100, R1,000 or R10,000, it... ››› more
Disclaimer Note that FSP Invest, a division of Fleet Street Publications (Pty) Ltd, is a research house and not a registered broker, financial advisor or financial service provider. Our editors and customer services teams also do not give personal investment advice. The advice in this website is general advice only and may not be appropriate to your particular investment objectives, financial situation or particular needs, so before investing or if in any doubt about your personal situation, you should seek professional advice from a stockbroker or independent financial adviser authorised by the Financial Services Board.
We research our recommendations and articles thoroughly, but disclaim all liability for any inaccuracies or omissions found in this publication.
Remember: Never invest more than you can afford to spare and that the value of any investment, and the income derived from it, can go down as well as up. The past is not necessarily a guide to future performance.
Editors or contributors may have an interest in investments commented on in this newsletter. However they have signed restraints to prevent the abuse of their position as contributors to this publication.