South African households are under pressure

According to the latest Old Mutual Savings & Investment Monitor report, South African households remain under pressure.

The report is based on 1 000 household interviews among working South Africans living in major metropolitan areas, and shows how consumers are being forced to tighten their belts.

Findings include:

• A need to to cut back on monthly spending just to make it to the next payday
• An increase in households under financial stress
• Middle- and upper-income households are showing strain
• 42% of respondents said they struggle to make ends meet each month
• 73% of respondents said they are constantly worried about having enough money
• 58% of respondents said they do not feel financially secure enough to cover an unplanned emergency
• 60% of respondents do not feel confident that government will be able to provide for them and their families if they cannot do it themselves
• Consumers are cutting back on expensive food and clothing purchases
• Households are cutting back on entertainment and entertaining, reducing how often they go out, or have friends and family over for a social gathering
• 15% of people indicate they will cutting back on using domestic workers
• 79% of households indicated they do not employ a domestic worker at all