{"id":55723,"date":"2023-10-29T17:00:45","date_gmt":"2023-10-29T17:00:45","guid":{"rendered":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants"},"modified":"2023-10-30T16:08:16","modified_gmt":"2023-10-30T16:08:16","slug":"pension-warning-for-south-african-emigrants","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants","title":{"rendered":"Pension warning for South African emigrants"},"content":{"rendered":"

Africa-Press – South-Africa. <\/strong><\/span>Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes will affect South African expats.<\/p>\n

According to Lambert Roberts and Martin Bezuidenhout from Tax Consulting SA, there is still widespread confusion amongst South Africans on how they can access their South African retirement funds overseas and if they\u2019ll be taxed.<\/p>\n

As there have been recent changes to legislation, there are several nuances that South African expats should take note of.<\/p>\n

In the past, South Africans could withdraw their retirement savings immediately after confirming their immigration status with the South African Reserve Bank (SARB) and the South African Revenue Service (SARS).<\/p>\n

In March 2021, a new three-year lock-up rile was introduced, which, as the name suggests, meant that funds would be placed on hold for three before being fully accessible.<\/p>\n

Roberts and Bezuidenhout said that the use of a lump sum withdrawal table is crucial in such cases:<\/p>\n

<\/p>\n

\u201cNavigating the withdrawal process involves understanding the procedural requirements and specific nuances associated with it. An essential step includes providing proof of tax non-resident status, which is generally in the form of a Notice of Non-Resident Tax Status issued by SARS,\u201d the experts said.<\/p>\n

\u201cThis Notice confirms the individual\u2019s date of tax residency cessation and is considered to be crucial evidence required to process the withdrawal by the relevant policyholder. Without this Notice, these retirement funds will often remain locked in South Africa.\u201d<\/p>\n

Two-Pot Hurdle<\/p>\n

The new two-pot retirement system, which will take effect on 1 March 2024, could also create further challenges for expats trying to take out their retirement funds from South Africa.<\/p>\n

In the new system, a maximum of one-third of all retirement savings will be placed in a savings pot, whilst a minimum of two-thirds will be placed in a retirement pot. The savings pot will be accessible prior to retirement and is designed to act as an emergency fund for pension members.<\/p>\n

A third vested pot will hold all retirement savings prior to the commencement of the new system next year and will abide by the current pension rules.<\/p>\n

\u201cHowever, the impact of this system for expatriates and the associated tax implications largely remain unclear at this stage,\u201d the experts said.<\/p>\n

Pros and cons<\/p>\n

The new system has been met with opposition, with many fund managers stating that they need more time to ensure that they can effectively implement the new retirement system.<\/p>\n

Michelle Acton from Old Mutual <\/a>added that the new system will likely intensify South Africa\u2019s short-term thinking, where individuals look at immediate needs and overlook financial security.<\/p>\n

\u201cSouth Africans are expected to dip into those accessible pots in significant numbers, accessing up to one-third of their available future retirement savings post the 1 March effective date,\u201d Acton said.<\/p>\n

That said, she said that the new two-pot system will counter the biggest problem currently \u2013 the ability to access one\u2019s entire pension savings when changing jobs. This often leads to members having to restart the pension process all over again while also missing out on compound interest.<\/p>\n

\u201cThe Two-Pot\u2019s short-term access is the lesser of the two evils. At the very least, it solves one problem: more South Africans can retire better,\u201d Acton said.<\/p>\n

For More News And Analysis About South-Africa<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – South-Africa. Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes will affect South African expats. According to Lambert Roberts and Martin Bezuidenhout from Tax Consulting SA, there is still widespread confusion amongst South Africans on how they can access their South African retirement funds […]<\/p>\n","protected":false},"author":84,"featured_media":55722,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,7,12],"tags":[274,315,275],"class_list":["post-55723","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-head-lines","category-policy","tag-africa-press","tag-africa-press-south-africa","tag-south-africa-2"],"yoast_head":"\nPension warning for South African emigrants - South Africa<\/title>\n<meta name=\"description\" content=\"Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Pension warning for South African emigrants\" \/>\n<meta property=\"og:description\" content=\"Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants\" \/>\n<meta property=\"og:site_name\" content=\"South Africa\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2023-10-29T17:00:45+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-10-30T16:08:16+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"800\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"Pension warning for South African emigrants\",\"datePublished\":\"2023-10-29T17:00:45+00:00\",\"dateModified\":\"2023-10-30T16:08:16+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants\"},\"wordCount\":555,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg\",\"keywords\":[\"Africa Press\",\"Africa Press-South-Africa\",\"South-Africa\"],\"articleSection\":[\"all news\",\"head lines\",\"policy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants\",\"url\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants\",\"name\":\"Pension warning for South African emigrants - South Africa\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg\",\"datePublished\":\"2023-10-29T17:00:45+00:00\",\"dateModified\":\"2023-10-30T16:08:16+00:00\",\"author\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"description\":\"Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes ...\",\"breadcrumb\":{\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage\",\"url\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg\",\"contentUrl\":\"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg\",\"width\":1200,\"height\":800,\"caption\":\"Pension warning for South African emigrants\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.africa-press.net\/south-africa\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Pension warning for South African emigrants\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#website\",\"url\":\"https:\/\/www.africa-press.net\/south-africa\/\",\"name\":\"South Africa\",\"description\":\"Just another Africa News Agency Sites site\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.africa-press.net\/south-africa\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\",\"name\":\"cfeditoren\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g\",\"caption\":\"cfeditoren\"}}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Pension warning for South African emigrants - South Africa","description":"Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes ...","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants","og_locale":"en_US","og_type":"article","og_title":"Pension warning for South African emigrants","og_description":"Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes ...","og_url":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants","og_site_name":"South Africa","article_publisher":"https:\/\/www.facebook.com\/AfricaPressTunisiaa","article_published_time":"2023-10-29T17:00:45+00:00","article_modified_time":"2023-10-30T16:08:16+00:00","og_image":[{"width":1200,"height":800,"url":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg","type":"image\/jpeg"}],"author":"cfeditoren","twitter_card":"summary_large_image","twitter_misc":{"Written by":"cfeditoren","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#article","isPartOf":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants"},"author":{"name":"cfeditoren","@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb"},"headline":"Pension warning for South African emigrants","datePublished":"2023-10-29T17:00:45+00:00","dateModified":"2023-10-30T16:08:16+00:00","mainEntityOfPage":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants"},"wordCount":555,"commentCount":0,"image":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage"},"thumbnailUrl":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg","keywords":["Africa Press","Africa Press-South-Africa","South-Africa"],"articleSection":["all news","head lines","policy"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants","url":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants","name":"Pension warning for South African emigrants - South Africa","isPartOf":{"@id":"https:\/\/www.africa-press.net\/south-africa\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage"},"image":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage"},"thumbnailUrl":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg","datePublished":"2023-10-29T17:00:45+00:00","dateModified":"2023-10-30T16:08:16+00:00","author":{"@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb"},"description":"Major questions remain over South Africa\u2019s new two-pot retirement system, with tax experts still unsure how the changes ...","breadcrumb":{"@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#primaryimage","url":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg","contentUrl":"https:\/\/static.africa-press.net\/south-africa\/sites\/31\/2023\/10\/sm_1698586914.350988.jpg","width":1200,"height":800,"caption":"Pension warning for South African emigrants"},{"@type":"BreadcrumbList","@id":"https:\/\/www.africa-press.net\/south-africa\/all-news\/pension-warning-for-south-african-emigrants#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.africa-press.net\/south-africa\/"},{"@type":"ListItem","position":2,"name":"Pension warning for South African emigrants"}]},{"@type":"WebSite","@id":"https:\/\/www.africa-press.net\/south-africa\/#website","url":"https:\/\/www.africa-press.net\/south-africa\/","name":"South Africa","description":"Just another Africa News Agency Sites site","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.africa-press.net\/south-africa\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb","name":"cfeditoren","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.africa-press.net\/south-africa\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/7417380fa9e23b5c57fdbfdaf3fdf92ee478f759a084addda5faa3732853e74a?s=96&d=mm&r=g","caption":"cfeditoren"}}]}},"_links":{"self":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/posts\/55723","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/users\/84"}],"replies":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/comments?post=55723"}],"version-history":[{"count":0,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/posts\/55723\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/media\/55722"}],"wp:attachment":[{"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/media?parent=55723"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/categories?post=55723"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.africa-press.net\/south-africa\/wp-json\/wp\/v2\/tags?post=55723"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}