You may soon have the option to delay your retirement age by transferring your retirement savings from an employer-sponsored retirement fund or umbrella fund to a retirement annuity. This year's draft Taxation Laws Amendment Bill proposes that you be given the option to transfer your savings in an employer-sponsored pension or provident fund to an RA after your retirement from an employer. Until March 1 2015, you were obliged to take your lump sum and/or buy an annuity with savings in an employer-sponsored retirement fund when you reached the retirement date set by your employer. If you wanted to continue working, your best bet was to transfer your savings to an investment-linked living annuity and withdraw the lowest amount allowed, namely 2.5% of your investment, as a monthly pension. But two years ago the Income Tax Act was amended to enable you to choose the date on which you want to withdraw your lump sum and/or purchase a monthly annuity or pension from your fund. However, to ...
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