The Wealth Room


Making tax work for you for retirement

Now that we have been through the foundations of investing, through understanding how important asset classes and asset allocation is in setting up the right Unit Trust that will best suit you. We can now move our attention onto retirement investing and what options are available for us all to invest into regarding this. Before I start, I want to just point out that many people start investing or planning for this process without an end goal in mind, and I find this to be counterproductive. The reason being, is if you don’t know how much money you need every month during retirement, how do you know how much money you need to save every month towards retirement. So the first thing I would like to point out in this post is, before you read any more investment advice, first determine in

read more



If you have an income tax rate that is higher than 30%, an endowment fund could work out to be beneficial for you as there are tax benefits within the endowment if your tax rate is higher than 30%. The other area that an endowment will help is in estate planning, as you can nominate beneficiaries to an endowment and in the event of your death the funds will be paid out to the beneficiary straight away, without it being caught up in the wounding up of the estate. The value of the endowment will still be included in your estate for the calculation of estate duty, but the endowment policy allows your estate to save on executor’s fees. How is your investment taxed? With regards to any investment return, both the interest and capital growth would be included in your taxable income an

read more

Tags: , , , , , , , ,

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.