|Here is the member leaflet.
Here is the member joining form (includes nomination of beneficiary form).
CONTRIBUTIONS PER MONTH
Choice 1 for employee and director members
Employer contributions: 5% or 10% of member’s Fund salary
Member contributions: No contribution or 5% of member’s Fund salary
Choice 2 for employee, director and partner members
Employer contributions: 5%, 7.5%, 9%, 10%, 12.5%, 15% of member’s Fund salary
Member contributions: No contribution
- The employer contributions to the provident fund (retirement benefit) are compulsory.
- Fund salary is defined as all or part of the member’s basic annual salary.
- Fund salary can also be the percentage of the member’s total cost of employment.
- A partner’s Fund salary is the partner’s proportionate share of profits as declared by the employer.
- The employer’s contributions are tax deductible up to certain limits. Current departmental practice by the South African Revenue Service is to allow a deduction of up to 20% of the member’s retirement funding income.
- Currently, members contribute on an after-tax basis. Consequently, when a member resigns from employment, his or her own contributions are paid out tax-free.
ADDITIONAL VOLUNTARY CONTRIBUTIONS (AVCs)
AVCs are nominated as a Rand amount and can either be paid by the member or the employer or both parties. The advantage of paying AVCs is that a member's final retirement benefit is enhanced. No additional administration fees are levied on these contributions.
SUSPENDING CONTRIBUTIONS TO THE PROVIDENT FUND
If the member is temporarily absent from work without pay, his or her contributions can be suspended for up to 24 months. The absence can be due to study leave, maternity leave etc. The premiums for the risk benefit(s) will continue to be paid by the employer during this period.