R7 Billion Paid Out Under Two-Pot System

Alexforbes reports that an impressive R7 billion in claims has already been processed through the newly implemented two-pot retirement system. This landmark achievement reflects the system’s growing impact, offering South Africans more financial flexibility while ensuring long-term savings remain intact.

By January 30, 2025, Alexforbes had successfully handled 370,000 claims, disbursing over R7 billion since the two-pot retirement system took effect on September 1, 2024. This milestone underscores the system’s rapid adoption, offering South Africans a new way to access their retirement savings while maintaining financial security for the future.

These findings stem from an extensive survey with over 8,200 responses, combined with in-depth data analysis of more than one million members, providing valuable insights into the impact of the two-pot retirement system.

With the two-pot system enabling fund members to withdraw a portion of their savings for immediate financial needs while safeguarding the rest for retirement, projections suggest that new members could see their retirement benefits grow by 2 to 2.5 times over time.

As of November 30, 2024, more than 348,000 claims had been filed, totaling over R6.5 billion. Notably, approximately 65% of these claims were submitted in September 2024, the very month the two-pot retirement system was introduced, highlighting the overwhelming initial demand for early access to savings.

By November 30, over 97% of savings pot claims had been successfully processed, with an impressive average turnaround time of just eight working days, ensuring quick access to funds for members in need.