A question that I often receive is whether it's a good idea to use one's lump sum on retirement to pay off short-term debts, such as car debt or one's credit card. For example, Ntombise recently wrote to me: “I have just retired from work and...
Reflecting on the year that was
Victoria Reuvers, Managing Director at Morningstar Investment Management South Africa, looks at how financial markets performed in 2021. As a runner, the change in seasons gives me time to reflect. Autumn is my favourite season, and always reminds...
Immediate access to retirement funds unlikely
Retirement reform paper calls for comment but no move on immediate access. Retirement fund members hoping to access their retirement funds for urgent financial relief will be disappointed by the retirement reform paper issued by National Treasury...
The 2022 survival budget
As if the last two years were not tough enough, there is no silver lining awaiting us in 2022. In 2021 we absorbed further fuel-price increases, a 15% hike in electricity costs, and an interest-rate increase of 25 basis points – and this is only...
Using critical illness insurance to supplement medical cover
Many financial advisers are using life products to supplement medical costs. While current legislation does not allow for cover like critical illness insurance to be marketed as a product to cover medical costs, for most policyholders, that is...
Savvy ways to use your bonus
Many companies are cash strapped due to the impact of Covid-19, but if you are one of the lucky few who got a bonus or windfall this year, it will be tempting to spend it to celebrate surviving another tough year. However, money experts recommend...
Options if medical schemes are unaffordable
Medical schemes remain unaffordable for many working South Africans. According to Gary Allen, chief executive at Sanlam Health, an individual should not be spending more than 10% of their income on health cover. Considering that a basic hospital...
How the GEPF manages members’ money
The GEPF's investment mandate has consistently delivered above-inflation returns, outperforming its benchmark over five years and resulting in a financially sound fund. South Africa is one of the few countries where the state pension is guaranteed...
Video: Get financially fit for your next holiday
After living in lockdown for over 18 months, many of us just want to go on holiday. Like any major expense, if you plan for it, it doesn’t have to break the bank. Many tourist destinations and establishments are offering great specials, making it...
Delivery scams on the rise
Cybersecurity researchers are urging consumers to be on the lookout for delivery scams following Black Friday and Cyber Monday, and in the lead-up to the holidays. This comes after Mimecast’s threat-hunting team detected malicious emails and...
Previous Articles
Listen: Are you in a financially abusive relationship?
Are you the victim of financial abuse or are you perhaps unwittingly the abuser? And how would you even know? In this podcast, we discuss the very sensitive topic of financial abuse: how money is often used to control people in relationships. Maya (@mayaonmoney)...
Don’t be caught out by delayed premium increases
As medical schemes announce their pricing and benefits for next year, most have delayed their premium increases until later in 2022. The ability of medical schemes not to push through these increases in January is due to the significant surpluses they built up in...
Above-inflation returns for the GEPF
The Government Employees Pension Fund (GEPF) saw a significant 27.5% growth in its portfolio over the most recent financial year, bringing the total value of the fund to nearly R2.1 trillion. According to the annual financial results for the year ended 31 March 2021,...
Government finances as a household budget
Government faces the same tough choices as South African households when it comes to its budget. Last week our new finance minister Enoch Godongwana laid out the plans for government’s spending over the next three years. The medium-term budget lays out the framework...
Listen: Is cash now trash?
Despite the recent rate hike, interest rates since the beginning of the pandemic have fallen by around 30%. This is great news if you’re borrowing money, but it is pretty dire for anyone investing in cash or relying on income from cash investments. In this podcast...
Your personal information could be for sale
Last month, the personal information of millions of South Africans was placed on messaging app Telegram for sale to the highest bidders. According to the Information Regulator, the database containing consumers’ personal information was downloaded over 100 times...
Government withdraws proposal to impose exit tax on retirement interests
Jean du Toit, Head of Tax Technical at Tax Consulting SA, explains why Government had no choice but to backtrack on the proposed exit tax on retirement interests. Expatriates and those with plans to emigrate will be relieved to learn that the proposal to impose an...
Video: Five things that derail your wealth
The difference between someone who is financially secure and someone who is not, often has more to do with avoiding wealth destruction traps than earning a bigger salary or having a windfall. If you want to be financially free, you need to avoid these...
Is a living will legally valid and enforceable?
Juan Buys, Fiduciary Specialist at PPS Fiduciary Services, explains that a living will may not always be enforceable. Sometimes family members face a difficult situation when a decision has to be made about a loved one in circumstances in which they are not able to...
Listen: How to bootstrap a business with R6 500
In this podcast Maya (@mayaonmoney) speaks to Mantsha Pheeha, a business strategist at Talent Unleashed, about how to bootstrap your startup by creating a pilot project. Mantsha worked with Nocawe, winner of this year’s Absa City Press Money Makeover Challenge, to...