The UCTRF allows member investment choice, which means that you choose where to invest your Accumulated Retirement Savings. 

If you do not make any choice when you join the UCTRF, then your Accumulated Retirement Savings will be invested in accordance with the Life Stage Model.

You may elect a different option at any time. Your investment portfolio is indicated on your benefit statement which you can view on the Retirement Fund Web.

You can switch your investment portfolio/s at any time, but you should be aware that switching frequently may work against you. It is better to select the option that is right for you and your long-term needs, and only switch if and when your needs change. In addition, if you switch more than once in the period between 1 July and 30 June each year, you will pay an administration fee for each additional switch. Click here for more information on how to make an investment choice.  The most common investment mistakes (one of which is trying to time the market - switching your investments when markets drop) can be viewed here.

You will receive your monies from the UCTRF within 15 business days of receipt of all necessary information, provided that all contributions have been received and are up to date and receipted and that UCTRF's Administrator receives a tax directive from SARS within 2 business days of making such an application. 
This service level shall be extended for the same period that these requirements are not met.

Yes. Your money is invested in a money market account until the tax directive is applied for and from this date bank interest is added until date of payment to you.

Click here for information on the benefit you may receive on retirement.

 

If you want an indication of how much your benefit will be worth when you retire, please make use of the Retirement Calculator.

What is a Life Annuity?

It is a monthly pension, which is guaranteed for your life.  The Insurer calculates the pension you will receive every month, and this depends on the amount of your Accumulated Retirement Savings and the type of pension you choose.  The following factors play a role:

• Whether you have elected to take a lump sum, or not;
• Whether you have elected to include a guaranteed period, or not;
  • This means the pension will continue to pay out (to whomever you elect i.e. your spouse and/or your dependants) until the terms ends, even if you die during this period.  For example, if you choose a 5 year guaranteed period, your pension is guaranteed to pay out from your retirement date until the end of the 5 years, even if you die in the first year.
• Whether you have elected that a spouse’s or dependant’s pension must be paid after your death;
  • This means the pension will continue to pay out (for life) to your spouse or dependant after your death, even after the guaranteed period has expired.  However, should your spouse also die after the guaranteed period has expired and you did not choose to include a dependant pension, the monthly pension will no longer pay out.
• The Insurer guarantees the pension, so it provides you with security – the only risk is if the Insurer becomes insolvent.

For more information regarding life annuities and the options available please refer to the UCTRF Retirement Options Booklet.

What is a Living Annuity?

When you leave your Accumulated Retirement Savings with the UCTRF (or an Insurer providing a similar product), it is then treated as a savings account and will grow with investment returns. 

SARS stipulates that you must take between 2.5% and 17.5% of the total value of your account annually as a pension, but that the annuity must at all times produce a life annuity.  This may mean that the maximum you may take is likely to be lower than the normal range of 17.5%.  You can adjust your pension annually within these constraints.

The pension can be paid to you monthly, quarterly, biannually or annually (if you take a monthly pension, the monthly amount is fixed for the coming year based on the amount invested at the beginning of the year and your chosen percentage).

For more information regarding living annuities and the options available please refer to the UCTRF Retirement Options Booklet.

Please click here for this information.

Click here for the tax that will be payable on any lump sum amount that you take at retirement.

 

No tax is payable on your Retirement Benefit if you choose to use your full benefit to purchase your pension. There will be tax payable on the pension payment that you receive, based on individual income tax rates, this can be calculated by your Financial Advisor at the time of your retirement. For further information regarding appointing a financial advisor and preferential rates offered to UCTRF members click here.

You will receive the lump sum portion of your monies from the UCTRF within 15 business days of receipt of all necessary information, provided that all contributions have been received and are up to date and receipted and that UCTRF's Administrator receives a tax directive from SARS within 2 business days of making such an application. However, any information that is required and/or requested and not submitted, or is outstanding, will delay the process. 

Your money is invested in a money market account until the tax directive is applied for and from this date bank interest is added until date of payment to you. 

Yes, please refer to the UCTRF Retirement Options Booklet for more information on the options available to you.

 

Yes, the UCTRF's rules allow that a person in receipt of a Living Annuity may instruct the UCTRF to apply the Living Annuity balance to purchase a Life Annuity or Living Annuity from an Insurer. Note, however, that there may be a period where no pension is paid while the transfer is taking place.  Make sure you discuss this with your financial advisor.

You should review your Nomination of Beneficiaries Form at least annually or in the event of a life event such as birth, death or separation/divorce.

Please return your forms to the person specified on the form you have completed.