The short answer
Check with your employer and the fund administrators
The whole question
I recently resigned from work. I received a paid membership certificate dated 1 January 2021. What does this mean? Does it mean that I will receive my money anytime soon, or is there still a procedure to be followed?
The long answer
The paid-up membership certificate is a document that the provident fund has to issue to a member within two months of the fund knowing that the member no longer works for the employer. It confirms that the member will no longer make contributions to the fund and that the fund has saved the member’s benefits which can be paid out or invested in another fund, depending on what the member decides. The certificate must include details of the fund’s administrators so that the member can contact the fund to say whether the benefits must be paid out or invested in another fund.
The employer has to sign a withdrawal form on behalf of the member who has resigned so that the fund can pay out the benefits.
In the fund rules, it does not say whether there is still a procedure to be followed before you get your money, but it would be advisable to check with the employer that he/she has signed a withdrawal form for you and has given it to the fund. It would also be advisable to contact the fund’s administrators to confirm that you want your benefits to be paid out rather than invested in another fund, and when this will occur.
Wishing you the best,
Answered on Jan. 19, 2021, 4:50 p.m.
Please note. We are not lawyers or financial advisors. We do our best to make the answers accurate, but we cannot accept any legal liability if there are errors.