Planning for retirement is often left too late: it seems to be a long way off when I am young. Consequently, only a few people are sufficiently prepared when the retirement date draws near. The purpose of pre-retirement planning is to make sure that you reach retirement age with enough funds to take care of yourself and your family when you retire.

The three main requirements for an effective retirement are: prepare a comprehensive plan, start when you are still young and make maximum use of the tax incentives to save, and review your plan regularly.


Retirement can be a very emotional time in your life. Adapting to extensive changes in the way you spend your time and anxiety about your finances can cause many a sleepless night. At that stage it is important to take the time and obtain advice on how to structure your income going forward.

When you retire from a retirement fund (Pension, Provident or Retirement Annuity) you can elect to invest the compulsory portion of your funds in either a Living Annuity or a Life Annuity.

A Life Annuity offers different options of drawing your income that is guaranteed for the rest of your life, whereas a Living Annuity gives you the opportunity to be involved with your retirement income and provides flexible ways in which your funds can be invested.