RAND WATER PROVIDENT FUND ANNUAL REPORT 2022-2023

SCHEDULE E REPORT OF THE BOARD OF FUND For the period ended 30 June 2023

1. DESCRIPTION OF THE FUND 1.1 Type of fund In terms of section 1 of the Income Tax Act, 1962 the fund is classified as a provident fund. The fund is a defined contribution fund. The fund consists of options A, B and C. 1.2 Benefits The objective of the fund is to provide retirement and other benefits for employees of the participating employer and benefits for their dependents in the event of their death. 1.2.1 Unclaimed benefits 1.2.2.1 A benefit becomes unclaimed 24 months after it becomes due. All unclaimed benefits are accounted for separately from active members. An unclaimed benefit is transferred to a cash portfolio. Late payment interest is payable on unclaimed benefits. The rules provide for tracing and administration costs to be recovered from the unclaimed benefit. The fund makes use of a tracing agent for all unclaimed benefits. 1.2.2.2 I n respect of unclaimed benefits, complete records as prescribed are maintained

as from exit date and tracing will occur until the Board of Fund has satisfied itself that funds can now be considered to be handed over to the unclaimed benefit funds.

1.2.3 Beneficiary benefits All payment of benefits to beneficiaries, are made in terms of section 37C. 1.3 Contributions 1.3.1 Description in terms of the rules of the fund.

1.3.1.1 M embers contribute at a rate of 8% of pensionable salary. Members may make additional voluntary contributions as per the rules of the fund. 1.3.1.2 T he participating employer contributes an amount equal to 15.87% in respect of Class A and B members and 9% in respect of class C members of the member’s pensionable salary on behalf of the members.

Rand Water Provident Fund Annual Report | 2022-2023 37