It’s a celebrated fact that South Africa is one of the world’s best travel and tourism destinations. However, did you know that in recent years, South Africa has become a hub for foreign retirees looking to create a new home?
An affordable lifestyle, world-class medical facilities, household support, sporting hobbies, and a great climate are among the comforts (if not luxuries) that international retirees can take pleasure in. Is it any wonder then that many people are shifting to sunny South Africa when it comes to settling in style?
However, a question we hear often is 'Do I have to be old to get a Retirement Permit?’ The quick answer is 'no'. You can be any age - there are no minimum or maximum age requirements. Here are some answers to the most frequently asked questions:
What are the requirements to obtain a Retirement Permanent Residence Permit?
There are a number of items, which include:
Permanent residency application form
Medical and radiological reports
Police clearance certificate(s)
Yellow fever certificate (where applicable)
What is most important to note, however, is that:
A retired permit application on a permanent basis is made by showing a guaranteed monthly income of R37,000 per month. This is done either via an irrevocable annuity or a combination of assets such as rental income or a private pension. The Permanent Residence Permit is valid indefinitely, but the holder must visit South Africa at least once every three years to maintain it
One also has the option of a financially independent permit. This requires the applicant to have a net worth of R12 million, and the individual must pay a once-off fee of R120,000 to the Department of Home Affairs. The holder must also visit South Africa at least once every three years to maintain the permit
How long does the application process take?
Applications submitted abroad or in South Africa tend to take around 2 years to be processed.
Can I work on a Retirement Permit?
The assumption is that if you are on a Retirement Permit you aren't actively seeking work. However, if one does wish to work while on a Retirement Permit, the Department of Home Affairs will treat each request on a case-by-case basis.
With a Retirement Permit, can I bring my spouse or child?
Yes, it is possible to bring a dependent. However, in cases where an applicant successfully obtains permanent residence as a retired person, their spouse and/or dependent children, i.e. those aged under 21 will also qualify for permanent residency.
Cool fact: South Africa is tax-friendly to retirees. It has in place numerous double taxation agreements, no tax on foreign sourced pensions schemes and a very low capital gains tax rate (which is great for those with a large amount of capital).
Convinced that South Africa should be your home for life? Let us know if you’re interested in applying for a Retirement Permanent Residence Permit in South Africa and one of our experts will be happy to help!