Pension Fund

Why AVCs and Other Options Matter

Why Plan for Retirement?People are living longer thanks to medical advances, but most retire around age 60. That means you could live another 20–30 years without a salary. To avoid financial hardship in retirement, you must start saving early and save enough.

AVCs are extra contributions you make to your pension fund over and above the standard employer-employee contributions. They can significantly boost your retirement savings due to compound growth.
“Contributing just 1% more of your salary could increase your retirement payout by more than three times.”
Benefits of AVCs
Tax Note: In Namibia, AVCs are not tax-deductible, so consult a financial advisor to see how they fit into your financial plan.
Preserve Your Retirement Savings
Many people cash out their pension when changing jobs, but this hurts your long-term savings. Instead, consider:
Explore Other Retirement Options
Retirement Annuities (RAs)
Boosting your retirement income is not only about saving more—it's about saving smarter and earlier. AVCs, RAs, and preserving your pension all help close the gap and ensure a comfortable future.
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