Question:
If I withdraw all my pension fund savings, I just want to find out how much will I be taxed. I think I have plus minus R70 000 - R80 000. Salary income is R21 300. Our company works trough you for our pension funds.
Answer:
Johan.
You will be taxed as follows: the first R22 500 is not taxed, the balance (up to R600 000) is taxed at 18. Previous withdrawals from other funds are considered in applying this table. On R75 000 you would pay tax of R9 450, so you would get out R65 550 (assuming no previous withdrawals).
The information and answers supplied in this section do not constitute advice as defined by the Financial Advisory and Intermediary Services Act, 37 of 2002.
