Investing your premium vs paying it away
See how much more you could have if you invested your monthly premium yourself instead of paying it to a third party.
Returns on invested premiums
Percentage gain vs paying premium away
If you paid the premium to a third party, you would have R0 in investment value. Investing it yourself at these inputs leaves you with this full investment value available to cover expenses.
Pre-tax efficiency
This chart assumes post-tax contributions and no tax on gains for simplicity. If you could invest pre-tax contributions instead, the amount compounding each month would be larger. For example, at a 40% tax bracket, a R1,000 post-tax premium corresponds to about R1,667 invested pre-tax (1 / (1 - 0.4)), so long-run gains could be roughly 1.6–1.7× higher than shown here.