The Taxation Laws Amendment Act includes changes to the legislation that governs provident and provident preservation funds that will come into effect on 1 March 2021.
The Taxation Laws Amendment Act includes changes to the legislation that governs provident and provident preservation funds that will come into effect on 1 March 2021.
Make an informed choice about the retirement fund options that your employer offers.
The logic behind the new system is to treat all contributions to pension, provident and retirement annuity funds as a deductible employment expense for the employer and taxable fringe benefit for the employee. This leaves the employer in a tax neutral position.
When you change jobs, you have an option of either a pension payout, a transfer to your new employer’s pension fund, a preservation fund or a retirement annuity (RA).