How to get more out of your retirement investment
Whether retirement is just around the corner or a long way away, it's always a good idea to have a solid retirement investment in place. But how do you know if your retirement investment plan is really working for you?
There isn't a one-size-fits-all retirement investment solution that'll work for everyone. And everyone's retirement investment portfolio will look a bit different. But if you do your research, you'll find the retirement investment options to suit your specific needs and your timeframe.
The Alexforbes Invest Retirement Annuity
A Retirement Annuity (or RA for short) is a retirement investment with great tax benefits.
You don’t pay tax on your RA's investment returns, such as interest income, dividends and capital gains. And the money that you put into a RA is tax-deductible up to a limit of R350 000 per tax year.
You can take out a RA yourself, and you can manage your retirement fund investment independently too.
This makes RAs good retirement investments for people who don't receive a pension or provident fund from their work.
It's also an excellent retirement investment plan for those who want to supplement their existing pension or provident funds.
The Alexforbes Invest Preservation Fund
A preservation fund is a tax-efficient way to preserve the value of an existing retirement fund investment.
So, if you are leaving your employer’s retirement fund and have a lump-sum that you want to put towards your retirement, transferring it to an Alexforbes Invest Preservation Fund could be a great retirement investment option for you.
Unlike the Alexforbes Invest Retirement Annuity that you can contribute to every month, you can only make a once-off contribution to the Alexforbes Invest Preservation Fund.
This makes preservation funds good retirement investments for people who are leaving their current employer and want to preserve their pension or provident funds.
Our revolutionarily low fees
Thanks to our Onefee model, you'll only pay one fixed fee for your retirement investment. This could lead to you saving up to 90% in fees and getting up to 60% more out at retirement.
Flexible investing
We've made investing as simple and straightforward as possible so that you're in control of your own retirement investment plan. Simply log in to our app or through our website to pause or restart your cover, and to increase or decrease your limits.
Outcomes-based investing
You can stick to your retirement goals by tracking your retirement investment outcomes in real-time.
Switching is simple
Our digital investment platform makes transferring your retirement fund investment a stress-free process.
How will you know which retirement investment options are right for you?
Choosing which retirement investment is right for you will depend on several factors. Some of these factors are:
- How old you are, and how far away you are from retirement age.
- How much you can afford to put towards your retirement investment each month.
- What your needs will be at retirement age, and how much you'll need to invest to retire comfortably.
Investments in your retirement years
We often think of retirement investing as something we do before the age of retirement, but you can invest during your retirement years too.
Investing during your retirement years will help you to continue to grow your retirement fund investment. This will ensure that your nest egg doesn't run out and that you can continue to maintain your lifestyle deeper into retirement.
