logo
2025 SASSA grant review: HOW the agency reclaims money

2025 SASSA grant review: HOW the agency reclaims money

Social welfare organisations predict we'll see an increase in 2025 SASSA grant review proceedings for 'core' beneficiaries. There are several factors at play for this, but the biggest one is managing strain on the National Treasury's social welfare budget.
As many of you know, a 2025 SASSA grant review can be initiated if the agency has reason to believe your circumstances have changed/improved since you were approved for a grant. You may have misrepresented your income in your initial application, or you may have an undeclared revenue stream that puts you above the qualifying income amount.
Either way, the South African Social Security Agency has the right to request a 2025 SASSA grant review. However, authorities must give you three-months' notice in writing beforehand it can do so.
Primarily, the agency will check on your income and asset eligibility. And if it finds you are over the limit, it does have the right to 'reclaim ill-gotten government funds' for the period in question …
To keep the number of Old-Age SASSA beneficiaries manageable, the National Treasury enforces strict tests through the Social Pension (SOCPEN) system. Therefore, anyone with a private pension, savings, personal assets and income exceeding these limits will face a 2025 SASSA grant review: R8 070 per month ( R96 840 per year) income if single.
per month ( per year) income if single. R16 140 per month ( R193 680 per year) income if married.
per month ( per year) income if married. Total assets of R1 372 800 if single.
if single. Total assets of R2 745 600 if married.
For the country's 13-million SASSA Child Support beneficiaries, applicant finances must show you earn less than: R8 800 per month if married ( R105 600 annually).
per month if married ( annually). R4 400 per month if single (R52 800 annually).
As a result, SASSA is within its rights to demand that money be repaid for the period of time that your income/assets exceeded the qualifying amount. Don't forget, you sign an agreement when you become a grant beneficiary that you will inform SASSA if/when your income increases beyond the qualifying amount. Cost of living is increasing but lying to SASSA is illegal.
SASSA will demand that you repay the monies you received 'in error.' However, if you think you have a case, you can appeal against SASSA's decision through the Department of Social Development (DSD) HERE. You have 90 days to appeal their decision. SASSA will pass it along to the Independent Tribunal for Social Assistance Appeals (ITSAA) for final adjudication.
If your appeal is overturned, SASSA will insist you repay all 'ill-gotten funds' from the time period in question. An alternative path to resolution is to contact social welfare organisation, Black Sash. Their head office is based in Mowbray, Cape Town and they have experience resolving grant review problems: +27 21 686 6952
072 6633 739
Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1.
Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

SASSA cautions beneficiaries on illegal deductions
SASSA cautions beneficiaries on illegal deductions

The Citizen

timean hour ago

  • The Citizen

SASSA cautions beneficiaries on illegal deductions

The South African Social Security Agency (SASSA) has expressed deep concern over a rise in unlawful deductions from social grant beneficiaries' payments by certain financial service providers. According to the agency, it has been inundated with complaints from beneficiaries reporting that money is being deducted from their grants for insurance policies they never signed up for. Many of the affected recipients believe these companies are linked to SASSA – a claim the agency has firmly denied. 'We have utmost respect for our beneficiaries and the Act governing social assistance in the country, and we will never do anything to short-change our clients,' said SASSA CEO Themba Matlou. 'Your money is your money. If you qualify for a grant, it belongs to you, and SASSA has no right or authority to dictate how you use it.' How to report illegal deductions Matlou urged victims to report any unlawful deductions to their nearest SASSA office for investigation. Beneficiaries who dispute signing a funeral policy can also send an SMS to 34548 with their ID number and the financial service provider's name. You can also visit the insurer or service provider directly to cancel the policy. What the law says Under Regulation 29 of the Social Assistance Act of 2004, SASSA can only allow one deduction per month for a funeral policy, not exceeding 10% of the grant amount. The beneficiary must consent in writing or via electronic communication. However, funeral policy deductions are prohibited from child-related grants, including the Child Support Grant, Care Dependency Grant, and Foster Child Grant, as well as the Temporary Disability Grant. SASSA emphasised that it does not partner with insurance companies to make deductions from grants and will continue to work to protect beneficiaries from unlawful practices. ALSO CHECK: High-flying action at upcoming model aircraft air show ALSO CHECK: CoE warns of rising measles cases, urges child vaccinations

SASSA confirms termination of Postbank contract, assures beneficiaries of continued grant payments
SASSA confirms termination of Postbank contract, assures beneficiaries of continued grant payments

IOL News

time2 hours ago

  • IOL News

SASSA confirms termination of Postbank contract, assures beneficiaries of continued grant payments

SASSA ends contract with Postbank, ensuring grant payments continue smoothly as beneficiaries can still access funds via their bank of choice amid efforts to modernize payment infrastructure and improve service delivery. The South African Social Security Agency (SASSA) has confirmed it will not renew its Master Service Agreement (MSA) with Postbank, which is set to expire on 30 September 2025. This decision raises questions about the future of grant payments for over 2 million beneficiaries who currently use Postbank accounts. Democratic Alliance Member of Parliament (MP) Alexandra Abrahams submitted a parliamentary question to the Minister of Social Development, Nokuzola Tolashe, seeking clarity on the reasons behind SASSA's decision, plans to mitigate any negative impact on beneficiaries, and whether a new payment service provider has been appointed to handle grant payments from 1 October 2025. In her parliamentary reply, Tolashe stated that SASSA had 'decided to exercise the exit clause of the Master Service Agreement (MSA) with Postbank due to operational reasons and changes within the payment environment.' She explained that since the termination of cash pay points and over-the-counter services at South African Post Office (SAPO) branches, and the removal of SAPO as a recognised grant payment channel, the agreement with Postbank 'no longer has any significant relevance.'

SARS wants a slice of your offshore retirement savings
SARS wants a slice of your offshore retirement savings

IOL News

time3 hours ago

  • IOL News

SARS wants a slice of your offshore retirement savings

The South African Revenue Service (SARS) and National Treasury have published draft legislation aimed at changing tax rules for foreign retirement funds. Image: IOL/Ron Ai The South African Revenue Service (SARS) and National Treasury have published draft legislation aimed at changing tax rules for foreign retirement funds. According to Tax Consulting SA, if passed, the amendment would repeal the existing exemption, which has been in effect since March 1, 2017, and is expected to take effect from March 1, 2026. This change would allow SARS to tax retirement lump sums, pensions, and annuities received from foreign sources by South African tax residents. Currently, South Africans don't pay tax on foreign retirement funds to avoid being taxed twice. However, Treasury has insisted this rule allows some retirement money to slip through untaxed, costing the government revenue. The proposed amendment would repeal the existing exemption in section 10(1)(gC)(ii) of the Income Tax Act, effectively bringing foreign retirement benefits into South Africa. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ Treasury has previously said that "the exemption may result in double non-taxation, particularly where the foreign jurisdiction does not tax the retirement income due to domestic law or tax treaty limitations." "In these cases, neither South Africa nor the foreign jurisdiction imposes tax on the retirement benefit. This undermines South Africa's residence-based system of taxation and leads to revenue forgone to the fiscus." Treasury has also previously warned that by maintaining the exemption, South Africa sometimes loses its exclusive right to tax foreign retirement benefits under double taxation agreements. Tax Consulting South Africa has also urged South African expatriates and foreigners relocating to South Africa to seek advice from qualified tax professionals experienced in cross-border taxation. "As retirement planning is a key principle of personal financial planning, South African expatriates and foreigners relocating to South Africa should consult qualified tax professionals experienced in cross-border taxation. "With the legislative cycle progressing, it will also be a make-or-break for taxpayers to stay up to date on any changes that will affect their foreign retirement income and plan accordingly on a more urgent basis than they may have liked." The deadline to submit comments on the proposed amendments is September 12, 2025. Comments must be sent to: National Treasury's tax policy depository at 2025AnnexCProp@ SARS at 2025legislationcomments@ IOL Business Get your news on the go, click here to join the IOL News WhatsApp channel

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store