About Retirement Annuities

A Retirement Annuity is your personal pension plan.
 
The difference between a Retirement Annuity (RA) and a pension or provident fund.
       - With a RA you save pre taxable income
       - Your contributions is tax deductable and can therefor decreases your tax liability
       - You can therefor get more back from sars than someone without a RA
       - You can retire from your RA as early as age 55, from where normal retirement rules as on a pension fund applies.
       - Should  the fund Value after age 55 be less than R247500, you can make a full withdrawal otherwise only a maximum of 1/3 will be paid to you. The same as a pension or provident fund,
 
   
       A Pension or Provident fund
       - The fund Value is paid to you at retirement or resignation
       - Other than that, the same rules applies as on a RA.
     

 
A retirement annuity fund is established in terms of the Pensions Fund Act and is subject to the supervision of the Registrar of Pension Funds who in turn falls under the authority of the Financial Services Board. Contributions to a retirement annuity fund may usually be made at a rate chosen by the member, although most funds do impose a minimum level of contribution.

The frequency of contributions can me monthly or yearly or it can be a single lump sum.
 
Increases or Decreases on a RA: You can add a default yearly increase from 0-15%, or you can otherwise change the contribution at any time.
 
        Penalties can be levied on early surrender or decrease.
 
What happens if I die: Read more..

Can I withdraw or cede my retirement annuity? NO
 
Can I change my investment funds?
        YES, you can change fund for free up to 4 times per year. It depends on market and risk conditions. Speak to your financial advisor about the best
         options.
 
Can I transfer my retirement annuity funds to another investment company? 
         Yes, you can change or transfer your annuity from one company to another with a section 14 transfer. It does take time and one must consider will it
          benefit you or will a fund change be more effective.
          Read more about section 14 transfers at www.section14transfer.co.za


 
 
 
 
Contact Us
 
Tel Number:        082 494 5624 or 012 547 3769
Email:                  info@bluecare.co.za
Facebook: www.facebook.com/BluecareInsuranceBrokers
 
About Bluecare Insurance
 
We are a registered Financial Service provider with the FSB
 
We are registered to provide
   * Long Term Insurance
   * Short Term Insurance
   * Pension and Provident Funds
   * Investments
   * Medical Aid
 
   Registration number 25405.