New research has revealed that 40% of South Africans depend on social grants, with the Child Support Grant and the Social Relief of Distress grant accounting for more than three-quarters of all grant recipients.

The findings from the Ipsos Khayabus Pulse of the People study paint a picture of a country where social assistance has become a lifeline for millions, while a relatively small tax base struggles to fund the expanding system.

The data shows that 52% of South African households have only one income earner or none at all. Just 24% of South Africans earn more than R9 000 per month, the approximate threshold at which individuals under the age of 65 begin paying personal income tax.

“This data reveals the impossible tension at the heart of South Africa’s fiscal reality,” says Mari Harris, political analyst at Ipsos in South Africa. “Four in 10 South Africans depend on grants to survive, yet less than a quarter of the population earns enough to contribute to income tax.”

Child Support Grant remains cornerstone

Among South Africans receiving grants, two forms of assistance dominate. The Child Support Grant reaches four in 10 grant receivers, remaining the cornerstone of South Africa’s social assistance system.

However, the emergence of the Social Relief of Distress grant as the second most common grant has raised questions about the future of what was originally designed as temporary Covid-19 relief. Together, these two grants have become the primary mechanism supporting millions of households.

The SRD grant, introduced in May 2020, is now in its sixth year, underscoring how temporary support has evolved into a long-term lifeline.

Temporary relief becomes permanent for young South Africans

The SRD grant has become the primary form of social assistance for young people. A third (34%) of South Africans aged 18 to 24 receive a social grant, with nearly three-quarters (73%) of these young grant recipients relying on the SRD grant.

“Six years after Covid-19, this ‘temporary’ measure has become the primary support for millions of young South Africans,” says Harris. “The ongoing debate about whether to make it permanent or phase it out isn’t an abstract policy discussion, it directly affects the daily survival of a generation.”

With high youth unemployment, the SRD grant has become the primary, and often only, income source for millions of young South Africans who cannot find work.

One income supporting multiple people

The research shows that in single-earner households, more than a third (36%) have four or more people relying on one income. Even in two-earner households, 58% are supporting four or more people.

“This is the reality driving both grant dependency and the pressure on those who earn money, who are often supporting entire extended families,” notes Harris.

Gender divide in grant access

Grant dependency in South Africa shows distinct gender patterns. Nearly half (49%) of women receive a grant, while almost a third (31%) of men do.

The type of grant also reveals different patterns. Women primarily access the Child Support Grant to care for their children, while men are more likely to receive the SRD grant. This reflects broader societal patterns where women more often carry the primary responsibility for child-rearing and are often single parents.

Provincial and geographic differences

Grant receipt varies considerably across provinces, ranging from 32% in the Western Cape and 33% in Gauteng to 59% in North West. These differences reflect the varying demographic and socio-economic profiles of South Africa’s provinces.

Geography also plays a role. Half (50%) of South Africans living in villages and rural areas receive a social grant, compared with around one-third (34%) of those living in metropolitan areas.

Harris says the findings illustrate the central challenge facing South African fiscal policy.

“We have 40% of the population dependent on grants for survival, funded partly by less than a quarter who earn enough to pay income tax. Neither group is comfortable. Grant recipients struggle to survive on amounts that haven’t kept pace with inflation, while taxpayers feel the burden of funding an ever-expanding system,” she says.

“The solution isn’t to pit these groups against each other, it’s to grow the economy and create jobs so that fewer people need grants and more people can contribute. Until then, both sides of this equation will remain under strain.”

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