What South Africans really need to earn for a ‘basic’ life
Many South Africans work full-time yet can’t afford the basics. Here’s why the minimum wage isn’t enough.
In South Africa, working full-time does not always guarantee a decent life. Data from the Pietermaritzburg Economic Justice and Dignity Group (PMBEJD) and the Living Wage South Africa Network (LWSA) shows that a person needs between R6,778 and R15,000 per month to maintain functionality and stability.
This range is not about luxury, it covers essentials such as food, electricity, transport and other basic services.
The typical South African breadwinner supports four people. Even with a job, covering the basics is an uphill battle. According to BusinessTech, as of March 2025, the National Minimum Wage (NMW) increased by 4.4% to R28.79 per hour which works out to about R5,297 per month for someone working full-time. That still leaves workers roughly R1,500 short of the most conservative estimate for a basic standard of living.
PMBEJD data shows that at this wage, each person in a four-member household survives on R1,324 per month, far below the upper-bound poverty line of R1,634. This means that millions of working people are technically employed yet still living in poverty.
The organisation describes the NMW as a poverty wage, one that slows economic growth and keeps households trapped in financial instability. Small annual increases fail to keep pace with inflation, effectively leaving workers poorer each year.
The difference between the minimum wage and a living wage is critical. The minimum wage is legally binding but doesn’t meet actual living needs. A living wage allows for savings and reduces financial vulnerability.
Employers often argue that paying a living wage would raise costs and harm employment.
South Africa meets the International Labour Organisation’s (ILO) 1928 minimum wage convention, but the ILO’s 1919 constitutional preamble calls for wages that enable a decent life, not just the bare minimum.
For many low-income workers, earning slightly above the NMW still means being trapped in poverty.
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