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Two-Pot Retirement System

Research has shown that most individuals withdraw their entire retirement pot when they change jobs, with some fund companies recording a “cash-in” rate of up to 80%.

This excludes Retirement Annuities, which are locked in until retirement.

Individuals have needed to access their retirement funds to keep afloat – preCovid recession, during the Covid period and as a result of post-Covid implications (i.e. financial hardship is a reality more than ever today!). 

Many cases of resignations/job hopping were recorded just to facilitate access to these funds.

 

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