62% of South Africans say their spending equals or exceeds their income – NedFinHealth

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GUEST – Dr. Frank Magwegwe, Executive for Financial Wellness and Advisory at Nedbank.

The Monitor found that South Africa’s Financial Health score is currently at 53, slightly hovering above the midpoint of financial health. This suggests that, while there is a good foundation for financial health, there remains a significant portion of the population that could benefit from enhanced financial skills, behaviours, and habits.

62% of South Africans say their spending equals or exceeds their income. This is influenced by two main factors being income declining for 35% of the respondents and expenses increasing for 76% of the survey participants in the past 12 months.

The NedFinHealth Monitor also found that 69% of South Africans cannot pay all their bills on time. 33% of South Africans who are homeowners have been late with their home loan repayments in the past 12 months and individuals experiencing financial stress struggle the most to keep up with their bill payments. Furthermore, South Africans do not have sufficient savings for emergencies.

51% of South Africans say they do not have enough savings to cover their living expenses for at least 3 months. Glaringly, only 14% of South Africans are moderately confident, while only 11% are very confident that they are on track to meet their long-term financial goals. A significant percentage of South African are struggling to keep up with their debt obligations. 42% of South Africans, across various income levels, say they cannot manage their debt while only 16% of South Africans say they have no debt
17 Oct 2023 4PM English South Africa Business News · Investing

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