ZARWiseMoney maths for South Africans
Tax year 2026/27Prime 10,75%Rates checked 2 October 2026

Tax-free savings calculator

How a tax-free savings account grows, with no tax on interest, dividends or growth. The limits are R 46 000 a year and R 500 000 in your lifetime.

R

Up to R 3 833 a month stays within the R 46 000 annual limit.

R

Your total contributions to all tax-free accounts so far (not including growth).

years
%

An assumption, not a promise. Cash accounts earn less; equity funds vary from year to year.

After 15 years you could have

R 675 213

You put in R 360 000 and it grows by R 315 213, all tax-free.

  • Contributions R 360 000
  • Tax-free growth R 315 213

The rules

You can contribute up to R 46 000 per tax year (from 1 March 2026; it was R 36 000) and R 500 000 in your lifetime, across all your tax-free accounts. Unused room doesn't carry over to the next year.

Contributions above either limit are taxed at 40%. Withdrawing and putting money back counts as a new contribution, so withdrawals use up your limits for good.

Tax-free savings or a retirement annuity?

An RA gives you a tax deduction now, but you pay tax on the money when you retire and it's locked in until 55. A tax-free account gives no deduction, but you never pay tax on it and can access it any time. Many people use both: the RA up to the deduction they need, then the tax-free account.

See what an RA saves you with the retirement annuity tax calculator.

Read the guide: Tax-free savings or a retirement annuity?

What regular saving could grow to

Monthly contributionAfter 10 yearsAfter 20 yearsAfter 30 years
R 500R 90 062R 284 500R 704 275
R 1 000R 180 124R 568 999R 1 408 551
R 2 000R 360 249R 1 137 998R 2 498 542
R 3 833R 690 416R 1 573 894R 3 397 920

At an assumed 8% a year before inflation, an illustration only. Contributions stop at the R 500 000 lifetime limit; the money keeps growing after that.

Quick answers

How much can I put into a tax-free savings account?

R 46 000 per tax year from 1 March 2026 (it was R 36 000), and R 500 000 over your lifetime, across all your tax-free accounts.

What happens if I contribute more than the limit?

SARS taxes the excess at 40%. Unused room doesn't carry over to the next year, and money you withdraw can't be put back without counting as a new contribution.

How long does it take to reach the lifetime limit?

At the maximum of R 46 000 a year, about 10,9 years. Saving the maximum for 30 years at an assumed 8% could grow to about R 3 400 000, tax-free.

Read the full guide: Tax-free savings or a retirement annuity?