SA women and young anxious about finances

Financial stress remains high for most South Africans, however, levels have decreased since 2023.

DebtBusters’ third annual Money Stress Tracker survey revealed that 75% of respondents have high financial stress levels, with the majority being women and young people.

According to DebtBusters, in 2022 financial stress levels were 78%, and in 2023 stress levels dropped to 70%.

Benay Sager, Executive Head of DebtBusters says almost 4 out of 5 female respondents said they suffered financial stress.

The survey released on Wednesday had 26,000 respondents across the country take part in it. The survey was established with the purpose of measuring how financial stress impacts other aspects of life.

Main concerns about finances

Sager says there are a lot of concerns their respondents show when it comes to finances, but the top two remain the fear of running out of money before month end (48% of respondents), and not having enough to cover monthly debt repayments (42%).

When it comes to interest rates, fewer respondents are concerned about them at 18%, while 23% of respondents were worried. 21% of respondents are worried about unexpected expenses coming up. While fewer respondents are concerned about inflation and living costs (18%); load-shedding impact (7%); school fees (15%); and retirement (13%).

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Age and income groups tell a different story

The biggest concern for 50% of those aged between 24 years and younger is running out of money before the end of the month. While those between the ages of 25 to 44 are mostly concerned about paying off debt at the end of the month.

While most of the respondents between age 45 to 54 are also concerned about running out of money before month end, 55 and older respondents were mostly concerned about retirement funds.

Respondents who earn less than R5000 a month are mostly concerned about paying towards debt and school fees. While those who earn between R5000 and R10 000 are mostly concerned about running out of money. Earners between R20 000 and upwards are mostly concerned about retirement.

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Difference between men and women

Sager says the survey found that financial stress still dominates the landscape of stress levels for 70% or more of the population. Compared to men, women are 10% more stressed about finances, 20% more stressed about work life and health, and 30% more stressed about home life.

When it comes to age and income group, those under the age of 55 and earning less feel most stressed and anxious about their finances. All age groups are more concerned about finances compared to 2022, with the largest increase being in those aged 45-54.

Lower-income groups are concerned about finances, with the largest increase in the R10 000 – R20 000 income band compared to 2022.

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Debt and jobs

“53% of consumers spend 40% or more of their take-home pay on debt repayments, 42% say they struggle to pay off the debt they owe each month, and 32% believe they do not need help.” The survey found that 35% of respondents are looking for a better job. 39% are trying to cut back on monthly spending.