Treasury Explains the Two-Pot Retirement System

Oct 05, 2023, 02:00 PM

On 1 March 2024 there will be a radical change affecting everyone who is a member of a retirement fund. 

This is known as the Two-Pot Retirement System and applies to any member of an employer pension/provident fund, a retirement annuity or a preservation fund as well as members of the Government Employees Pension Fund.

There have been many questions and complaints about how the new system will work, especially when it comes to withdrawals. 

In this podcast Maya speaks to Mr. Basil Maseko a Director of Tax and Financial Sector Policy at National Treasury about the thinking behind the introduction of the new system and why they capped the initial withdrawal at R25 000.