Question:
I am going to be joining a company from 1 May where I'll be contributing to their Umbrella Pension fund with yourselves. I would just like to understand if there would be complications on leaving? Would I be able to access the cash if I ever resigned from them, or left the country to work overseas? Would I be able to withdraw or transfer the funds to another company?
Answer:
Claire, Welcome aboard. In terms of the current law, there will be no complications on leaving - at your request, the money will be paid into your bank account or transferred to another fund, typically within 14 business days from the time 10X receives your last contribution or your (fully compliant) instruction form, whichever is the later. Delays may happen if your tax affairs are not in order, as SARS will then not issue a tax directive until you address the matter. National Treasury may introduce some form of compulsory preservation in future, but this would not stop you from transferring to another company's fund.
