RETHINK RETIREMENT

Dr Gizelle Willows says: "The nice thing about a guaranteed annuity is that you just never need to worry. No matter what happens in the markets, no matter how long you live, you’ll never be without an income."

This short video aims to give you an easy-to-understand overview of life annuities, and how they work. Life annuities are becoming a more popular solution among South African retirees, especially for those who have just enough (or not enough) saved for retirement.

An annuity is a financial services product that provides a future regular income stream in exchange for an initial fixed contribution. Around the world, annuities are commonly used as a way to fund retirement.

Many financial service providers offer a host of life, living and hybrid annuity products. It may be difficult to know which annuity product gives you the best possible retirement income that is suited to your individual circumstances.

It is important to understand different life annuity options available when you retire so you can protect yourself from rising inflation and reduced purchasing power, and most importantly increase the propensity to cover your essential expenses throughout retirement.

Saving for retirement is often just as much a mental battle as it is a financial one. To get you started on your retirement savings journey and on the road to a more comfortable retirement, here are five simple steps to follow.

The role of tax in your retirement planning is important to put yourself in a better position to make informed choices about how to grow your savings in the most tax efficient way possible, and increase your pension pot without needing to increase your monthly contributions.

Plain English explanations of typical words and phrases used in the South African life insurance industry