Financial Fitness - Budget 2024

By Naledi Mokoena

Budget 2024 brought with it no rate hike but also no inflation adjustment; the flip side of this coin is that taxpayers who receive increases will move into higher tax brackets (also known as fiscal drag - which has nothing to do with performance art). When drawing up personal budgets this possibility, plus sin taxes, petrol and income tax all need to be factored into financial projections - which may well mean the buying power of net income could decrease.

To Help With Tax Calculations We Looked At The SARS Tax Breaks 2024:

In this edition we also unpack the two pot system - The SARS table below reflects the tax implications:

Retirement fund lump sum withdrawal benefits consist of lump sums from pension, provident, pension preservation or retirement annuity fund on withdrawal (including assignment in terms of a divorce order).

Source: Dotnews | Pgpslaw | SARS