JOHANNESBURG - More South Africans will be able to fund their retirement according to data released by Alex Forbes.
But many more will face lost income and poverty - when it's too late to save. Retirement savings in focus as only one in ten will live comfortably
Alex Forbes is one of South Africa's biggest financial service providers focusing on retirement with 1.1 million active members.
It says the number of contributors to Alex Forbes-administered funds who are expected to have an income of at least 75% of their final pensionable salary has gone from 6% to 10%.
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That's a significant increase but it still means that only one in ten will be able to enjoy a comfortable retirement.
This figure excludes South Africans who aren't saving at all.
The data shows that someone who contributes 15% of their salary towards retirement for 40 years could achieve the required amount.
But less time, less money or withdrawals from the two-pot system can all lead to significantly lower income.