Browse FAQs

Business

Is my employer investing my provident fund contributions?

We have no way of knowing or finding out whether your contributions are invested in your provident fund.

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What is a Corporate Selection Retirement Fund 2?

The Corporate Selection Retirement Fund 2 is the formal name of an umbrella provident fund underwritten by the Liberty Group.

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What percentage tax is deducted on pension fund withdrawals?

Assuming you have not previously withdrawn from a retirement fund, the first R22 500 is paid out tax free, and the balance to R50 000 is taxed at 18%.

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What will my provident fund pay-out be after dismissal?

Six months is a very long time to wait for a provident fund pay-out. At 10X, it normally takes less than one month.

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Where should I go to claim my provident fund?

You need to find out in which fund your money was invested and who administers that fund.

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Will I still receive my employer's fund contributions if I absconded from work?

Your company will stop paying contributions once you absconded, as you are then no longer an employee

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If I resign at short notice will I still receive my pension?

Yes, you are entitled to claim your pension, but your former employer may be unhelpful in getting the withdrawal papers through to the fund administrator, which could delay your payment

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Will liquidation affect my provident fund?

Sophia, Liquidation will have no affect on your provident fund; if your employer closes down, you will be allowed to withdraw from your fund, or transfer it to a new employer or to a preservation fund.

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What happens in the event of a participating employee’s death?

Death benefits are governed by Section 37C of the Pension Funds Act.

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Does Momentum allow loans against their pension funds?

This matter is not determined by Momentum, but by the Pension Funds Act and your specific fund rules.

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What can I do if my employer didn't pay over fund contributions?

You need to inform the Fund trustees of this.

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How do the latest retirement reforms affect pension and provident funds?

From 1 March 2015, contributions to a provident fund (and returns thereon) will be treated in the same ways as pension fund contributions, ie the fund member must use that money to buy an annuity with at least two-thirds of the resulting balance

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What will happen to my pension money according to the act of 2015?

From 1 March 2015, your provident fund contributions will be treated the same way as pension fund contributions AT RETIREMENT, ie you must use two-thirds of the resulting fund balance to purchase an annuity.

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Are part-time employees eligible to contribute to a provident fund?

Under recent labour law changes, part time employees more than 3 months in service may not be prejudiced versus full-time employees

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Will being fired affect my provident fund pay-out?

Being fired will not affect your fund pay-out.

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