MONEYWEB
app instead?
Borrowing from your retirement fund: What you need to know
The current economic climate has led some people to consider dipping into their retirement funds to access capital. But what exactly can you use these funds for, and what percentage of your savings can you access? Devon Card, a certified financial planner at Crue Invest, provides clarity on this. 00:43
As it currently stands, Section 19 (5) of the Pension Funds Act allows a retirement fund to provide a loan or guarantee to a member for housing-related purposes. The purpose of this legislation is to provide assistance to members in financing their genuine housing needs, including the purchase of a property or plot, property renovation, or paying off a home loan. Such a loan cannot be used for any other purpose. Further, in order to qualify for such a loan, the property in question must be a primary residence owned by the member or the memberâs spouse, or jointly owned by the two.
Pension changes for South Africa under the spotlight
Subscribe
Parliament’s Standing Committee on Finance has invited interested parties to submit written submissions on the Pensions Funds Amendment Bill.
Introduced by the opposition Democratic Alliance, the bill aims to amend the Pension Funds Act to allow pension fund members to access a portion of their fund before retirement as a guarantee for a loan.
The DA has described the draft bill as crucial in the fight for ‘people power over state power’ in South Africa.
“Individuals should be free to choose, in unison with the trustees of their pension funds, how their own financial assets are utilised when it comes to providing collateral for responsible loans,” it said in an explanatory statement.
Donât underestimate your benefits as an employee
Share
As this month is is Workersâ month, letâs look at what you may be receiving from your company in the way of employee benefits, which may be more substantial than you realise, and must be taken into account for financial planning purposes.
Your employer may be subsidising your medical scheme contributions and your contributions to a retirement fund (pension or provident fund).
If you are a member of an occupational retirement fund, a small part of your contribution will go towards group risk cover: this is insurance that covers you for death or permanent disability and, in some cases, dread diseases, such as cancer and stroke.
Apr 28, 2021
A senior management level role controlling the Group Legal & Governance functions for the company Group and the activities of the Group Legal & Corporate Governance Team. The role requires extensive knowledge and senior legal & governance experience within life insurance, non-life insurance, investments, pension funds, corporate and commercial law, litigation, contract management, and intellectual property, developing and implementing Group Governance frameworks, general understanding of corporate governance best practice and legal and regulatory risks. The role also requires a strategic understating of the Regulatory, corporate governance, King IV Principles and the company secretariat environments and the changes underway.
Role Responsibilities:
Develop a legal risk management framework and relevant policies and implement in the corporate, shared services and business units
MONEYWEB
app instead?
SUBMIT YOUR QUESTION HERE
SHARES
Can the company enforce its terms and conditions without a signed contract?
By Mauro Forlin
22 Apr 2021 00:20
I have a retirement annuity with a company that was taken out in 2007. I have recently realised I am losing money with this investment. The growth is at -1.3% currently, so I am stopping payment and want to transfer the money. The company wants to charge me penalties for this. I have requested a copy of the signed terms and conditions where I agreed to these terms. It turns out they do not have a copy of the signed contract. Can they enforce their terms and conditions without a signed contract?