The Absa Retirement Annuity Fund offers the added benefit of tax-free transfers from an approved pension, provident, preservation or other retirement annuity funds. This can be an additional provision for your retirement or your primary investment vehicle.
What is a Retirement Annuity?
It offers the added benefit of tax-free transfers from an approved pension, provident, preservation or other Retirement Annuity Funds.
What can a Retirement Annuity do for you?
Build a unique investment portfolio that caters to your circumstance today, with a firm eye on the lifestyle you desire for tomorrow. With some guidance from your financial adviser, a Retirement Annuity Fund can construct an exceptional environment for your retirement.
What does a Retirement Annuity cost?
The annual fees are calculated on the market value of the units held in the fund. Financial adviser initial and annual review fees are negotiable between you, the investor and the financial adviser.
A note that, in terms of the Financial Services Laws General Amendment Act, 2008, no initial fees are payable on Section 14 transfers between Retirement Annuity Funds.
Minimum monthly debit
Minimum lump sum investment
Initial administration fees (lump sum)
Annual policy charges
First R250 000 - 0.75%
Next R250 000 - 0.50%
Over R750 000 - 0.25%
Transfers from retirement annuity funds
• You are entitled to deduct your contributions from taxable income (within limits and legislation).
• On retirement you may take up to one third of the retirement benefit proceeds available in cash, a portion may be received tax-free.
• Any contributions you may have made in the past that did not rank for deduction may increase the tax-free portion.
• The balance of the retirement benefit proceeds must be used to purchase a compulsory annuity.
• The income from this annuity is subject to normal tax.
• During the term of the investment, no tax is levied on any interest income, net rental income and/or foreign dividends earned, within the fund.
Download our investment application form
1. Download our investment application form.
2. Complete the form and gather the required documentation.
3. Fax the documents to 0861 339 265 or email them to AIMScc@absa.co.za