Secure your future

Retirement Benefits

When can I retire?

At the Normal Retirement Date
Early retirement
Late retirement
Although you cannot retire from the UCTRF before you have retired from your Employer, you do have the option to defer your retirement from the UCTRF even after you have retired from your Employer. In other words, you can elect to receive your Retirement Benefit at a later date.

Please Note: It is important to notify the Employer 2 months befor your final day of service, to avoid delays in the payment of your Retirement Benefit.

Early Retirement

You may retire early from age 55 onwards. You will have the same options as those members who retire at the Normal Retirement Date. At the request of your Employer, you may retire from your Employer and the UCTRF at any time before the Normal Retirement Date, due to ill-health.

Late Retirement

With consent from your Employer, you may also retire later than the Normal Retirement Date, but your UCTRF death cover and disability cover will stop at the Normal Retirement Date. The lump sum disability cover reduces proportionally in the 12 months prior to the Normal Retirement Date. Your separate lump sum death cover will continue until the earlier of your retirement from the Employer or age 70.

What are my options at retirement?

Your retirement is an important milestone in your life. Most people hope to be able to maintain a reasonable lifestyle in their golden years.

At retirement from the UCTRF you will receive your Accumulated Retirement Savings. As this money will have to last you for the rest of your life, it is important that you don’t take decisions at retirement lightly. It is recommended that you speak to a FAIS-accredited financial advisor of your choice to assist you with this important step. Gradidge Mahura Investments (GMI) are the appointed advisors to the UCTRF. GMI has been appointed to assist members approaching retirement with retirement planning, with the specific focus on developing a retirement income plan related to their UCTRF benefit. Members 50 and over are eligible to receive 3 consultations with GMI (paid for by the UCTRF) prior to their retirement.

For further information regarding appointing a financial advisor and the GMI offering, click here.

At retirement you have the option to take the following as a lump sum:

All of your Savings Pot
All of the Vested Share in your Vested Pot
1/3rd of your Non-Vested Share in your Vested Pot.
If the total of your Retirement Pot plus 2/3rds of the Non-Vested Share in your Vested Pot is less than R240 000, you may take your entire Vested Pot and Retirement Pot as a lump sum.

Any portion of your Retirement Benefit that you take as a lump sum will be taxed according to the retirement tax table. For an indication of the tax payable on withdrawals from your Savings Pot see the Benefit Taxation Calculator.

The balance of your Accumulated Retirement Savings, after the deduction of any lump sum payment, must be used to buy a pension. There are various pension options available. Please refer to the Retirement Guide for an explanation of these options.

Note: If you were a member of the UCTRF who was 55 or older on 1 March 2021 (i.e. you were born on or before 1 March 1966) and you did not elect to participate in the Two Pot System before 1 September 2025 the above does not apply to you.
Click here for more information.

See also the different calculators in our Toolbox to assist you with this important step.

Best Pension Option for Me? - Read

Other options at retirement

1. Death Cover Options

Conversion option of UCT Separate Death Cover Scheme to individual cover on normal or late retirement

You have the option of converting your Separate Death Cover into an individual Life Policy free of underwriting. You will have to pay the monthly Premium, which will be determined by the life assurer based on your current age, by debit order (which is likely to be more expensive than the group rate Premium). Please speak to your HRBP for further information regarding this option.

Continuation option of UCT Separate Death Cover Scheme to individual cover on early retirement

If you early retire, you also have the option on retirement to elect to continue death cover, at the group rate Premium, under the UCT Separate Death Cover Scheme arrangement until 31 December in the year in which you reach 65 years of age. You will have to pay the monthly Premium by debit order. Please speak to your HRBP for further information regarding this option.

2. Funeral Cover Conversion Option

If you are a member of the Immediate Family Funeral Scheme you have the option of converting the funeral cover into an individual Policy free from underwriting, in the event of ceasing to be employed by the Employer for any reason other than medical and/or health related reasons on or before attaining Normal Retirement Age and if you have been covered under the Policy for a period exceeding 6 months. You will have to pay the monthly Premium, which will be determined by the insurer based on your current age. Please speak to your HRBP for further information regarding this option.

3. Transferring leave pay to the UCTRF

You have the option of transferring up to 55% of your leave pay into the UCTRF and receive tax relief on this contribution. You can claim a tax deduction for all contributions you make towards retirement savings up to 27,5% of your total cost to company package, subject to a maximum of R430 000 per tax year. Therefore, if your total contributions towards retirement savings is less than the allowable tax -deductible amount you may make an Additional Contribution from your leave pay and receive tax relief on this amount.

Please note that if you select this option, your HR157 form must be submitted by the 3rd of the month in which you leave UCT (for example if you leave UCT on 31 December your form must be submitted by no later than the 3rd of December).

Section 37D Deductions

Please Note:

In accordance with Section 37D of the Pension Funds Act, certain amounts may be deducted from your Accumulated Retirement Savings before your benefit is paid.

These amounts will be deducted proportionately from the Vested Share and the Non-Vested Share in your Vested Pot, your Retirement Pot and your Savings Pot.

These include: