Savings for retirement

[#1]

Good morning all. I'm 22 and recently got a job and would like to immediately start putting away for my retirement. I want to keep my OST investments entirely separate and have looked at various options. The investment vehicle that caught my eye (mainly because it seemed reasonable, and I would be the one calling the shots) was etfSA. I am just wondering if anyone uses etfSA? Or if there are any other suggestions? The ETF I would start investing in monthly would most likely be the SATRIXRAF. Thanks to any responses in advance.

[#2]

Forgot to mention that while I was at varsity that was the etf I invested any savings in. But it wasn't through etfSA, it was through standard banks Auto share invest platform.

[SimonPB]

check annual fee on ETFsa vs. direct to Satrix .. no annual fee at OST, but higher transaction costs

[Blik]

Standard Bank's Autoshare Invest isn't a bad option. Costs are low, but downside is they only buy once a month for you - on the 27th I think, and sell 4 times a month - if needs. I am using it to pick up small monthly amounts of SATRIX as an investment for my daughter.

[#5]

Thanks Simon, If I chose to go the OST route then I would obviously not go the monthly route as the transaction costs would then be quite high. But I suppose if I did the investment every 3/6 months it would then make sense. Also are there any RA's that are superior to others, obviously this will be different for everyone, but a general idea of which companies to start looking at would be nice. I've got to say, it is rather over whelming entering the working world. Have to start looking at insurance policies, health plans, etc etc .... By the time all my monthly debit orders are through I'll have just about enough money for bread + Milk ... haha

[SimonPB]

f you looking at RA's watch costs, they killer .. 10x.co.za they use ETFs as the shares and costs seriously low

[#7]

Thanks for the help Simon, will look into it asap.

[partridge]

Marek If you get run over by a bus tomorrow and spend your life in a wheelchair then you have lost your income earning potential - and that is what most professionals like myself rely on to build EQUITY (word used in the broadest sense)during our lifetimes. Get yourself some LOW COST MAJOR DISABILITY protection, it will cost you the price of a SPUR's burger each month at your age.... and then you can start your investments journey....

[SimonPB]

you eat spur burgers ?? nah mon - steers ..

[partridge]

Burger King - is my preferred choice but ... any burger fits this bill

[#11]

Thanks Partridge. I will be looking into that as well. I am currently working with a guy who is ex. African bank and he said he would recommend 10x to everyone, as African Bank use them for their employee's RA accounts. So thanks for the suggestion Simon.

[CHATTYCHAT]

NEVER, EVER mix your insurance products with bells and whistles add-ons. If you want disability cover, take it out as the only feature of the policy; life cover - only that (and set the idea aside, that it might be good to opt for a form of accumulation - cash value, that is.)

[Rams]

Marek, just remember that being young can also count against you,,,you need a house, a car...so loan repayments...i suggest that you clear the debts first, dont borrow to invest, save to buy and try to be debt free...if you chose an RA and have disabilty insurance(then thats probably all you need right now, then you should consider paying off loans before investing....unless you still living at parents house and driving your wife's/girlfriend's car

[partridge]

ChattyChat is right. These days you can buy pure life and pure disability. Disability is your biggest concern at your age. These companies use weasel wording: its your ability to follow your REGULAR OCCUPATION you want to cover.... Deal with a company that underwrites you UP FRONT.....not when you claim.

[#15]

Thanks again guys, and Rams I am currently living at home. But the Fiance and I are currently looking for a place. And I will definitely be looking to separate my insurance products. By separate do you mean with different companies? Or just different schemes with the same company?

[CHATTYCHAT]

Get quotes from different companies too, but stick with the well known. Different is: pure life, pure disability and so on - all seperate policies (not ONE policy with both products in the broth.)