Amidst global economic fluctuations, Additional Voluntary Contributions (AVCs) are financial instruments and powerful enablers empowering business leaders like you to fortify financial destinies and cultivate steadfast security.

Decoding Additional Voluntary Contributions (AVCs)

As the name suggests, AVCs are voluntary contributions to the statutory retirement savings account. They are more convenient avenues to accumulate additional savings as you get to determine the frequency of your contributions.

This fund can be strategically allocated to various savings and investment funds, including real estate. This strategic flexibility is the bedrock for you to align your investments with ambitious long-term financial goals. 

AVC Is A Good Option For You

Making Voluntary Contributions to retirement savings holds many advantages, extending beyond the conventional avenues. Here’s a comprehensive exploration of the additional benefits that come with this financial strategy:

1. Enhanced Retirement Savings Value

The primary advantage is the immediate enhancement of the your retirement savings. By supplementing mandatory contributions with voluntary ones, you effectively increase the overall value of your retirement pulse. This proactive approach ensures a more robust financial foundation for post-career years.

2. Flexible Savings Frequency

Voluntary Contributions offer unparalleled convenience as you get to determine the frequency of your savings. Whether opting for monthly, quarterly, bi-annually, or annually, this flexibility caters to your financial preferences and circumstances, allowing for a seamless integration of savings into your budget.

3. Withdrawal Flexibility

 Another notable benefit is the flexibility in withdrawals. As a contributor, you can access your Voluntary Contributions either partially or fully at any time, adhering to established guidelines. This liquidity feature provides a safety net, allowing you to address unforeseen financial needs or capitalise on investment opportunities when required.

4. Path to Homeownership

Contributing to AVCs is a strategic step that empowers you to amass significant savings gradually. Allocating a portion of your funds towards a mortgage down payment offers you a means to alleviate the financial challenges often linked with traditional down payments. This approach transforms your dream of homeownership from an aspirational goal into a tangible and realistic pursuit.

5. Tax Savings Incentives

There’s a significant tax advantage associated with Voluntary Contributions. Any subsequent withdrawals become tax-free if the contributions remain untouched for at least five years. This tax-efficient feature encourages disciplined long-term savings and offers a financial reward in the form of reduced tax liability.

6. Targeted Savings for Specific Goals

Voluntary Contributions serve as a versatile financial tool, allowing you to earmark funds for specific projects or goals. Whether saving for a milestone purchase such as a new vehicle, covering children’s school fees, or realising a dream vacation, this targeted approach ensures that your voluntary savings align with your unique life aspirations.

7. Higher Returns Compared to Conventional Savings

One of the most compelling advantages is the potential for higher returns on Voluntary Contributions compared to conventional savings accounts. By allocating funds to investment options such as real estate, stocks, or other growth-oriented assets, you can harness the power of compounding and market dynamics, aiming for more significant returns over time.

Ready To Take The Next Steps

We are ready to hold you hands through every phase of your financial journey. For more inquiries on how to leverage your AVC for your financial gain call 02-01-2800800/ 07007367873 or send email to info@leadway-pensure.com