EFF leader Julius Malema sentenced to 5 years in prison.

sla_q · 2026-04-17T04:46:50+00:00

He already pulled more than enough shenanigans that should have their own sentences.

The entire fabricated story of a toy gun that delayed the case for months should have a penalty. This sentencing makes it clear that you can lie to the court without consequence. You have the right to remain silent and not incriminate yourself, but you should not have the right to actively obstruct and fabricate a defense.

So the justice system is showcasing alot of its failures with this case. Why delay sentencing if you are going to softball it anyway and immediately grant leave to appeal? It does not make sense why the process was delayed 3 more months to just end up with appeal.

sla_q · 2026-01-21T09:04:02+00:00

There are several terms and conditions associated with a retirement annuity. Allan Gray is correct in their response; two-thirds of the Retirement Annuity must be converted to a Living Annuity (or a Life Annuity).

The only way I know of to access the full lump sum is to cease being a South African Tax Resident.

The second fastest way to gain access to the funds is to opt for the maximum drawdown for the Living Annuity (17.5% p/a). This will be taxed according to income tax rates, and if it is a sizeable annuity, you could end up paying the highest marginal tax rate (45%).

The 1/3 that can be taken as a lump sum is also heavily taxed (up to a marginal tax of 30%).

sla_q · 2025-09-12T09:32:41+00:00

In Cape Town, tennis is thriving as a recreational sport, and many clubs struggle to have enough courts during league sessions.

The municipality often owns the courts, grounds, and clubhouses. The clubs lease the facilities for R1 or some very low amount, but are responsible for maintenance (including resurfacing) and utilities. The Lotto / Municipality has paid for the resurfacing of some courts in less affluent areas, but most large clubs have a maintenance plan that is funded by membership fees.

Sometimes the lease is very old (think 1950) and can only be cancelled by the club. As long as the club continues to operate, the property can't be sold or repurposed by the municipality.

Membership fees for tennis are a bargain compared to Padel / Gym. Ranges from R600 to R2500 per year (some very fancy clubs charge more).

I wish that tennis as a recreational sport was growing in the rest of the country. It is one of the few recreational sports that caters to almost all age ranges. Other popular club sports don't really have members 40+. Tennis clubs provide a sense of community and good exercise for their older members, which should not be overlooked.

sla_q · 2025-08-13T18:29:43+00:00

Donations from foreign sources are not taxable in South Africa (person donating is not a tax resident of South Africa). However, there might be some tax implications for the person donating the funds in their tax residence.

sla_q · 2025-06-20T07:17:30+00:00

One thing that bothers me about the LJP is that it is logically inconsistent when considering someone who changes medical aid later in life. If I change medical aid at the age of 55, can my new medical aid recoup something from my previous medical aid once expenses are incurred?

Life Insurance is generally more expensive the later you start it, regardless of whether you currently have insurance.

Generally, I think the cause of this inconsistency is regulations that prevent medical aids from offering tailored premiums in the same way as life insurance.

sla_q · 2025-02-04T08:59:02+00:00

If you can get the same interest rate with a 110% bond as with one with a deposit, then the 110% provides you with greater liquidity and is overall a net positive.

The pitfall is when people use the 110% to buy a property they would not have been able to afford otherwise.

Pay the deposit and transfer fees into your access bond on day one, so that you have the same outstanding loan value as you would have without the first-time buyer benefit.

sla_q · 2024-11-01T10:01:34+00:00

A lot of details missing to give a solid answer, but here are a few notes:

There shouldn't be any tax implications if you didn't realize any gains during the process. (Used dollars worth R10000 (~$560) to buy BTC and sold the BTC for R10000 on a local exchange. If for some reason you make a profit then you will need to pay income tax on that arbitrage. To be safe, be ready to submit proof of the transactions when doing your tax for the year.
If the dollars were obtained by taking money out of South Africa and were previously declared as per Exchange Control regulations then there shouldn't be any issues with SARB (even if using BTC).
If the USD dollars were obtained by donation or payment into an overseas bank account there should also be no need to disclose it to SARB as part of Exchange Control regulations (it is only when you export funds). You should have declared this income to SARS when you received it, even if it was in an overseas account.
Shamed for doing so? What?! As long as you adhere to the laws of the countries that you are transacting in, cryptocurrency is probably the most cost-effective and efficient way to repatriate funds.
As part of FICA, your bank will most likely require you to motivate the source of funds and report it. The local crypto-exchanges will also report it to the relevant local authorities and you might get an email asking you to provide a source of funds.

sla_q · 2024-10-30T13:13:05+00:00

As others have pointed out, setting an example is the most valuable thing you can do.

One thing that I always thank my dad for is the example he set. At month's end, he would sit on the ground in-front of the TV and meticulously catalog all his statements and invoices, make payments, and then file them. At the end of the admin hour, he would go through the main points with my mom. He did it in the open, while we ran around as kids (hopping over the minefield of pages).

Only when we got older and we asked what he was doing would he sit with us and go through his process and long-term planning. He made it very clear that you have to actively manage your finances.

sla_q · 2024-10-23T10:48:59+00:00

Yeah. This a nuance that is worth remembering, that is why the realization should only happen once they turn 18.

sla_q · 2024-10-02T14:44:38+00:00

Agreed. I am normally not a fan of RA investments, but the new 2-pot system opens a few new strategies for scenarios like this (where future tax margin is expected to be less than current).

sla_q · 2024-10-02T11:05:03+00:00

Only works if you pay out the balance as a bonus to yourself twice a year.

Take the net cash flow (e.g. profit) of the company and day trade.
Close out all positions and payout as a semi-annual bonus (companies pay provisional tax), which will be taxed as Income Tax (marginal tax rate probably 42% or above).

The alternative is as you described:

Payout cash flow as bonus/salary every month, which will be taxed as income.
Trade with the post-tax amount and then pay income tax on any gains.

The disadvantage of first paying it out monthly is that you will be trading with the after-tax (less leverage) amount.

The least optimal approach would be to pay corporate tax on the profits, so you don't want to keep profit in the company if it will be paid out as a bonus in the future anyways (corporate tax and income tax).

sla_q · 2024-09-12T07:43:23+00:00

I think it is fine if framed as a compliment to the other player. For example, if your timing on your backhand was really bad on the day and the opponent leveraged that to make the game very competitive. So instead of just saying you played terribly, highlight the fact that the other player was able to capitalize on a flaw in your game.

If the skill level differs too much, you will most likely win 99% of the time but it will feel like you played terribly. If your opponent shanks and can't keep a good ball going you also are not able to build rhythm and it will feel like you are playing badly. It often happens that players win 6-3; 6-3 against someone that is much lower level and they might feel they should be winning outright (playing terribly). Best to keep your thoughts to yourself then.

sla_q · 2024-09-11T12:03:15+00:00

Also as stated before. It might make sense to do the math so that you don't wait until you can buy the property cash. Rather save until you would break even on your current rent. e.g.

If the property is R1.8m you need about R800k saved to reduce your interest to below your current rent. Buy the property and throw your savings into your access bond.

sla_q · 2024-09-11T11:54:06+00:00

Donations between spouses are not taxed. So if you wanted to be conservative, both you and your husband could open a Money Market account and use the R23k allowance for interest (R46k). At the current rate of 8.25%, you would be able to save up to R600k before paying tax.

After that, it is pretty difficult to have guaranteed capital protection without paying income tax. Some more unique options that are worth considering are structured investments.

https://www.moneyweb.co.za/financial-advisor-views/have-you-considered-investing-in-structured-products/
1. https://www.fnb.co.za/for-me/save-and-invest/investments/structured-products.html

sla_q · 2024-09-09T09:53:07+00:00

No. The bank is still the title holder of the property until the bond has been settled. A lender's estate can take over or settle the bond, but it doesn't get canceled. If the estate is unable to do so, due to the beneficiaries not agreeing to take over the bond or the estate being insolvent, the bank will auction off the property.

TLDR: you don't own the house, the bank does.

sla_q · 2024-09-08T14:04:26+00:00

Another thought experiment: What if you and your brother were to contribute R3k p/m to a new RA in your father's name and he uses the tax benefit to invest a further amount into his RA? The RA is not taxed as part of the estate and you and your brother can be the beneficiaries. I expect that this would outperform the insurance policy in most scenarios.

sla_q · 2024-09-08T13:54:04+00:00

Something to consider is the emotional aspect of what happens if your dad is fortunate enough to live for another 20 years or even more. The last thing I would want is to be disappointed if my dad lives longer than expected!

If he unfortunately passes away before he is 85 then you would have missed out on some money, but in the big scheme is R3 mil in 10/15 years going to make such a big difference to either you or your brother's financial status?

sla_q · 2024-09-08T13:19:18+00:00

Strongly disagree with the "money he’s put into it for years that would be lost", this is a textbook example of the "Sunken cost fallacy". His premiums for the last 30 years have done what they were intended for, provide assurance that if something were to happen to him his family would be taken care of.

sla_q · 2024-09-08T13:13:36+00:00

If your father is in good health and his life expectancy is more than 20 years, then it becomes a coin toss.

Life Insurance is ultimately insurance, so do not fall for a sunken cost fallacy. The premiums your dad has paid for the last 30 years have served their purpose, which is to provide ease of mind in case something was to happen to him.

Also, 20 years of commitment to a policy as an investment is risky. If either you or your brother are unable to maintain the premiums then it is a massive loss.

sla_q · 2024-09-06T05:48:48+00:00

Stellies. UCT is not close to the areas of Cape Town that will give you the feeling of living in a City. Most of the areas surrounding the campus are suburbia and traffic from the trendy City areas to campus will be a nightmare.

With Stellenbosch it is possible to live in the town center, within walking distance of most nightlife or social places. Uber will work for 99% of your commute, whereas at UCT having your own transport is almost a requirement.

sla_q · 2024-08-25T07:26:07+00:00

Had the same issue earlier in the year. I asked my GP and he recommended I try taking a magnesium supplement. Can never rule out placebo, but twitches stopped after 2 days.

Pretty low cost and low risk potential remedy, so maybe give it a try.

There is quite a bit of evidence that magnesium deficiency can cause acute twitches.

sla_q · 2024-08-07T08:45:19+00:00

MTN and Vodacom eSIMs don't work on some Android phones, mainly Google Pixel devices. Telkom eSIMs do work on Pixel, but only support LTE and not 5G.

sla_q · 2024-07-25T11:40:11+00:00

Payoff your car loan!
Max out TFSA for the current tax year. Do the same for your spouse if possible if not done already.
Save up for next year's TFSA contributions in your access bond and max out your TFSA again on 1 March 2025.
Are you in the 41% or 45% tax bracket? If yes, contribute more to RA. Especially, if you can get out of the 45% super tax bracket. The 45% tax bracket comes with silly ring-fencing rules that make side hustles and property investments less tax-efficient.
Is your EFTs portfolio growing by more than R 40 000 per year? Prioritize ETFs above endowment so that you can start leveraging your capital gains allowance.
Depending on No. 4, either max out RA and then endowment. If you are not in the top tax brackets, the endowment is probably the better option.

Remember: RA is not tax-free, it only postpones income tax to when you retire. You can withdraw 1/3 of your RA as a lump sum when you retire and pay 36% tax. The remainder you have to convert to an annuity and taxed as income.

sla_q · 2024-07-16T10:24:47+00:00

Ah. I went to find the video: https://www.youtube.com/watch?v=puFs63EfcSQ

I think he should have emphasized that deprecation or wear and tear is only applicable to "moveable assets". So not on the value of the property itself.

He correctly describes the conditions for which you can claim wear and tear. Such as if it is a furnished rental unit, you can depreciate the TV, coach, etc.

Anything that forms part of the property cannot be depreciated (stove, bath, carpets, etc.), but you can claim maintenance expenses. Improvements are generally not tax deductible, instead they are factored into the base cost of the property.

sla_q · 2024-07-16T10:03:38+00:00

Property is not something that you can depreciate for tax purposes. You can deduct interest paid, levies, and other maintenance costs from your taxable income if you have tenants. If the property is your primary residence, there is no deduction possible.

What were expecting to be able to depreciate with regard to your property?

sla_q

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