This article is very useful and very informative in addressing the usage of SRS and its benefits and disadvantages.
It clearly explains what is SRS and its main feature in reducing taxable income which can mean lots of tax savings especially for high income earner.
1) Tax savings
2) Monies to be used for investments
3) Tax free withdrawal over 10 years upon age 62 onwards
1) Taxable if early withdrawal plus 5% penalty (waived if due to death, medical grounds or bankruptcy)
2) Subjected to even more tax if withdrawn ALL AT ONCE upon age 62
3) Loss of money due to poor choice of investments