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Whats the best way to store my tax money

Alley-C

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So I recently started working as a contractor and with this I invoice the company and they pay me the full amount, now I'll need to pay tax but where is the best place for me to keep my tax money until I submit everything.
 
RTX 5090.

Otherwise you could use a high-interest bearing account. Tyme had an account you could get which had a limit of R100K but gave something like a 10% interest rate. Not sure if that is still the case, but probably a decent option.
 
Depends on the amount you are planning to hold.
Tyme Bank is up to 10% interest but only if you complete at least 10 transactions for 3 consecutive months and give them 10 days notice before withdrawing.
If you don't do the 10 transactions and notice then the rate goes down to 6%
Note Tyme Bank goal save is R100K maximum

ABSA Cash Invest is instant access @ 8.10% interest but requires an opening deposit of R100K
 
So I recently started working as a contractor and with this I invoice the company and they pay me the full amount, now I'll need to pay tax but where is the best place for me to keep my tax money until I submit everything.
If it was me I would put it in a 32 day notice account and make sure I have a few reminders to put in a notice of withdrawal before the tax is due (Interest rates are normally higher on notice accounts than on normal savings accounts)

- This will make you think twice about using the money for other stuff

Remember provisional tax
 
I must admit I kept it all in a single account but then you have to continually keep tabs on it. Was always fine doing provisional but I know the exact line between what belongs to you and SARS is a little grey.
 
If it was me I would put it in a 32 day notice account and make sure I have a few reminders to put in a notice of withdrawal before the tax is due (Interest rates are normally higher on notice accounts than on normal savings accounts)

- This will make you think twice about using the money for other stuff

Remember provisional tax
I was also going to suggest this.

Since you need to pay provisional tax twice a year (in August and February), this helps you stay prepared and organized.
 
RTX 5090.

Otherwise you could use a high-interest bearing account. Tyme had an account you could get which had a limit of R100K but gave something like a 10% interest rate. Not sure if that is still the case, but probably a decent option.
im sad i didnt post this sooner, but this is guaranteed profit
 
So I recently started working as a contractor and with this I invoice the company and they pay me the full amount, now I'll need to pay tax but where is the best place for me to keep my tax money until I submit everything.
In an interest bearing account - hit up @Jack Rabbit Group if you need help keep track of your Provisional Tax (submissions in Feb & August)
 
The Tyme Bank GoalSave looks quite enticing, need to read more into what exactly the 10 transactions can be, and if its to tedious then will settle for a 32 day fixed rather.
 
If you have a bond with a flexi/ access option, then that will be the best place. No tax on the interest saving and you can access it immediately. But only do this of you have self discipline and will not be tempted to use funds for CUD or anything other than tax.
 
If you have a bond with a flexi/ access option, then that will be the best place. No tax on the interest saving and you can access it immediately. But only do this of you have self discipline and will not be tempted to use funds for CUD or anything other than tax.
This is what I do. Put it in the bond and withdraw when needed.
 
Register a company, then just spend money as company expenses, 0% tax :p

I have basically never paid tax via my company, but have to pay accountants every month.
 
If you have a bond with a flexi/ access option, then that will be the best place. No tax on the interest saving and you can access it immediately. But only do this of you have self discipline and will not be tempted to use funds for CUD or anything other than tax.

Agreed and considering the high interest rate at the moment, you might easily beat the 10% you get other places.
 
Register a company, then just spend money as company expenses, 0% tax :p

I have basically never paid tax via my company, but have to pay accountants every month.
But do you claim the accountant expenses back also? Possibly you can claim so much that sars needs to pay you cum tax time
 
Why does the title of this thread always default to "hide" instead of "store"?
 
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