22/09/2026
Open a Tax-Free Savings Account the day your child is born, and by their 18th birthday they could be sitting on R2.86 million.
Here's the maths. From 1 March 2026 the annual tax-free contribution limit rises to R46,000, with the lifetime limit unchanged at R500,000. Contribute R46,000 a year from birth and you reach that R500,000 cap in year 11. Then you stop. The money simply compounds, untouched, for the remaining seven years.
At the 5-year annualised return of 13.59% on one of our recommended model portfolios, that R500,000 of contributions becomes R2,855,910 by age 18. R2,355,910 of that is growth, and not one cent of it is taxed.
What that buys them at 18:
A degree, debt-free. Four years of fees, residence and books paid in cash, with capital left over.
A first home, not a first loan. A deposit large enough to cut decades of bond interest, or to buy outright in much of the country.
Or nothing at all. Left invested, the same money is roughly R7.0 million at 25 and R13.2 million at 30, before they contribute a rand themselves.
A child has an 18-year horizon, which can usually carry more risk than an adult's. Getting the portfolio right at the start is what makes the difference. Talk to us about opening one in your child's name.
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Illustrative example. Past performance is not indicative of future results and this does not constitute financial advice. Access Administrators Financial Advisors is an authorised financial services provider.
