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Withdrawal benefit

When you leave your employer before retirement, your Fund Value becomes payable to you. This is a sum that represents the total contributions made, together with the investment returns achieved, less expenses.

When withdrawing from the Funds, you have the following options:


Any portion of your benefit that you choose to take in cash will be taxed as follows:

Lump sum Amount


Rate of Taxation


0% of taxable income

R25 001 - R660 000

18% of taxable income above 25 000

R660 001 - R990 000

R114 300 + 27% of taxable income above R660 000

R990 001+R203 400 + 36% of taxable income above R990 000


You may only receive a total of R25 000 tax free once before retirement. Therefore, if you withdraw again from another fund, the amount already received as a tax-free portion previously will be taken into account.

If you transfer your Fund Value to a retirement annuity, another retirement fund, or a preservation fund, it will not be taxed.