CASE STUDY: "I'm close to retirement, but I still have a retirement savings shortfall"

"In the 2000s, having a financial adviser wasn't as common as it is now. If I look back, I think if I'd had one, maybe I'd already be retired - who knows."/p>

Saving for retirement is a luxury, and Katie Mohamed doesn't mean that negatively.

"My mother was a hawker. Retirement planning was never an option for her," she says.

Today, Katie is the CEO of BrandFusion, a strategic brand and communications agency. She's also the founder of W-Suite, a women's empowerment platform, and the non-profit Change Hub Foundation. A self-described multi-hyphenate and serial entrepreneur, she's built her career - and legacy - from the ground up.

But at 55, Katie is approaching retirement with uncertainty. Like more than 90% of South Africans, she's unsure whether she's saved enough to maintain the lifestyle she's worked so hard for. Earlier in life, she withdrew from her pension fund. Since then, the cost of supporting her elderly mother and two children who are still in university has made it difficult to catch up. And despite having a retirement annuity and a financial plan, Katie knows she'll need to make major changes to close the gap.

The cost of catching up

A July 2025 analysis by Discovery Corporate and Employee Benefits (link PDF) to explore the gender retirement gap in South Africa shows that women retire with 21% less in savings than men. Katie is still in a stronger position than many: according to the 2023/24 10X Retirement Reality Report, nearly half of women (49%) say they have no retirement plan at all and 71% of South Africans expect to work beyond retirement age because they can't afford to stop.

"I don't have an exact retirement age in mind," Katie says. "I'm tentatively aiming for 62, but my finances will ultimately decide. I contribute monthly to a retirement annuity, but I know I need to increase my contributions by 20 to 30% to reach my goals."

That kind of adjustment isn't easy. "Over the past decade or so, I've become more mindful of my spending. But I need to have a hard conversation with my kids - Uber Eats and Woolies orders every week really add up," she laughs.

Still, she's committed. "My accountant drew up a retirement savings plan and budget in 2016 that runs to 2030. When I first saw the numbers, I was shocked, but it was the reality check I needed."

The burden of being the sole provider

Katie is candid about her financial confidence. "I rely heavily on my accountant to help structure my finances and make the big decisions - even things like how to lease my car."

She's actively working to improve her financial literacy. "I'm trying to be more intentional about learning - about investments, trading, and personal finance. But I still don't know much about stocks or crypto, for example."

One of the biggest financial decisions that shaped her current position was cashing out her pension when she left her senior role at the SABC 15 years ago. "My savings were gone just a few months after I left. I hadn't landed clients as quickly as I expected, and I started racking up credit card debt to keep the household running."

As a single mother, she was responsible for everything: school fees, clothes, medical aid, rent, petrol, car instalments, and food. "My back was against the wall. I asked my accountant at the time whether I should reinvest the pension, but I didn't even get to that point. I had to cash it out, and the tax deduction on the payout was shocking."

Katie's story echoes the experience of many women-led households in South Africa: According to StatsSA, women are 10 times more likely than men to be the sole caregiver. They are 1.2 times more likely to withdraw from their retirement savings. And 1.8 times more likely to do so to pay for school fees.

Despite the financial setbacks, Katie says she has no regrets about leaving the SABC or cashing out her pension. "At the time, I was earning good money, probably more than many CEOs. It was the golden age of advertising. But I left for a reason."

She also reflects on the cultural context of being a first-generation earner. "Like many people of colour who are the first to earn in their families, I've supported many others. I still help people who are struggling financially, even when it's not always in my best financial interest."

"I'm a community builder. I'm an empath. It's in my nature to share and uplift others. That's why I founded W-Suite and The Change Hub. I'm deeply rooted in my purpose."