Personal Finance with Warren Ingram, Evergreen Content

Not so young anymore? How to invest for best growth (and least amount of tax)

A regular listener of The Money Show called in with the following question:

"My 60-year-old mother recently sold a property for R1.2 million.

She is deregistered for tax and doesn’t owe the bank any money.

She recently bought a Land Rover for which she still owes about R700 000.

She wants to add the money to her retirement savings, but doesn’t know where to put it in order to get the best growth.

Should she pay off the Land Rover or invest it and, if so, where is best place considering her age and the tax implications?"

Scroll down for quotes from the audio below in which Galileo Capital Financial Advisor Warren Ingram gives an answer. He also answered a number of other calls you may be interested in.

What is a 60-year-old doing buying a R700 000 vehicle on debt? That’s terrible! Really not a good idea.

Warren Ingram, Galileo Capital Financial Advisor

It’s worth putting R30 000 every year into a Tax Free Savings Account with an allocation in listed property.

Warren Ingram, Galileo Capital Financial Advisor

I would more likely look at unit trusts rather than exchange traded funds.

Warren Ingram, Galileo Capital Financial Advisor

What’s the interest rate on the car? If it’s around 9% or 10% then pay off the debt.

Warren Ingram, Galileo Capital Financial Advisor

Click here (then“like” the page) to follow Bruce on Facebook.

Enter your email address in the form below to receive a newsletter containing the most-read articles of the week from Bruce Whitfield’s The Money Show every Friday morning in your inbox.

Subscribe to our Business Wrap Newsletter

Article brought to us by Old Mutual.


Recommended

by NEWSROOM AI
Read More
Are 'tap and go' cards safe? Maybe, suggests this case involving Standard Bank

Are 'tap and go' cards safe? Maybe, suggests this case involving Standard Bank

Handsfree pickpocketing is a myth, says consumer journalist Wendy Knowler. But risks remain, suggests a case she took on.

Dubai-based Mara Group opens South Africa’s first smartphone factory

Dubai-based Mara Group opens South Africa’s first smartphone factory

The Money Show’s Bruce Whitfield interviews Toby Shapshak (Publisher at Stuff magazine) about the R1.5 billion investment.

Considering divorce? How to avoid getting poorer in the process

Considering divorce? How to avoid getting poorer in the process

Personal finance expert Warren Ingram warns that divorce almost always destroys wealth. Here’s how to not lose your money.

Absa arranges first US dollar social bond issued by an African corporate

Absa arranges first US dollar social bond issued by an African corporate

The proceeds of social bonds exclusively finance projects that deliver a social impact.

Eskom distributed less electricity in Aug 2019 than at any time since Feb 2009

Eskom distributed less electricity in Aug 2019 than at any time since Feb 2009

“It’s a total mess! What used to be so simple has become a very complicated exercise,” says coal analyst Xavier Prevost.

'We discuss stocks and options with our children at the dinner table'

'We discuss stocks and options with our children at the dinner table'

Bruce Whitfield interviews Basetsana Kumalo about her attitude to money (hopes and fears, successes and failures, etc.).

Popular articles
'It turns out DA MP Natasha Mazzone was right about load shedding'

'It turns out DA MP Natasha Mazzone was right about load shedding'

Last month, Eskom shut down claims by the Democratic Alliance that load shedding was on the cards.

[WATCH] Commuters on station stop train from hitting passenger

[WATCH] Commuters on station stop train from hitting passenger

Khabazela shares tweets and Facebook posts that have gone viral.

[WATCH] How many people does it take to park a car?

[WATCH] How many people does it take to park a car?

Khabazela shares tweets and Facebook posts that have gone viral.

'We discuss stocks and options with our children at the dinner table'

'We discuss stocks and options with our children at the dinner table'

Bruce Whitfield interviews Basetsana Kumalo about her attitude to money (hopes and fears, successes and failures, etc.).

'Had abuser been a male teacher, we would have had a crazy outcry from society'

'Had abuser been a male teacher, we would have had a crazy outcry from society'

Pundits discuss the sexual misconduct allegations at Bishops Diocesan College in Cape Town.

[WATCH] Boy explaining what he heard when parents had sex goes viral

[WATCH] Boy explaining what he heard when parents had sex goes viral

Khabazela shares tweets and Facebook posts that have gone viral.

It's VW, but not as you know it - Why did Volkswagen change its logo?

It's VW, but not as you know it - Why did Volkswagen change its logo?

John Maytham asks what's behind Volkswagen's new-look logo...

[WATCH] Woman faints after hairdresser cuts 12-inch hair without telling her

[WATCH] Woman faints after hairdresser cuts 12-inch hair without telling her

Khabazela shares tweets and Facebook posts that have gone viral.