As South Africa observes National Savings Month this July, many families on the Cape Flats say that saving is simply not an option. With the cost of food, transport, and electricity continuing to rise while wages remain stagnant, residents have indicated that their financial focus is purely on day-to-day survival.
Annual consumer price inflation rose to 3% in June 2025, up from 2.8% in May. Although this figure remains at the lower end of the South African Reserve Bank’s target range of 3 to 6%, it strengthens the case for a potential interest rate cut next week.
Still, even minor shifts in inflation can have a significant effect on low-income households.
A VOC News poll found that nearly 50% of respondents are unable to save, living from paycheck to paycheck.
Lavender Hill community worker Mellissa Malan told VOC News that most households are buckling under financial pressure, making it nearly impossible to set money aside at the end of the month.
“Where I am, as a working female, it’s far and few in between that this is even a possibility,” she said.
“Because of various needs, it is wise to save money for things that you want to do. But with household items constantly needing replacement, those are all extra added costs which tap into your savings.”
In Hanover Park, a resident shared how she’s had to find creative ways to cut back on expenses just to get by.
“I have to put my geyser off. And you know what? I found out that it’s a bit cheaper,” she explained.
“A friend of mine supplies me with food. So, we make a fire, and I use an old pot to boil water for us to wash. I don’t use my stove anymore. Sometimes we just have a sandwich, because I can’t afford to put the stove on.”
Meanwhile, local consumer debt analyst Moeshfiqah Botha said that while it’s easy to feel discouraged when living expenses outweigh income, taking small steps can still help ease financial stress.
“Some people feel like their money runs out before the month even begins,” said Botha.
“To these people, I say: you are not alone. Don’t feel guilt or shame. Our salaries simply haven’t kept up with the rising cost of living. Everyone is struggling. Instead, focus on finding a solution, whether that means speaking to your creditors, going under debt review, or even just drawing up a budget on paper.”
Listen to the full package below:
VOC News
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