Education tops list of priorities SAns keep spending on, even under financial strain

Ahead of Budget 2026, Sanlam has released research showing what South Africans consider as priorities they won't cut from their personal budgets, even under mounting financial strain.

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The study reveals that the top non-negotiable is education and school fees. Number two is housing, followed by savings and investment - a good sign, considering that South Africa is considered to have a poor savings culture.

Stephen Grootes interviews Farzana Botha, Senior Communications Manager at Sanlam Risk & Savings.

The three priorities that top household budgets:

• Education and school fees (17.1%) – Parents spoke of pride, responsibility and a determination to safeguard the future of their children. As one parent put it: “Varsity fees for my daughter.” Another respondent said: “Education. All other things are secondary. Mandela said education is the most powerful tool to change the world.”
• Housing (15.7%) – the anchor of safety and dignity. One participant explained: “Without a roof over our heads and the basic utilities to survive, life would be unbearable.” For some, housing is also about legacy: “I am budgeting to fix my mother’s house as it is a legacy for my kids when they grow old.”
• Savings and investments (14.3%) – the quiet buffer against life’s uncertainties. “I don’t compromise on my savings; it’s how I ensure my family’s future,” said one respondent, echoing a broader desire for stability and control in uncertain times.

Consumers' emphasis on education was a key finding of the study, Botha says.

She affirms that our country's history informs this choice.

"I think it is one of those 'hope' budget allocations, because we want to give the future generation something tangible, and education is probably one of those things that they potentially bank on and that's why we're seeing it as a non-negotiable."

Even where the money spent on education can be quite a stretch for households, they have seen the value and are prepared to make sacrifices, she says.

"I think that traditionally we found that the literacy gap was the reason why we were breeding this perpetual state of poverty - and people really are trying to bridge that literacy gap, whether it's formal education, whether it's financial literacy... that they're now starting to prize as the way out of the situation."

Scroll up to the audio player to hear more detail from Sanlam's Farzana Botha