This year payment increases have been brought forward from July 1 to April 1, while the increases, which average 8.8 percent, surpass the current inflation rate of six percent.
The amount allocated for welfare services and social grants on a provincial level has been increased from R121.2 billion for the 2001/2002 to R132.4 billion for 2002/2003. Of the additional revenue available for spending in the 2002/3 Budget, R2 billion will go to pay backlogs in social security payments.
Social assistance is a grant you can get if you have limited or no sources of income and cannot pay for food and shelter. This money comes from a non-contributory fund that is supported through taxes, and other income sources. South Africa does not have a universal social security system, but applies a means test to make sure that only the needy qualify for assistance.
Staying in a state institution where you get food and shelter, such as a state old age home, a prison, a psychiatric hospital or care and treatment center will automatically disqualify you from receiving a social grant.
When applying for a social grant, a welfare officer will consider whether you have any other sources of income. Your assets and income will be taken into consideration. Assets are investments and property except if you own the property you live in, its value will not be considered. Your salary, pension, any rent you may receive or any interest you earn from any assets you may own is referred to as income. The grant is given on a sliding scale - the more money you earn, the less the grant will be. If your income and assets are too high, you will fail the means test and also the grant be refused. You must also be a South African citizen.
