Retirement
Would your kids get your retirement fund money if you pass away?
If you’re saving for retirement in a retirement annuity or in your employer’s retirement fund, you may wonder what would happen to this hard-earned pot of savings if you passed away. Giving your options some consideration is important to ensure your wishes are respected.
What happens when your retirement fund matures: a refresher
“When you retire, you are allowed to take up to one third of your retirement savings as a lump sum,” says Waldette Stoffberg, a Business Development Manager at Glacier by Sanlam. “With the remaining two thirds, you need to buy an annuity that will provide you with a regular retirement income.” There are some exceptions to this rule, which your financial adviser can outline.
But what happens if you pass away on or before retirement? Do your family or dependants automatically receive your retirement savings?

How beneficiary nomination works

How an annuity is treated on your death
How to ensure your wishes are respected
To have the peace of mind that your retirement benefit goes to the right beneficiaries when you pass away, review and update your beneficiary nominations regularly.
With the help of a financial adviser, and using the functionality of Glacier’s investment platform, you can ensure your beneficiaries are well taken care of when you pass away. “We have always had a strong focus on investors who are retiring, and offering them the best possible solutions to fulfil their needs,” says Waldette. “Glacier is a fully intermediated investment platform, and we believe that by working together with your financial adviser, you as an investor can find the best possible solution for your needs. We have put solutions together to enable investors to make provision for their beneficiaries if required,” she concludes.
Glacier Financial Solutions (Pty) Ltd is a licensed financial services provider.
Sanlam Life Insurance Limited is a Licensed Life Insurer, Financial Services and Registered Credit Provider (NCRCP43).
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