Take-Home Pay Index in South Africa

The BankServ Africa Disposable Income Index shows a decline of 3.3% year-on-year in South Africa’s disposable income in December 2021, the largest drop since January 2020. This was mainly due to the impact of the COVID-19 pandemic and the unrest in July 2021. The decline in disposable income had a negative impact on consumer spending, which decreased by 4.6% year-on-year in December 2021. However, online spending continued to grow, with a 15.8% year-on-year increase in December 2021. The Index also showed a shift in consumer spending from durable goods to non-durable goods and services, with spending on durable goods declining by 14.2% year-on-year in December 2021.

Key Takeaways:

• South African salaries, derived from the salary payments made to approximately 3 million people (about 36% of the country’s workforce).
• Weekly-pay data is adjusted to monthly rates, and social security payments (around 3.8 million payments of approx. R1000) are excluded from the data set.
• Average Salary : R15 053

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