Needs used for and investors allowedDiscretionary savings for any goal.
Available to: • Natural persons who are ordinarily tax resident in Namibia • Listed and unlisted company • TrustBest useDiscretionary savings for any goal. Good for goals that require access to the funds at any time.Saving for retirement.
Available to: • Natural persons who are ordinarily tax resident in NamibiaVoluntary savings for retirement.Saving for retirement - transfers from Pension/Provident Funds. Available to: • Natural persons who are ordinarily tax resident in NamibiaWhen moving jobs the money from the previous employer’s retirement fund can be preserved in a preservation fund until retirement or until it can be transferred to a new employer.Draw an income during retirement.
Available to: • Natural persons who are ordinarily tax resident in NamibiaProvides an income during retirement with the accumulated retirement savings of the investor from approved retirement products like the retirement annuity, preservation fund or any company retirement fund.Discretionary saving for any goal.
Available to: • Natural persons who are ordinarily tax resident in Namibia • Listed and unlisted company • TrustDiscretionary savings for any goal – Momentum Funds only.
Good for goals that require easy access to the funds at
any time. Less flexible with
less investment choice than NFI but less expensive option.Minimum termN/AUp to retirement age (55 - 70) (earlier for disability).Up to retirement age (55 - 70).N/A
N/A
MinimumsN$50 000 Lump sum N$1 000 Ad hoc N$1 000 monthly recurring (subject to underlying investment component minimums)N$50 000 Lump sum N$1 000 Ad hoc N$500 monthly recurring (subject to underlying investment component minimums)N$50 000 Lump sum N$1 000 Ad hocN$50 000 Lump sum Ad hoc transfers of at least N$1 000 from retirement funds allowed.N$2 000 Lump sum N$1 000 Ad hoc N$500 monthly recurring (subject to underlying investment component minimums)Additional contributionsYes, provided within the minimums allowed.Yes, provided within the minimums allowed as well as the legislative maximum allowed as tax deductible contributions.No option to add funds through regular contributions Transfers from pension or provident funds allowed, and as allowed within the fund rules.Yes, only from other approved retirement funds or living annuities (transfer).
No voluntary contributions allowed.Yes, provided within the minimums allowed.Access restrictionsUnlimited access to the investment.No access to funds prior to retirement (unless due to disability).Members are allowed to make cash withdrawals from their retirement savings at any time within the first 3 years of joining the fund.
No access to funds apart from requested income payments
100% possible if investment is less than N$50 000Unlimited access to the investment.
Withdrawal restrictionsMinimum withdrawal of N$2 500.N/AN/AInvestors may select an annual income rate of between 5% and 20% of the portfolio’s total asset value.
The income can be paid monthly, quarterly, half yearly, or yearly.Minimum withdrawal of N$500.Other restrictionsIf a partial withdrawal is made, a minimum of N$25 000 must be maintained (our current investment minimum) unless an active debit order is in place.N/AIf a partial withdrawal is made, a minimum of N$25 000 must be maintained (our current investment minimum).N/AIf a partial withdrawal is made, a minimum of N$2 000 must be maintained (our current investment minimum) unless an active debit order is in place.Withdrawal accountWithdrawal account needed if client has SA and Namibia domiciled funds.
If only Namibia domiciled not needed.
Account needs to consist of Namibia dollar investment components only.N/AN/AWithdrawal account needed if client has SA and Namibia domiciled funds.
If only Namibia domiciled not needed.
Account needs to consist of Namibia dollar investment components only.N/AFee accountFee account only compulsory when a lump sum investment includes SA funds.Fee account only compulsory when a lump sum investment includes SA funds.Fee account only compulsory when a lump sum investment includes SA funds.Fee account only compulsory when a lump sum investment includes SA funds.N/AOptionsN/AMembers may retire between the ages of 55 and 70.
You may only commute up to one third as a cash lump sum (unless the total fund value is less than $50 000) and the remaining amount must be used to purchase an annuity.Members can opt to retire at any time between the ages of 55 and 70.
Pension Preservation – Members may receive up to one third of their retirement benefit as a cash lump sum unless the full fund value is less than $50 000. The remainder of the benefit must be used to purchase an annuity.
Provident Preservation – Members may receive their full retirement benefit as a cash lump sum. Members may also opt to utilise all, or part of their retirement benefit to purchase an annuity.Fee account only compulsory when a lump sum investment includes SA funds.N/AContributionsNo tax applicableTax deduction against income from trade is available to the investor for premiums paid.
The deductions are subject to the annual limit of N$150 000 that can be contributed to Education policies and retirement funds.Transfers of lump sum benefits derived by a taxpayer from a pension fund, provident fund or preservation fund paid or transferred to another pension fund, provident fund, retirement annuity fund or preservation fund have already qualified for the deduction and so would not rank for deduction again.Transfers from an approved retirement fund is tax-free.NoIncome or withdrawalsN/AN/ALump sums withdrawn will be taxable at the greater rate of 18% or the average tax rate.Annuity income included in gross income and taxed in terms of the tax tables applicable to taxable income, provided these are from a Namibian source.N/ARetirement lump sumN/A1/3 lump sum payout at retirement is tax-free.
2/3 to be invested in a living or life annuity or full withdrawal taxed at marginal tax rate.Pension Preservation – The total cash lump sum is tax-free.
Provident Preservation – One third of the lump sum payment is exempt from tax with the remainder being taxed at average rates, subject to a minimum of 18%.N/AN/ADeath of member/ investorN/A – paid to the deceased estate.Lump sum tax free provided it does not exceed 50% of the total fund balance. [If it exceeds 50% then the full lump sum benefit is taxable at the marginal rate.]
Any annuity that the beneficiary opts for will be fully taxable on the beneficiary’s marginal tax rates.Pension Preservation – Lump sum tax free provided it does not exceed 50% of the total fund balance. If it exceeds 50% then the full lump sum benefit is taxable at the marginal rate.
Any annuity that the beneficiary opts for will be fully taxable on the beneficiary’s marginal tax rates.
Provident Preservation – One third of the total benefit is exempt and the remainder is taxed at the marginal tax rate of the beneficiary.Annuity paid to beneficiaries is taxed on the beneficiary’s marginal tax rates.N/A – paid to the deceased estate.Investment ReturnsInvestment returns are not taxable.
Tax certificates provided – interest and dividends received.Investment returns are not taxable.
Tax certificates provided – annual fund contribution certificate.Investment returns are not taxable.Investment returns are not taxable.
Income tax certificates provided – income received during the tax year.Investment returns are not taxable.
Tax certificates provided – interest and dividends received.Estate planningProceeds will be paid to the deceased estate.Can nominate beneficiary for proceeds but the fund trustees will make the final decision as to where the benefit goes.Can nominate beneficiary for proceeds but the fund trustees will make the final decision as to where the benefit goes.Upon death, the remaining benefit may be transferred to a living or life annuity held in the nominated beneficiary’s name.Proceeds will be paid to the deceased estate.Options at death of investor/ memberN/A – funds pay to deceased estate.Beneficiaries can opt for either cash lump sum or an annuity to be paid or a combination of the two. Refer to tax section for taxes applicable to each option.Beneficiaries can opt for either cash lump sum or an annuity to be paid or a combination of the two. Refer to tax section for taxes applicable to each option.Beneficiaries can opt for either living or life annuity. No cash lump sum payouts.N/A – funds pay to deceased estate.Investment restrictions and regulationNoneMust comply with asset exposure regulations – Regulation 28 Pension Funds Act, 1956 (Act No. 24 of 1956)Must comply with asset exposure regulations – Regulation 28 Pension Funds Act, 1956 (Act No. 24 of 1956)NoneNoneFund rangeArray of Namibian and South African domiciled unit trusts • Namibian outcome-based solutions • South African outcome-based solutions • Namibia Core Portfolio • South Africa portfoliosArray of Namibian and South African domiciled unit trusts • Namibian outcome-based solutions • South African outcome-based solutions • Namibia Core Portfolio • South Africa portfoliosArray of Namibian and South African domiciled unit trusts • Namibian outcome-based solutions • South African outcome-based solutions • Namibia Core Portfolio • South Africa portfoliosArray of Namibian and South African domiciled unit trusts • Namibian outcome-based solutions • South African outcome-based solutions • Namibia Core Portfolio • South Africa portfoliosLimited to Namibia outcomebased solutions provided by Momentum Collective Investments Namibia.Transfers/ cessionsCan transfer ownership (full or partial).
Can cede as collateral.Cannot transfer ownership.
Can transfer as allowed for within the fund rules and the applicable legislation.Cannot transfer ownership.
Can transfer as allowed for within the fund rules and the applicable legislation.Cannot transfer ownership.
Can convert the living annuity to a conventional annuity.Can transfer ownership (full or partial).
