As discussed in previous communications, the key proposals to move towards the two-pot retirement system, was first published by National Treasury in the draft Revenue Laws Amendment Bill (RLAB) on 29 July 2022. The second draft of the RLAB was issued on 9 June 2023. The final RLAB was published on 1 November 2023, wherein it was proposed that the implementation date of the two-pot retirement system take place on 1 March 2025.
The Standing Committee on Finance (SCoF) hearing in Parliament to discuss and approve the RLAB was held on 21 November 2023. The SCoF had rejected the postponement of implementation and the matter was referred to the Minister of Finance for him to provide his view to the SCoF. The uniform agreement was that the implementation date of the two-pot retirement system must be 1 March 2024.
The Minister of Finance responded to the SCoF and proposed an effective date of 1 September 2024. The SCoF has agreed to a compromise of the delayed implementation date of the two-pot system from 1 March 2024 to 1 September 2024.