By Paul Leonard, CFP®, Regional Head, Citadel It is often said that there are no right or wrong investments but rather appropriate and inappropriate investments. Much has been written about tax-free savings and investment accounts (TFSAs) and there...
The secret to a successful resolution is to keep it simple and to break it down to something manageable. Financial change starts one step at a time. Instead of saying “I am going to be debt free,” rather select one debt that you are committed to...
Research finds that the tax-free savings account is still misunderstood. If there’s one thing the financial industry is good at, it is complicating things that should be fairly simple. Tax-free savings accounts (TFSAs) were meant to be really...
Mokgotla writes: I am 35 years old and I want to invest R700 a month in a retirement annuity. My company is also contributing to my pension fund. Is this a good idea and how do I invest? Maya replies: Since 1 March 2016 you are able to invest up to...
Investing offshore is not about the rand or pessimism; it’s about sound financial planning. Most fund managers spent the last five years recommending that investors allocate a portion of their investment wealth offshore – yet it was only when the...
Hlakanyane asks: I am a 52-year-old man and currently contributing R2 500 per month in a tax-free savings account with a bank. This is invested in cash and standing at R15 000 thus far. Is it better to leave it in the bank, to invest with an...
The recent student protests have highlighted the high cost of tertiary education. For many, the cost of registration alone is enough to shut the door of opportunity. The South African Institution of Race Relations has reported that only 5% of South...
Evans writes: I am 30 years old and work as a contract worker, which means my salary is not fixed and ranges from zero some months to R8 000 in other months. I currently contribute R750 a month towards my retirement annuity and I also contribute...
Dihemo asks: I have R50 000 I want to invest but I want to understand how tax works on investments. Maya replies: Tax is an important part of investing. There are three taxes that are deducted when you invest. Income tax on interest Any interest...
Johanna writes: My daughter is turning 21 and she has asked that instead of organising a party for her she would love to invest the money for herself. What is the best investment to consider as currently we have unit trusts and a share account with...
If you've been putting off opening a tax-free savings account, here's a trick to help you get going. Last week I completed the herculean task of opening tax-free savings accounts for my kids and myself. I have had the forms ready to fill out since April, but they just...
Using your child’s tax-free savings account is not necessarily the best vehicle for their education fund. Since the launch of the tax-free savings accounts (TFSAs) there have been suggestions that this would be an ideal way to save for your child’s education. But is...
According to the National Development Plan (NDP), the South African economy needs to grow by 5.4% or more to create enough jobs to redress inequality and resolve the country's stubbornly high unemployment rate. In order to reach and sustain this target, South Africa...
The phased reform of South Africa's retirement sector may have a far-reaching impact on retirees – especially those who have not recently assessed their strategy. While many of the mooted retirement reforms will only be implemented next year, one of the first changes,...
South Africans are now able to invest up to R30 000 a year in tax-free savings accounts (TFSAs). The aim of these savings accounts is to encourage South Africans to save for medium-term goals and emergency funding, reducing our reliance on debt and the temptation to...
Companies have been racing to capitalise on the tax-free savings accounts. We sum up what products have come to market so far. Financial product providers have by and large brought out two types of tax-free savings accounts (TFSAs): a basic bank savings account which...
Tax-free savings accounts (TFSAs) get the go-ahead. From 1 March 2015 South Africans will be allowed to invest up to R30 000 a year in tax-free savings accounts (TFSA). (*Update: this amount was increased to R33 000 per year on 1 March 2017 and to R36 000 per year on...
South Africa’s declining household savings rate has been of national concern for some time now – in fact this burning issue has found its way into the annual budget speech year after year. But while initiatives have been implemented to try alleviate the problem – such...