On the Money. Budding stock market investor Jarryd Neves, of BizNews, sends out an invitation to everyone who wants to ask questions about share investing – but is too embarrassed to ask. Write to [email protected] And tune in for his regular Monday column: On the Money
Last week, I wrote about the importance of teaching kids the value of money. Naturally, it got me thinking about my financial journey and how I started saving. Like most kids, I had a piggy bank stuffed full of bronze coins. When it came time to count it, I was bitterly disappointed.
All that time, all that patience – and for what? A measly pittance. Perhaps this example can be used to illustrate wealth building as an adult. Aside from other important factors (which I’ll cover in a moment), many people my age think that as long as they have a savings account, they’ll be fine. Well on their way to a comfortable life and cushy retirement.
On the Money. Budding stock market investor Jarryd Neves, of BizNews, sends out an invitation to everyone who wants to ask questions about share investing – but is too embarrassed to ask. Write to [email protected] And tune in for his regular Monday column: On the Money
If you’ve been tuning in to the BizNews Power Hour – if not, you really should be – you will have undoubtedly come across numerous nuggets of wisdom, dropped by the knowledgeable and informed guests.
One such guest was Candice Paine of PR Financial Services. Talking about tax-free savings and investments, Paine unpacked the often overlooked investment vehicle in great detail.
Candice Paine, of PR Financial Services, explains the benefits of tax-free investments. ‘The longer you save, the bigger the tax saving’, says Paine. An individual can contribute a yearly amount of R36,000 – up to a lifetime maximum of R500,000. ‘As the money grows, all the returns on that investment are tax-free’. – Jarryd Neves
Candice Paine on tax-free savings:
Tax-free savings are open to everybody – even minors. The big benefit of it is that the longer you save, the bigger the tax saving in your tax-free account. What the government did – national treasury – I think it’s about six years ago now, started tax-free savings where you could contribute an annual amount. Currently, that annual amount is R36,000 up to a lifetime maximum of R500,000.