Warning for South Africans earning less than R58,000 per month

Standard Bank has cautioned South Africans to be more mindful of what they spend on takeaways, since this can eat into their savings and hurt their long-term financial goals.

Data from Standard Bank revealed that a significant portion of its customers, even among those earning a stable income, don’t have immediately accessible emergency savings.

More than 45% of clients have no accessible emergency savings. Among Private Banking clients earning between R25,000 and R58,000 a month, more than a third have no emergency savings.

This is concerning, especially in an uncertain economic environment where even a small buffer can make a big difference.

“We know that growing one’s income isn’t always easy because there are external factors we can’t control,” said Head of Money Management and Advisory, Doret Jooste.

The bank looked into takeaway spending as one of the potential aspects customers can look at to make room for savings.

Ordering food in 2025 is as easy as clicking a button. With booming apps and countless franchises, spending is effortless and harder to track.

According to Statista, the average revenue per user (ARPU) in the Grocery Delivery market is projected to amount to $213.39 (R3,837.98) in 2025.

Statista expects the number of users to increase to 23.6 million by 2029, reaching a projected market volume of $3.60 billion (R64.76 billion).

For many urban households juggling 9-to-5 jobs and traffic, takeaways offer a convenient fix, even for the health-conscious. Data indicates that, in some cases, spending on takeout each month can be enough to build an emergency fund.

Standard Bank data shows customers spend an average of R775 monthly on takeouts and food delivery, excluding groceries and supermarket meals.

The analysis is based on transactions at 14 major fast-food franchises. Since many sampled customers are multi-banked, actual spend may be higher. Jooste said on the Kaya Biz podcast that this number is steadily increasing every year.

Customers in their late 20s to mid-30s lead this spending, and the higher the income, the more they spend. Those earning around R60,000 spend over R1,000 monthly, peaking at R1,300 during holidays.

“These are often family meals, and this group likely views it as a time-saving trade-off,” Jooste explained.

Small changes go a long way

Lower- to middle-income earners feel the pinch more. Those earning under R20,000 spend about R472, and those earning R25,000 spend R615 a month.

The average spend rises to R748 for those earning under R60,000. For them, this accounts for about 2.5% of disposable income.

It is important to consider that higher-income earners spend more on takeaways. Jooste said that South Africans often believe that they will start saving more once their salaries increase.

However, the numbers show that this is not the case. When South Africans’ salaries increase, their spending follows suit.

Rather than focusing on income level, Jooste said it’s about how intentional people are about saving.

These groups tend to hold more debt, and frequent low-value purchases can strain mid-month cash flow. “It feels harmless at the time, but the frequency can add up,” Jooste warned.

Convenience spending is often unplanned and sometimes unconscious. It quietly chips away at disposable income without a clear budget or reduced grocery spend.

Jooste encouraged households to review monthly spending, identify impulse triggers, and set a cap. “Capping this spend, whether as a set amount or a percentage of income, can free up money for savings.”

For example, cutting takeout spending from R615 to R400 could free up R2,500 annually. Invested tax-free at 10% annually, this could grow to over R41,000 in 10 years.

Subscription costs are another area to review. On average, low- and middle-income customers spend R336 and R482 monthly on subscriptions, respectively. Private Banking clients spend R1,255.

Halving takeout and subscription spend could free up over R400 for low-income earners, R615 for emerging high-income earners, and more than R1,100 for Private Banking clients. This is enough to start saving or reducing debt.

Jooste explained that the goal isn’t to cut these costs entirely but to be intentional. Small shifts, like swapping one Friday takeout for a homemade burger night or packing lunch to work or school, can ease cash flow and build stronger financial habits.

Automating savings makes the process even easier and removes the decision-making process. Choosing a monthly amount to transfer to a savings account after being paid every month can go a long way in building a savings pot.

With the latest interest rate cut, Jooste recommended that South Africans use that extra cash to pay off their debt faster or put it into a savings account rather than increase discretionary spending.