No, it means that the government is worried that people are going to abuse the tax break on contributions to avoid paying tax. Example: let's say I make R12 million a year (I would pay a lot of tax). I might want to contribute 50% of my salary to a retirement fund, since this means I avoid paying tax on this. I don't need that much pension - I am trying to avoid and delay paying tax. The government wants to support reasonable pensions savings, but not delay too much of its income tax.