The average take-home pay in South Africa has declined compared with the same period last year as businesses struggle to cope under national lockdown rules.

This is according to the latest BankservAfrica Take-home Pay Index (BTPI), which found that the real average salary fell by 2.4% in the past month.

“The real average and overall salary paid contracted in January 2021 after coming under strain from the pandemic and level 3 lockdown, according to the latest BankservAfrica Take-home Pay Index (BTPI),” said BankservAfrica Head of Stakeholder Engagements Shergeran Naidoo.

“This is a sure sign of the pressure that average salaries faced under this period.”

The data does, however, predict a return to normal in future as average salaries make a comeback in real terms and COVID-19 vaccinations are made available.

There has also been a 3.2% decline in banked take-home pay, which could be attributed to the delay in people returning to work.

BankservAfrica added that with the average real take-home pay declining, it will be interesting to see if there will be tax relief for employed South Africans when the National Budget Speech is tabled tomorrow.

“This is as businesses and households come under even more financial pressure from the planned 16% hike in electricity costs in April,” it added.

Read more @My Broad band