Basket to basket: Comparing the cost of living
If you feel like every time you go to the shop you get less and less for your money – you’re right! The rand was launched in 1961 and ever since then, we have been getting less and less for our money.
Research by Stats SA show that when comparing the cost of living, the same basket of goods and services that you could get in 1961 for R100 – would have cost nearly R9700 at the end of 2020.That means that consumer prices increased by almost 97 times. That’s no joke!
Prices of goods 1961 vs 2021
|15kg mielie meal||90c||R49,27|
|1kg loaf of white bread||9c||R15.21 (700g)|
|1kg fresh chicken||70c||R40/kg (approx.)|
|340g tin corned beef||29c||R27.21(300g)|
|570ml beer||16c||R14.56 (330ml lager)|
|Pack of cigarettes||19c||R43|
If going back to the sixties is taking it too far back – then let’s look at some price comparisons from the eighties.
Prices in the 80’s vs 2021
|Price in the 80’s||Price now|
|Buns per doz.||R2,40||R15,99|
|Milk 2 litre||R1,72||R24,99|
|Lamb chops||R6,69 /kg||R191,67 /kg|
|Rice 2 kg||R1,19||R29,99|
|Dog food||R8,69 per 8 kg||R123,00|
Sadly for South Africans, the country’s unemployment rate is at an all time high and with millions of people relying on social grants – the situation seems dire. Those who do have jobs / an income – are not faring much better. Stats show that the finances of 4 out of 5 South African households were negatively affected by Covid and the lockdown – and 2021 does not seem to be being much kinder to us than 2020 was.
Sebastien Alexanderson, CEO of National Debt Advisors says: “ There is no miracle recovery to the financial carnage which Covid has wreaked all over the world. The best thing everyone can do, is to take control of their financial situation and get rid of their existing debt, before incurring new debt.”
Sadly, due to stress and panic, many people have turned to high interest loans in the hope that it will alleviate their financial distress – but this is just a short term solution, which actually aggravates the problem.
Through the National Credit Act, South Africa has put in place the process of debt counselling. This is a debt relief option to help over-indebted South Africans better manage their debt and become debt free.
The process of debt review is overseen by a registered debt counsellor and the industry is regulated by the National Credit Regulator. In all industries, you will find good and bad practitioners. Debt counselling is no different. It is vitally important that you choose a reputable debt counsellor to assist you when you are at your most vulnerable.
National Debt Advisors are leaders in the practice of debt review and were voted the best debt counselling company in the country in 2020. So, if you need help with your debt, you need look no further. Make contact with us today, and we can help you on your journey to becoming debt free.