Editor’s Thoughts.

One trend I know you’re all watching right now is salaries. Specifically that pay cheques may be getting bigger – but for many South Africans, money still feels tight.

On Friday I shared the latest Remchannel survey (under Top Picks) showing average salary increases of 5.43% in April, once again outpacing inflation. Yet as Lettesha Pillay (NMG Benefits) points out, fewer than 10% of employees are saving meaningfully for retirement, and more than half have no savings at all – a sign that benefits exist on paper but often don’t translate into real financial security. Two‑pot withdrawal data backs this up: most people are dipping into retirement savings to fund basics, emergencies and debt, not luxuries.

Zoom in, and you see the personal side of the story. Trecy Tshuma (Alexforbes) reminds us that “good” debt can turn bad quickly when income wobbles or interest rates rise, especially if you’ve borrowed to the max. And be warned, most economists are now expecting an interest rate hike at the MPC’s meeting later this month. Why? Well, as Bianca Botes (Citadel Global) points out: global shocks – from oil to fertilizer and helium – quietly push up input costs, food prices and the rand, long after the headlines move on. And as you know, central banks increase interest rates to combat inflation. More debt leaves you with less to spend.

Against this economic backdrop, Leon Greyling (ICTS Legal Services) points out that under COFI, regulators will increasingly judge retirement funds and their service providers on whether they’re treating customers fairly in this reality. Not in theory, but in real outcomes where it matters.

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