Investing for your retirement
Everyone's journey is unique, but some goals, like growing your wealth and a comfortable retirement, are important to everyone.
If the time for you to enjoy your retirement is close, avoid costly mistakes with your retirement savings and make sure your money continues to grow while you receive a regular retirement income.
Make informed decisions
Now is the time to make smart decisions about how to make your retirement savings work for you after you’ve retired. Take charge and make sure that you receive a monthly income so that you can maintain the life you’ve become accustomed to, well into retirement.
Your circumstances are unique, like your health and your family history. So are your dreams – whether you plan to relax and spend more time with family, travel or start a new venture.
Your priority is to make sure that your money lasts throughout your lifetime. A successful retirement means that you can maintain your standard of living, without financial assistance from others.
You have to make informed decisions around your options at retirement and it is crucial to consult a financial adviser about these decisions, including choosing the right annuity.
Choosing the right annuity
Consider the trustee-approved annuity offered by the retirement fund
This annuity is a 5% fixed-escalation life annuity with a 10-year guarantee term that will give you the following:
- An income for the rest of your life. The starting income will depend on the lump sum amount available to purchase the annuity, and your age. You cannot make any changes to it in future.
- The income will increase by 5% per year. It’s important to remember that inflation is unpredictable and could increase faster.
- A 10-year guarantee term where your beneficiaries will receive the remaining income only if you pass away in this 10-year term.
Get financial advice
We recommend that you get in touch with your financial adviser to plan for your retirement together.
South African retirement funds must also give their members access to retirement benefit counselling when they are close to retirement and at retirement.
If you don’t have a financial adviser and would like to speak to one, click on the ‘Find an adviser’ button below.
Or speak to our benefit counsellors on 0860 546 533
Is your Will up to date?
There are many good reasons to have an up-to-date and valid Will. To find out more about the importance of having a Will, read our article in last year’s newsletter: Your Will, your way?
In case you missed it
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