Money stress in South Africa eased slightly in 2025, returning to levels seen in 2022, yet the issue remains widespread and deeply felt, according to the fourth annual DebtBusters Money-Stress Tracker.
The May-June survey, including more than 27,000 participants, found that 70% of respondents reported financial stress – down from 75% in 2024 and 78% in 2023 – marking the first notable dip in two years.
Despite the modest decline, the impact on daily life remains profound: 91% of those surveyed said their stress affected home life, while 73% reported strain on work life and health.
Psychologist Andrea Kellerman emphasizes the importance of even slight gains: “A 5% drop in stress in 2025 has led to people sleeping and coping ‘a bit better,’ suggesting a profound impact of small improvements on resilience and perception.”
She credits the shift to reduced inflation, fewer national crises such as load shedding, and a growing sense of agency among individuals who are actively reframing their financial outlook.
However, disparities persist. Nearly three-quarters of women continue to experience financial stress, with about 10% more women worried about money and roughly 20% more affected in work, home, and health domains than men. Both genders have seen improvements—stress across all life areas declined by 5% to 15% since 2024.
Short-term concerns dominate the list of financial worries, with running out of money before month-end and failure to pay monthly debt topping the chart. Though interest rate hikes, inflation, and load-shedding remain concerns, these pressures have eased compared to previous years.
Demographic and regional differences also emerged. South Africans aged 35–44 are identified as the most financially stressed, while those 45 and older are increasingly concerned about retirement.
Lower-income earners cite interest rates and unexpected expenses as primary concerns, while R20,000-plus earners face stress from high debt levels beyond their means.
Regionally, the Western Cape now leads the country in financial anxiety, replacing Gauteng; smaller provinces have seen spikes in concerns over interest rates and electricity.
Debt levels are overwhelming for many: 63% of respondents allocate 30% or more of their after-tax income to debt repayment, and 48% spend over 40% – a threshold deemed unsustainable. Those aged 45 and older are the hardest hit, with 60% carrying heavy repayment burdens.
A shift in consumer behaviour is noticeable. Only 37% report cutting monthly expenses – a decline from 43% in 2022 – possibly indicating “savings fatigue.”
By contrast, 35% are now exploring higher-paying or improved jobs, up from 26% in 2022. Young adults under 35 are most proactive, with almost four times more likely to seek better employment and 56% more likely to adhere to budgets.
While job hunting and side hustles defined earlier years and 2024 focused on debt counselling and budgeting, 2025 shows increased entrepreneurial efforts, multiple income streams, and a greater pursuit of financial independence.
Despite reductions in stress, over 90% of those with unsustainable debt still do not seek professional help such as debt counselling.
Kellerman said: “This year has shown us that even a 5% drop in stress can create a ripple effect. With improved sleep, fewer national disruptions, and a growing sense of personal empowerment, South Africans are feeling better equipped to navigate their financial realities.”
