So, we’ve made it through the longest month of the year and we’re still standing!
Kids have settled into their new year and schedules are beginning to run at full steam. New years resolutions are working out pretty well, or if you’re like the majority of the population, they’re already out the window.
Now we face the month of Love and Taxes! Which in itself can bring on a whole new set of stress and anxiety.
If you’re in a committed relationship or even situationship, there is the pressure of professing and showing your love for your partner with grand gestures in order to not end up in the dog box before month’s end.
Love Yourself
If you’re single, you have the pressure of having to explain why you’re not in a loving relationship, or feel the pinch of watching others around you be spoilt by their significant others. All this while making sure you have everything prepared for month end’s financial year end to avoid having SARS breathing down your neck.
This can all become so overwhelming and exhausting, and we’re still in the beginning of the year! How will we make it through the rest of the year??
Well… why not make this month about loving and appreciating YOU?! There is no one more important and deserves to be more appreciated than YOU in your life. So why not make the time and effort for some self-love and care this month?
Don’t have that significant other? Then romance and spoil yourself! We have a few ideas for you to try this Valentine’s Day, even if you do have a loved one and wish to try things differently this year:
Things You can do for You
We have had the most beautiful summer days recently, plan a sunset picnic with a glass of wine, sharing it with your loved one, some friends or even with yourself. Taking the time to enjoy and appreciate the beauty and splendour our beautiful earth blesses us with every day.
Take a late night refreshing swim under the stars, the moon will be heading to a new moon so there will be a better opportunity to see more stars and appreciate how even in darkness there is always a light shinning, we just have to look up.
If you’re more of a city slicker, then take yourself out on a date. Put on an outfit that makes you feel fabulous and get your hair done, book yourself a table at a restaurant where you can enjoy a scrumptious meal and get your groove on by dancing the night away. If you’re still not brave enough to do this alone then make it a fun night out with friends.
Plan a night in of pampering if you’re not in the mood for going out. Run a hot bath filled with bubbles and fill the room with candles. Pour yourself a glass of wine or your favourite cocktail. Put on some music that soothes your soul, calms your mind and relaxes your body…all to get you ready and motivated to tackle your taxes at month end!
The Month of Red and Green
While we are planning our Valentines spoils, February is also the month for the Budget Speech and the closing of the 2023 tax year.
Many investors enquire as to how they can take advantage of the annual tax incentives offered by the South African Revenue Services (SARS).
Two products that provide annual tax incentives are a retirement annuity (RA) and a Tax Free Savings Account (TFSA).
Please see brief explanation of the two products below:
Retirement Annuity
Retirement Annuity (RA)– is an investment product that can be used to provide long term savings towards retirement or to bolster retirement savings such as pension/provident funds. The tax efficiency offered by an RA is through reducing taxable income. Contributions to RA’s are tax deductible, up to a limit of 27.5% of your income or capped at R 350,000. This limit does also include any contributions made by your company, such as a pension fund contribution. The returns you earn within your retirement annuity are tax free, which provides the benefit of compound interest growth. Retirement Annuity investments is a long term investment and can only be accessed at 55 years old (except in special circumstances).
Tax Free Savings Account
Tax Free Savings Account (TFSA) – is an investment that is liquid (not a fixed investment term) which allows you to save towards a specific goal or towards your retirement plan. Investing in a Tax Free Savings Account allows the investor to maximize the growth on their investments as the growth is free from capital gains tax and dividends tax. The annual investment is R 36,000 per tax year up to a lifetime maximum of R 500,000.
February is a good month to review financial goals to make sure you are still on track with both your near term goals and future term goals.
Our first Fear, Stress and Anxiety workshop commences now on the 4th February and we are so excited to kick start the year with the amazing group of people who have signed up.
So if you take anything from this month of love, remember that you can only love another when you love yourself first!
So, make YOU the priority in your life!
