With unemployment at an all-time high in South Africa, a growing number of people are considering cashing out their pension funds to cover more immediate costs.

Sherwin Govender business development manager at Glacier by Sanlam, highlights a number of scenarios one should consider before taking this step, warning that you shouldn’t rob your retired self.

Retirement savings are your money – but they belong to you when you retire, said Govender.

“Spending it now could mean that you won’t have enough saved to live on when you retire. Not having enough retirement savings means you will need to find income-generating employment after you retire……

What you should know before cashing out your pension in South Africa – and what it will cost you