As millions of South Africans await SASSA grants for support this month, financial experts say these payments—while modest—can be used as a foundation for long-term financial empowerment.
With strategic planning, beneficiaries can turn social assistance into a stepping stone for economic growth.
Stretching Every Rand
The South African Social Security Agency (SASSA) currently supports over 18 million people through various grants, including the Older Persons Grant, Disability Grant, and Child Support Grant.
However, many beneficiaries face month-to-month challenges in making ends meet.
“Even a small income, when managed wisely, can build momentum toward financial independence,” says Thabo Molefe, a Johannesburg-based personal finance advisor. “The key is budgeting, prioritizing essentials, and exploring opportunities to grow that money—no matter how little.”
Practical Steps Toward Financial Growth
Experts recommend the following strategies for beneficiaries looking to improve their economic situation:
1. Create a Basic Budget
Start by writing down all monthly expenses—food, electricity, transport, and debt. Allocate a portion of the grant for essentials first. Apps like 22seven or even a basic notebook can help track spending.
“Budgeting gives you control. It’s the first step to financial freedom,” says Nomvula Khumalo, a community finance trainer in KwaZulu-Natal.
2. Save, Even If It’s Small
Set aside R10–R50 per month into a savings account or a trusted savings group (stokvel). Over time, this builds a safety net for emergencies and can prevent reliance on high-interest loans.
3. Invest in a Side Hustle
Use part of the grant to start a small business. This could include selling snacks, second-hand clothes, or airtime/data vouchers. A few hundred rands can buy basic stock and open up income opportunities.
“We’ve seen women in rural areas turning child support grants into sustainable tuck shop businesses,” Khumalo adds.
4. Join Financial Literacy Workshops
Many NGOs and local municipalities offer free training on budgeting, debt management, and entrepreneurship. Attending these workshops can provide practical skills and valuable networks.
5. Avoid Loan Sharks
Micro-lenders offering quick cash often charge exorbitant interest rates. Experts warn that borrowing from loan sharks can trap families in cycles of debt.
“Rather build slowly and steadily than borrow recklessly,” Molefe advises.
Real Stories of Success
In Limpopo, Bongi Ndlovu, a mother of two, used R300 from her Child Support Grant to buy ingredients for baking. Today, she sells muffins at a taxi rank, earning an additional R1,200 a month.
“I started small. I saved a little each month and reinvested what I earned. Now I can pay school fees and still have money left for savings,” Ndlovu says.
Government and NGO Support
SASSA encourages beneficiaries to explore programs aimed at reducing dependency and boosting self-reliance. Partnerships with organizations like the Small Enterprise Development Agency (SEDA) and Department of Social Development offer resources for small-scale entrepreneurship.
What to note
While grants are not designed to replace full-time income, they can provide a solid foundation for financial improvement. With the right approach and access to resources, South Africans can turn their SASSA payments into tools for growth, dignity, and self-reliance.
“Economic empowerment starts with mindset and planning,” concludes Molefe. “And every rand counts.”
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