Budget 2021: Here’s how social grants will change

Good news for the unemployed as the R350 social relief grant and the Temporary Employer/Employee Scheme (Ters) are set to continue for the next three months. However, social grant recipients will only see a small increase, just below inflation.

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An additional R2.1 billion has been allocated to the Covid-19 social relief of distress grant in the 2021 budget to continue to temporarily support low-income earning households.

Both the relief fund and the Ters benefit have been extended to the end of April 2021.

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Social grants have been reduced by R5.8 million in the 2021/22 financial year with most grants increasing by R30. This despite the number of beneficiaries expected to increase by 300 000 people.

Social grant changes:

• Child support grant – Increased by R15 to R460
• Old age grant – Increased by R30 to R1890
• Old age over 75 grant – Increased by R30 to R1910
• War veterans grant – Increased by R30 to R1910
• Disability grant – Increased by R30 to R1890
• Foster care grant – Increased by R10 to R1050
• Care dependency – Increased by R30 to R1890

Ters benefit

By the end of January 2021, the Unemployment Insurance Fund (UIF) had paid out R57.3 billion to 13.9 million workers.

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The unemployment insurance benefit will also be extended by another three months to the end of April 2021.

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