Southwood Financial Planning

23/06/2026

Thinking about investing offshore? The 2026 Budget introduced an exciting change for South African investors.

Single Discretionary Allowance (SDA):
2025: R1 million per year
2026: R2 million per year

That is an increase of R1 million annually without needing prior SARS tax clearance!
Why does this matter?

● You can now invest up to R2 million offshore each year using your SDA, making global diversification more accessible than ever.
● The increased allowance means less paperwork and fewer administrative hurdles for investors looking to build wealth beyond South Africa's borders.
● Remember that your SDA covers all foreign spending, including overseas travel and credit card purchases. This means it's important to plan accordingly.
● Each South African resident aged 18 and older receives their own allowance, creating additional planning opportunities for households and families.

Diversifying internationally can help spread investment risk, provide access to global markets and reduce reliance on a single economy or currency. The key isn't investing offshore simply because you can, it's ensuring your investment strategy aligns with your long-term financial goals.

If you'd like to discuss whether offshore investing forms part of your financial plan, we'd be happy to help.

16/06/2026

While we often think about education, opportunity and guidance, financial security also plays an important role in shaping future possibilities.

Whether it's saving for education, teaching healthy money habits, creating generational wealth or simply leading by example, the financial decisions we make today can influence the opportunities available to our children tomorrow.

The greatest gift is not necessarily money. It's providing a foundation from which future generations can thrive. Happy Youth Day, South Africa.

12/06/2026

Staff Day Notice

Please note that our offices will be closed on Monday, 15 June 2026 and Tuesday, 16 June 2026 for a Staff Day.

Our team will return on Wednesday, 17 June 2026.

For urgent enquiries, please contact one of the numbers listed below or send a WhatsApp to our Southwood Mobile.

11/06/2026

An interesting perspective on the scale of investment currently being directed towards artificial intelligence. Global AI spending is projected to reach approximately $650 billion in 2026, significantly exceeding the inflation-adjusted costs of some of the world's most ambitious projects, including the International Space Station ($150 billion), the Manhattan Project ($30 billion), and the Channel Tunnel ($12 billion). While these comparisons represent very different types of expenditure, they illustrate the unprecedented level of capital being committed to AI development and infrastructure, highlighting the transformative role that artificial intelligence is expected to play in the global economy over the coming years.

10/06/2026

Tax-Free Savings Accounts have received a welcome boost in the 2026 Budget.

Annual contribution limit:
2025: R36,000 per year
2026: R46,000 per year

✓ An increase of R10,000 annually; the lifetime contribution limit remains R500,000.

Why does this matter?

* Any growth, dividends and interest earned within a Tax-Free Savings Account are completely free from tax, allowing your money to work harder over time.

* If you maximise the new annual allowance, you can now invest up to R3,833 per month tax-free, compared to R3,000 per month previously.

* The key isn't trying to time the market; it's starting early and contributing consistently. Small contributions today can make a significant difference over the years through the power of compound growth.

If you're not yet making use of your Tax-Free Savings Account allowance, now may be the perfect time to review your financial plan.

02/06/2026

https://www.southwood.co.za/over-coffee-market-economic-commentary-may-2026

INFLATION | South Africa’s annual inflation rate rose to 4% in April 2026 – the highest reading since August 2024. SA RATES | The South African Reserve Bank raised its key repo rate by 25 bps to 7% in May – marking its first rate hike since 2023. Click the link above to read more.

28/05/2026

The SARB has increased the repo rate by 25bps for the first time in three years, bringing:

* Repo Rate to 7%
* Prime Lending Rate to 10.50%

What does this mean for you?
Higher borrowing costs could impact bond repayments, vehicle finance, and monthly debt obligations — making smart financial planning more important than ever.

If you’d like to understand how these changes may affect your financial goals, we’re here to help.

27/05/2026

We are honored to support the 2026 Toyota Western Cape Equitation Champs 2026.
At Southwood Financial Planning, we are passionate about supporting communities, empowering young talent and being part of initiatives that create opportunities for growth and excellence.
A sincere thank you to the organizers, riders and supporters who make this championship such a special event each year. We are proud to stand alongside Toyota South Africa Motors in supporting the equestrian community.

A huge thank you to Southwood Financial Planning for supporting the Toyota 2026 Western Cape Equitation Champs!

Since 2001, Southwood Financial Planning has been helping individuals and business owners work towards their financial goals with professional, independent advice — and we’re so grateful to have your support helping our equestrian community grow and thrive.



@
Toyota SA

25/05/2026

https://www.southwood.co.za/the-risks-beneath-the-index-the-opportunities-beyond
For more than a decade, passive investing has been one of the defining trends in global asset management. Low costs, simplicity, and strong performance have made index-tracking strategies increasingly...click to continue reading

05/05/2026

https://www.southwood.co.za/over-coffee-market-economic-commentary-april-2026
EQUITIES The MSCI World Index, covering companies across 23 developed markets, posted its strongest month since 2020| CRYTO Bitcoin, which accounts for over 50% of total cryptocurrency market capitalisation, rose 13% in April. It remains 12% down for the year. Click the link above to read more.