Q&A: My retrenchment pay was heavily taxed — is that because I withdrew from a fund before?
A retrenchment package is taxed as a severance benefit and is based on a special tax table
Q: I was retrenched and received a payout from the company but it was heavily taxed, which I think is very unfair. Did the company make a mistake? I did cash in my retirement savings previously, so did that have anything to do with it? — Jane May via e-mail
A: Jenny Gordon, head of legal services at Alexander Forbes, replies: ..