Author Topic: TAX Efficient options for cash  (Read 386 times)

jonb

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TAX Efficient options for cash
« on: January 13, 2020, 02:48:12 pm »
Hi All

Been a while since I have been on here! hope all the OG's are alive and kicking  :TU:

I sold a property earlier last year (perfect timing!) and been sitting with the money in cash / My tax guy just told me though that the interest earned will be taxed 45% along with my standard monthly earnings!

So, in essence, that means if a money market fund was belting it and giving you 8% you only just actually getting over 4%

Hoping for some thoughts on these options


1. Buy another property and live in it (don't own property and am currently renting, not sure if I will always live in SA hence wanting liquid but can always let out)

2. I have already used my 209 and 2020 offshore limit, so get a tax clearance and move this cash offshore and slowly feed into a portfolio based in USD ( this portfolio is around 5 years old and pretty well-diversified)

3. Put in in a Satrix world ETF for easy management (easiest option)

4. Keep in cash! (after tax its like 4% max  :-[


I appreciate any thoughts on this!