Minimum Wage Increase from 1st March 2026

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As we approach the new financial year, we want to remind you of an important update regarding the national minimum wage in South Africa.

With effect from 1 March 2026, the minimum wage rates have increased as follows:

  • National Minimum Wage: R30.23 per hour

  • Farm workers: R30.23 per hour

  • Domestic workers: R30.23 per hour

  • Expanded Public Works Programme (EPWP): R16.62 per hour

The Minister of Employment and Labour has formally adjusted the National Minimum Wage from R28.79 per hour to R30.23 per hour, and this rate is now legally enforceable.

What does this mean in practice?

The national minimum wage is an hourly rate, but many employers find it helpful to understand the approximate monthly cost.

Using standard working patterns, the minimum pay works out at approximately:

  • 45‑hour work week (South Africa standard):
    About R5,890 per month

  • 40‑hour work week:
    About R5,240 per month

These figures are estimates and are based on average monthly hours across the year. Actual monthly pay may vary slightly depending on how many hours are worked in a particular month.

Please remember that the minimum wage excludes allowances, such as transport, food, accommodation, bonuses or tips, which cannot be used to reduce the hourly rate paid.

Update your payroll system

Please ensure that your payroll system has been updated to reflect these new rates from 1 March 2026. This is especially important for anyone currently paid at or near the minimum wage level, as underpayment can result in penalties, interest and employee disputes.

Consult with HR professionals

If you employ individuals, it is advisable to consult with an HR professional to ensure that all employment rights are correctly managed. This includes wage compliance, overtime calculations, working hours, leave entitlements and employment contracts.

Our services and HR referrals

While we manage your payroll, our services do not include HR management. We are not trained in all aspects of HR, but we are happy to refer you to reputable HR professionals should you need support.

It is essential that payroll is set up correctly in line with the employment contract to avoid discrepancies and unhappy employees, particularly around pay and leave entitlements.

Final thoughts

We appreciate your attention to these updates and your continued trust in our services. If you have any questions or would like help reviewing your payroll setup, please don’t hesitate to contact us.