Generally, no. SARS guidance explains that the retirement component cannot be taken as a lump sum when retirement-fund membership ends before retirement because of resignation, dismissal, withdrawal or retrenchment. It must generally be transferred to another retirement fund.
But what about the savings component?
The savings component has separate access rules and a qualifying savings withdrawal is taxed at your applicable marginal income-tax rate. This is different from the ordinary retirement-fund withdrawal table.
And the vested component?
The vested component preserves rights linked to retirement savings accumulated under the pre-Two-Pot rules, subject to the detailed legislation and fund rules. Do not assume that all components have the same withdrawal rights.
What should you do before resigning?
Get a current benefit statement that separately shows the components, then ask the fund to explain the options available for each component and the transfer process.
See our Two-Pot guide and resignation guide.
Primary sources
For material tax and Two-Pot decisions, check the current rules directly with SARS and your retirement fund. Useful official sources include SARS retirement lump-sum tax tables and SARS Two-Pot guidance.
Before you submit a withdrawal or transfer instruction
Get a free review of the options you are considering. If personalised assistance is appropriate, your enquiry may be referred to an appropriately authorised financial adviser/FSP.
Request a free retirement-fund review