Despite a slowing economy‚ “pensioners received substantial increases that outperformed salary increases”‚ according to the BankservAfrica’s Disposable Salary Index (BDSI) and Private Pension Index (BPPI) for 2015.
The latter has “shown even better growth than take-home salaries‚ but off a far lower base”‚ the compilers of the survey said on Wednesday.
“For the second year in a row median bankable pensions increased by double figures‚ up by 10.3% in 2015 when compared to a year ago‚ and for the second consecutive year‚” BankservAfrica said.
“This means they beat the average inflation rate by 5.4%.”
Salaries also beat the 4.6% average inflation rate “quite comfortably”‚ commented BankservAfrica’s Dr Caroline Belrose.
“Average take-home salaries increased by 6.7% in 2015‚ down from the 8.8% increase in 2014. Average salaries in real terms were 2% higher in 2015 than 2014‚” she elaborated.
“The average take-home salary was R12715 per month for the year‚ except in December‚ which is always a higher salary month due to bonuses being paid. December’s average was R13733.”
The above-inflation increases for both employees and pensioners “has helped keep retail sales alive”‚ and BankservAfrica predicted that it “seems that a few more positive growth months in retail and restaurant sales can be expected”.
This would‚ however‚ likely tail off in the latter half of 2016 due to interest rate hikes and other economic factors.
“Market turmoil is likely to impact on the ability of trustees to increase pensions” as BankservAfrica noted that increases in pensions slowed towards the end of 2015.
Double-figure increase in bankable pensions beats inflation
Despite a slowing economy‚ “pensioners received substantial increases that outperformed salary increases”‚ according to the BankservAfrica’s Disposable Salary Index (BDSI) and Private Pension Index (BPPI) for 2015.
The latter has “shown even better growth than take-home salaries‚ but off a far lower base”‚ the compilers of the survey said on Wednesday.
“For the second year in a row median bankable pensions increased by double figures‚ up by 10.3% in 2015 when compared to a year ago‚ and for the second consecutive year‚” BankservAfrica said.
“This means they beat the average inflation rate by 5.4%.”
Salaries also beat the 4.6% average inflation rate “quite comfortably”‚ commented BankservAfrica’s Dr Caroline Belrose.
“Average take-home salaries increased by 6.7% in 2015‚ down from the 8.8% increase in 2014. Average salaries in real terms were 2% higher in 2015 than 2014‚” she elaborated.
“The average take-home salary was R12715 per month for the year‚ except in December‚ which is always a higher salary month due to bonuses being paid. December’s average was R13733.”
The above-inflation increases for both employees and pensioners “has helped keep retail sales alive”‚ and BankservAfrica predicted that it “seems that a few more positive growth months in retail and restaurant sales can be expected”.
This would‚ however‚ likely tail off in the latter half of 2016 due to interest rate hikes and other economic factors.
“Market turmoil is likely to impact on the ability of trustees to increase pensions” as BankservAfrica noted that increases in pensions slowed towards the end of 2015.
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