Site url:
Pagecontext: org.apache.jasper.runtime.PageContextImpl@6a22a7d2
page.keywordsEmployee benefits, Medical aid for employees, Retirement annuities for employees, Group insurance, Business short-term insurance, Key person life insurance, Workplace health and wellness
Many wooden pots with patterns in turquoise blue, cream, brown and black.

Two-pot retirement system

The 2-pot retirement system is how your retirement savings will be separated. From 1 March 2025, your retirement savings will be split into 3 components. The vested component will be made up of your accumulated retirement savings on 28 February 2025. You’ll have access to a cash portion (savings component) while preserving the rest for retirement (retirement component).

We’ll keep you informed every step of the way - this is the place to explore up-to-date resources and learn everything you need to know about the legislation so you can empower yourself on your journey to success.

Illustration of 3 clay pots with patterns showing vested component, 1/3 savings component and 2/3 retirement component.

What is the two pot retirement system?

Coming into effect on 1 March 2025, the 2 pot system will change the future of retirement planning in South Africa.

Here's what you need to know:

The vested component: This component is made up of your accumulated retirement savings on 28 February 2025. This money will be protected, and the 2-pot rules will not apply to it. 10% of your accumulated retirement savings or R30 000, whichever is the lowest, will be transferred to the savings component.
The savings component: One third of your contributions from 1 March 2025 will go into your savings component. You can tap into this component once every tax year for unforeseen circumstances. The minimum withdrawal amount is R2 000 and will be taxed.
The retirement component: Two thirds of your contributions from 1 March 2025 will go into your retirement component. This is your primary savings component that you can only access at retirement.
Black family of three with the little boy on his father’s shoulders and the mother looking at them smiling.

Why is the two-pot retirement system important

  • The two-pot system can help you save more for retirement, protect your retirement savings, and make better retirement planning decisions.
  • The savings component gives you access to some of your retirement savings in an emergency. This can help you avoid dipping into your retirement savings too early, which can reduce the amount of money you have available when you retire.
  • The retirement component is locked away until you retire. This helps protect your retirement savings from being accessed too early or lost due to financial hardship.

Two-pot resource centre

Find all the resources and tools you need to understand how the two-pot system will impact your retirement goals.

Need help?

Here is the place to find the latest updates on the legislation so you can always make informed financial decisions.


Talk to someone

We and our selected partners use cookies to enhance and personalise your experience on our website.Please see our cookie policy for more information.

To enhance your user experience on our site, learn more about our supported browsers

Your browser's cookies are disabled. Enable cookies to ensure our website functions correctly. View our Privacy Notice.