Lemarque Sadler CFP®
Calculators

What does an RA do to your tax?

A retirement annuity is one of the few ways to legally lower your income tax while building wealth. Enter a few numbers below to see your tax before and after a contribution, worked out on the 2026/27 SARS tables.

Used to apply the correct SARS rebate.
Enter a Rand amount, or switch to a percentage of your income.

Your result (2026/27 tax year)

Annual income—
Deductible RA contribution—
Annual tax before RA—
Annual tax after RA—
Tax you save this year—
Effective tax rate (before → after)—
Real cost of the contribution—

Assumptions — for illustration only

  • Figures use the 2026/27 SARS tax tables (year ending 28 February 2027).
  • The amount you enter is treated as your taxable income before any RA deduction. Other deductions, medical tax credits, fringe benefits and capital gains are not included.
  • Your RA deduction is limited to the lesser of 27.5% of income and R 430 000 per year, as per Section 11F.
  • Any contribution above that limit is a disallowed contribution for this year. It is carried forward and is not lost.
  • This calculator is a general illustration, not financial advice. Your own position should be confirmed with your adviser before you act.
Next step

Want this done properly, across all your pots?

This shows one contribution in one year. A real plan structures your RA alongside your pension, discretionary and offshore money. Let's talk it through.

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