You can withdraw this money when you retire. You can withdraw, for emergencies, a minimum of R2 000 (before fees and taxes) once a tax year without leaving your employer.
Example:
You have R150 000 in your retirement savings on 29 February 2024 and your net retirement contribution is R900 per month.
R15 000 (10% of R150 000) will be transferred to your savings component. The remaining retirement savings in your vested component (dealt with in part one) will be R135 000. No further contributions will go to your vested component.
The amount in your savings component will be R15 000. R300 (one third of your monthly contribution of R900) will go to your savings component every month. It can be accessed in emergencies or at retirement.
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Source: Momentum. Edited by Anton Schutte: Talent and Recruitment Manager and Certified Financial Planner®: PWG Group