Fund Info

About the Fund

The TFG Retirement Fund (the “Fund”) is effectively a “savings plan” established by your company to help you save for retirement.

It is a defined contribution pension fund. This means that each month both you and the company contribute a percentage of your salary to the Fund. You are also allowed to make Additional Voluntary Contributions to the Fund. Defined contribution means that the benefit you receive (be it through retirement or otherwise), depends mainly on how much you have accumulated in the Fund. This is called your Fund Value.

The contributions you accumulate in the Fund will earn investment returns for you, so that you are able to receive a reasonable pension one day when you have retired and you are no longer earning a salary.

      Block 3 Fund Expenses  

The main aim of the Fund is to provide you with the greatest likelihood of securing a reasonable pension at retirement. The Fund therefore aims to achieve superior investment returns on your Fund Value and keeps costs to a minimum. 

It also aims to provide support for you and your family in the event of your disablement or death whilst being an active member of the Fund.

Who does the Fund belong to?

The TFG Retirement Fund is a separate legal entity, which is registered (registration number 12/8/34554) with the Financial Sector Conduct Authority (“FSCA”). The FSCA ensures that the Fund is managed and administered in accordance with the Pension Funds Act and related legislation. The Fund is also approved by SARS ("South African Revenue Services"), which means that there are certain tax concessions when contributions are paid to the Fund and when benefits are paid by the Fund. 

Since the Fund is a separate legal entity from the company and it operates and exists solely for you and your dependants, it belongs equally to you and the company. Through the election of Trustees, both parties have a say in how the Fund is run. 

Fund Membership


 

Active Members 

All Grade 9 and above full-time permanent employees of The Foschini Group Limited or subsidiaries in South Africa and Lesotho will automatically become members of the Fund at the start of their employment. 

Full-time permanent employees Grade 10 and below, may join with immediate effect or at any time thereafter. However, membership becomes compulsory after 24 months of continuous employment. 

Permanent employees who work variable hours (flexitimers) may join the Fund, provided that they have 3 months of continuous service. However, membership becomes compulsory after 27 months of continuous employment. 

Fixed term/contract employees, as a result of their employment contract, are not entitled to join the Fund. 

All new employees must be under the age of 65 to become members of the Fund. Click here for more on the steps you need to take as a new member. 

Be sure to read the Active Member Guide for all aspects of membership. 

The active membership profile for 2018 was as follows:

Number of members as at 1 January 2018 12 902
New members 2 847
Less  
Withdrawals 2 817
Retrenchments 28
Transfers out 54
Retirements 62
Deaths 33
Transfers from active to deferred membership 42
Number of members as at 31 December 2018 12 713

Disability Members 

All employees that are members of the Fund are covered under a policy with an insurer. The monthly Income Protection Benefit amounts to 75% of monthly Total Guaranteed Package (TGP), subject to capping and evidence of health limits, as well as other policy conditions as determined by the insurer. 

A disability member is a member who is in receipt of the monthly Income Protection Benefit. Contributions to the Fund will continue. The benefit will be paid from the date the claim is approved until such time that the member recovers and is able to return to work, or until such time that he or she passes away or reaches normal retirement age.

TFG Pensioners 

A Pensioner is a retired member who is in receipt of a pension from the Fund.

Click here to read more about being a TFG Pensioner. 

As at 31 December 2018 the Fund had 994 Pensioners. 

Deferred Members

A deferred member is a member who has left the company’s employ and has exercised an option to preserve his/her benefit in the Fund.

A deferred retiree is a member who has retired from the company’s employ, but has not yet made an election with respect to their retirement benefit, and as such, is preserving their benefit in the Fund.

Click here to read more about being a Deferred Member. 

 As at 31 December 2018 the Fund has 297 Deferred Members.
Contributions

Active and Disability Members

Only Active Members and Disability Members make contributions to the Fund.

TFG Pensioners and Deferred Members do not contribute.

Monthly contributions are made by you as well as by the company.

Member Contribution

You contribute 7.5% of your basic salary towards your Fund Value each month.
(This means that R7,50 of every R100 you earn every month is deducted from your salary and paid over to the Fund.)

Company Contribution

The company contributes 12% of your basic salary each month. A portion of this contribution is used to cover the cost of risk benefits such as disability benefits, funeral cover, death benefits, and administration costs. The balance (on average 10%) is then allocated to your Fund Value.


      


Every month a total of at least 17.5% of your basic salary is allocated to your Fund Value and saved towards your retirement.


Am I allowed to contribute more?


You are allowed to save more into the Fund. This is known as making Additional Voluntary Contributions (AVCs) which will be deducted from your salary. AVCs are extra amounts that you may elect to save monthly or as a once-off lump sum from your bonus, in order to increase your retirement benefits. You may stop the monthly AVC at any time. 

      

    

In addition, you are able to transfer any lump sums due to you by your previous company’s fund into the TFG Retirement Fund. You may also transfer a benefit you have in a preservation fund, to the TFG Retirement Fund. 

Ask the administrator of your previous company’s fund or the preservation fund you belong to, to email the TFG Fund Administrator, who deals with transfers, for assistance with the transfer process.

Why should I make additional contributions?

There are many benefits to making AVCs towards your retirement savings in the Fund, such as:

      

      


Did you know? 

From 1 March 2016, you can claim a tax deduction for all contributions you make towards retirement savings, up to 27.5% of your total salary package, subject to a maximum of R350 000 per tax year. This includes any AVCs that you make. 

Amounts that you cannot deduct this year, you can deduct in future years or at retirement.

ALL contributions (to ALL pension funds, provident funds, and retirement annuities) form part of the tax-deductible 27.5% mentioned above. Read more about how you can benefit by making AVCs to the Fund:
 
Read more about how you can benefit by making AVCs to the Fund:

Budget 2016: Tax changes and how these affect you
How to make additional contributions


Step 1: Use the AVC Tax Calculator below to determine the total amount that you can contribute to receive the tax benefit. 

Use the AVC Tax Calculator and take advantage of this tax-efficient benefit

Step 2: Download the AVC form, complete it, and send it to tfgretirementfund@tfg.co.za

Additional Voluntary Contribution Form
Transfers In

You are able to transfer any lump sums due to you by your previous company’s fund into the TFG Retirement Fund. You may also transfer a benefit you have in a preservation fund, to the TFG Retirement Fund.

Ask the administrator of your previous company’s fund or the preservation fund you belong to, to email the TFG Fund Administrator at tfgretirementfund@tfg.co.za, for assistance with the transfer process.
Fund Management


The Fund is managed by a Board of Trustees. The Trustees are responsible for all Fund decisions that are made and have to ensure that members’ and beneficiaries’ interests are protected at all times. They are all suitably qualified individuals, and they have access to retirement industry experts and specialists where necessary. 

The Board is supported by the principal officer, who is appointed by the Board, but who must be approved by the Registrar of Pension Funds. The Principal Officer is responsible for: 

• the day-to-day management of the Fund; 
• ensuring that all statutory requirements are met; 
• ensuring that the Fund complies with the law; and 
• carrying out all the decisions taken by the Trustees. 

The Principal Officer is also the official contact person of the Fund, both for members and regulators. 

Principal Officer
Caron Harris


Caron Harris was appointed as Principal Officer with effect from 1 June 2016.

Meet the current Board of Trustees

The Board of Trustees from 13 August 2019:  
Five are member elected by members. The other five are company appointed by the company.

Member Elected
Carin Wiese Donavan Levey Kershni Johaadien Marc Van Est Rolf Walther
Carin Wiese 
Retired
Donavan Levey 
Head of Finance: 
TFG Financial Services
Kershni Johaadien
Bank Matching 
Manager
Marc van Est
Head of Tax and 
Treasury: TFG 
Finance and Advisory
Rolf Walther 
Head of Finance: 
Foschini Division 
Company Appointed
Andrea Agostini Nazneen Bray Paul Barnard Ronnie Stein Senta Morley
Andrea Agostini 
Head of Transport
and Engineering
Nazneen Bray
Head of Finance:
Retail Technology Division
Paul Barnard 
Rewards and 
Benefits Advisor
Ronnie Stein 
Chairman of Board
of Trustees
Non-Executive Director
Senta Morley 
Group Director: 
Human Resources
The Trustees hold office for a maximum of five (5) years. However, company Trustees can remain in place for more than five years if reappointed by the company; and member Trustees if re-elected by Fund members. All Trustees have a fiduciary duty to act in the best interests of the members.
 
Specialist Committees of the Board of Trustees


The Board of Trustees meet quarterly to attend to matters of the Fund. 

Over and above the Board of Trustees, in order to facilitate the smooth running of the Fund, the Trustees have set up four specialist committees that deal with the operations relating to specific areas of expertise. The Principal Officer is a member of all committees. The specialist committees make proposals and recommendations to the Board of Trustees, for approval, before implementation.  

The specialist committees of the Board are:

Investment and Strategy Sub-Committee
Ronnie Stein (Chair), Paul Barnard, Caron Harris, Senta Morley, Marc van Est, Faeza Chowglay, Matt McDonald, Rolf Walther
Benefit Sub-Committee
Paul Barnard (Chair), Karde Buys, Caron Harris, Nazleemah Karlie, Lindelwa Mazana, Renee New, Muriel Sutherland, Faeza Chowglay, Kershni Johaadien, Cindy Doyle, Andrea Agostini, Nozibele Ludidi
Financial Accounts Review Sub-Committee
Marc van Est (Chair), Caron Harris, Renee Strauss, Lauren Tiplady, Faeza Chowglay, Matt McDonald
Communication & Education Sub-Committee
Paul Barnard (Chair), Caron Harris, Renee New, Fernando Ventura, Faeza Chowglay, Megan Woods, Kershni Johaadien, Cindy Doyle


The Benefit Sub-Committee has monthly meetings. The Investment and Strategy Sub-Committee meets quarterly, as does the Communication & Education Committee. The Financial Accounts Review Committee meets annually.

Service Providers


Although the Trustees are all extremely competent, they have a duty to seek professional advice where they may not have certain expertise. The Board of Trustees receives assistance from a range of industry experts and specialists. 

The Trustees thank the service providers for their continued support and advice.

Service Provider & Function
Actuary/Valuator

Mr Johan Geldenhuis of Alexander Forbes Financial Services

Ensures the Fund is in a sound financial position and that the assets match the liabilities.
Administrator

Foschini Retail Group (Pty) Ltd

Responsible for the day-to-day administration duties of the Fund. The team in the retirement services department makes sure that contributions are received on time, your Fund Value is invested, and benefits are paid out.
Auditor

Deloitte and Touché

Checks that the financial statements have been prepared in terms of the Regulatory Reporting Requirements for Pension Funds.
Banker & Housing Loan Provider

First National Bank

Handles the Fund’s banking needs.
Communication Consultant

Simeka Consultants & Actuaries

Advises the Trustees on member communication.
Fund Consultant

Alexander Forbes Financial Services

Provides expert advice to the Trustees on all general Fund matters including the management of the Fund and the benefits provided by it.
Investment Consultants

Willis Towers Watson

Advises the Trustees on the Fund’s investment strategy.
Fund Rules & Policies


The Fund is managed according to a set of Rules, which have to comply with the requirements of the Pension Funds Act. The Rules of the Fund are registered with the FSCA and approved by SARS. The FSCA ensures that the Rules comply with all the requirements of the Pension Funds Act. 

Certain sections in the Rules have to be changed from time to time, often because of legislative changes. These changes (or amendments) will be communicated to members as and when they happen. 

A copy of the Rules of the Fund is available, at a fee, upon request via the registered office of the Fund
Smart Calculators


When you have a financial goal, you can plan your future. 

These calculators can help you plan for a better retirement. 

AVC Tax Calculator

Calculate the amount of Additional Voluntary Contributions (AVCs) you can contribute to the Fund, which you can deduct for tax purposes. Note this calculation can only be used by contributing members.
Projection Calculator

The Projection Calculator uses specific assumptions to calculate whether or not you will have sufficient capital at retirement to meet your retirement needs. Note this calculation can only be used by contributing members.
Savings Calculator

This calculator uses your current age to determine the number of years’ worth of earnings that you should have in investments today, to be able to retire at 60 or 65.
Tax Calculator

Here you can calculate the amount of tax that you are estimated to pay at resignation or retirement.
Personal Budget Tool

Download your Personal Budget Tool and start paving your way to success.


Calculator Disclaimer

The calculators found on this website are customised and incorporate long-term assumptions that have been approved by the TFG Retirement Fund Board of Trustees. The calculators found on external websites use their own assumptions which are not TFG Retirement Fund specific and therefore the results may differ.

The calculators and models on this site are based on certain reasonable assumptions, which may or may not be borne out in reality.
Fund Forms


 

Active Members 

Benefit Option Counselling Video
Click play on the video below to learn more about the options available to you when you leave the fund.
Retirement Option Counselling Video
Click play on the video below to learn more about the options available to you when you retire.

Deferred Members 

Benefit Option Counselling Video
Click play on the video below to learn more about the options available to you when you leave the fund.
Retirement Option Counselling Video
Click play on the video below to learn more about the options available to you when you retire.

Deferred Retirees 

Disability Members 

Benefit Option Counselling Video
Click play on the video below to learn more about the options available to you when you leave the fund.
Retirement Option Counselling Video
Click play on the video below to learn more about the options available to you when you retire.
Explanation of Terms

Some of the terms used on this site are seldom used in everyday life, and are therefore not always easy to understand. Here are explanations of some of the commonly used terms.

Actuary

A person who values a fund to determine whether it has sufficient assets to pay benefits.

Adjudicator

The Adjudicator’s purpose is to dispose of complaints lodged in terms of section 30B of the Pension Funds Act in a procedurally fair, economical and expedient manner. The office of the Pension Funds Adjudicator is established in terms of the Pension Funds Act.

Administrator

A company appointed by a fund in terms of an administration agreement, whom the Trustees delegate to assume all the administrative functions of a fund. Administrators are not permitted to control the assets of the fund other than operating the fund’s bank account and keeping safe custody of documents.

Basic Salary

The amount of money a member earns per month, on which the contribution is based.

Beneficiary

A person who is or becomes entitled to receive a benefit in terms of the Rules and/or the Trustees' discretion.

Commutation

A portion of a pension or annuity that can be taken as a cash lump sum.

Commissioner of Pension Funds

The executive and deputy executive in terms of Section 1 of the Financial Sector Conduct Authority Act. The Registrar regulates the industry and required fund reports regularly, on a variety of topics.

Company

The Foschini Group Limited or subsidiaries (the company).

Compound Interest

Also known as “interest on interest”. Interest is earned on the initial amount, but also on interest earned earlier.

Contributions

Amounts paid or payable by a member and/or his company in terms of the Rules of the Fund.

Deferred Member

A member who has terminated his/her services with the company prior to reaching retirement age and is preserving/saving his/her money in the Fund.

Deferred Retiree

A member who retires from the company, but does not need a pension straight away, will not be compelled to retire from the Fund. The member therefore becomes a Deferred Retiree.

Defined Contribution (DC) Fund

A fund where contributions are defined, but where there is no formula to calculate benefits. On leaving, the benefit consists of the total of all contributions made on the member’s behalf, together with the investment returns earned (less costs). In DC funds, members receive either the upside or the downside of investment returns.

De minimis

De minimis is a Latin expression meaning about minimal things. Therefore, in terms of the pension fund it means that if a retiree’s Fund Value is less than a certain amount, they have the option to take their full Fund Value in cash.

Dependant

A person who, in the opinion of the Trustees, is completely or almost completely dependent on the member for maintenance and support. This includes a member of the deceased member’s family who inherits the liabilities and responsibilities of the deceased. (Full definition in the Pension Funds Act.)


Financial Sector Conduct Authority (FSCA)

A statutory body that functions as the regulator for the financial services industry.

Fund Value

The total of the member credit/contributions plus the company credit/contributions. This includes the investment returns.

Pension Supported Housing Loan

In terms of Section 19(5) of the Pensions Funds Act, a fund may grant housing loans to members using their share of fund as collateral, normally through a third-party service provider.

Insured Benefits

A portion of the company’s contributions used to provide members with death, disability and funeral benefits.

Interest Rates and Fund Returns

The Fund’s actuary calculates the investment return from the information received from the Fund’s investment managers on a monthly basis.

Membership of the Fund

All Grade 9 and above full-time permanent employees of The Foschini Group Limited or subsidiaries in South Africa and Lesotho will automatically become members of the Fund at the start of their employment.

 

Full-time permanent employees Grade 10 and below, may join with immediate effect or at any time thereafter. However, membership becomes compulsory after 24 months of continuous employment.

 

Permanent Employees who work variable hours (flexitimers) may join the Fund, provided that they have 3 months of continuous service. However, membership becomes compulsory after 27 months of continuous employment.

 

Fixed term/contract employees, as a result of their employment contract, are not entitled to join the Fund.

 

All new employees must be under the age of 60 to become members of the Fund.

Non-member Spouse

The ex-spouse (ex-husband/wife) of a current member.

Normal Retirement Date

The first day of the month following or coinciding with the member’s normal retirement age.

PF Circular

A Pension Fund Circular issued by the Financial Sector Conduct Authority. It is a practice note, which has no binding power in law. A practice note is issued by SARS.

Pensioner

A person that receives a pension from the Fund.

Pension Fund

A fund, as defined in the Pension Funds Act, which provides pension and/or benefits for members on retirement. A maximum of one-third of the retirement benefit may be taken in cash and at least two-thirds must be taken as a pension, as per the Income Tax Act.

Preservation Fund

Used to preserve or “park” retirement money without it being taxed when people move between jobs. A preservation fund may be either a pension or provident fund. You may only transfer to a Pension Preservation Fund.

Principal Officer

A person appointed in terms of Section 8 of the Pension Funds Act, who may also be a member of the Fund’s Board of Trustees. The Principal Officer is the interface between the Financial Sector Conduct Authority and the Fund, and holds duties similar to a company secretary.

Provident Fund

A fund approved by the South African Revenue Service and registered under the Pension Funds Act. The total benefit at retirement may be taken as a cash lump sum.

Trustee

An elected or appointed member of a Board of Trustees whose responsibilities are outlined in the Pensions Fund Act and the Rules of the Fund.

 

Financial Reports


Annual Financial Statements

The latest audited annual financial statements were approved and submitted to the Financial Sector Conduct Authority by the deadline as required by the Pension Funds Act.

A copy is available for perusal at the registered office of the Fund, via the Principal Officer.

Valuation Report

The latest valuation report was finalised and signed by the valuator.

A copy is available for perusal at the registered office of the Fund, via the Principal Officer.

Quick News

Contribute more to your retirement
16 May 2017
Pay less tax by making Additional Voluntary Contributions to your retirement Fund.
Have your say!
15 May 2017
How do you like the new site? Rate it now.
Update your Nomination of Beneficiary form
21 Nov 2016
Find out how to nominate your beneficiaries.
Trustee Report out now!
03 Oct 2016
Have you read the latest Trustee Report?