New RA - Tax benefit calculations

[Radioboy]

Hi all,

I need some help , to help someone else.

She earns the following per month on average before tax and other deductions:
R 26500 basic salary (Static)
R 4000 Overtime (this is not static, anything between R2500 & R8000)
R 5300 Travel allowance (static)

She contributes R1987.50 towards a pension fund and the company matches it.

She wants to max out her tax benefits and start a new RA with 10x.

How much more must/can she contribute p/m to max her tax benefits per year taking into account her current contributions.

She is 31, no debt, no property at the moment. Tax free account is max out and I assume she'll do this every year.

Thanks

Rb.

 

[Hurricane]

Although you are free to contribute as much as you want to your RA, the retirement annuity tax relief for the 2017 tax year is set a maximum rate of 27,5% of income, subject to a rand cap of R350,000. This R350,000 rand cap (and the 27,5% limit) however includes the contributions made to a workplace pension or provident fund. If you contribute over the limit: SARS keeps a record of all unclaimed contributions, and allow these in future years (subject to the prevailing limits in those years).

Ps. This is from 10X's site what is tax rebate on retirement annuity and is per SARS regulation.

 

[Radioboy]

Although you are free to contribute as much as you want to your RA, the retirement annuity tax relief for the 2017 tax year is set a maximum rate of 27,5% of income, subject to a rand cap of R350,000. This R350,000 rand cap (and the 27,5% limit) however includes the contributions made to a workplace pension or provident fund. If you contribute over the limit: SARS keeps a record of all unclaimed contributions, and allow these in future years (subject to the prevailing limits in those years).

Ps. This is from 10X's site what is tax rebate on retirement annuity and is per SARS regulation.

Is this 27.5% of ALL income, just her basic, income before tax or income after tax? I haven't been keeping up on these things the past couple of years.

Thank you.

 

[Hurricane]

I believe it's total taxable earning but I am not a financial adviser and am speaking under correction.