BUDGET 2026 | The big points explained like you’re telling a friend

Finance Minister Enoch Godongwana delivered the 2026 Budget Speech on Wednesday, outlining how much money SA has to work with, how government plans to use it, and where that money will come from. But beyond the big words and long numbers, what does it mean overall, for your salary and your petrol tank? OM Bank, a new digital-first bank built on Old Mutual’s longstanding legacy, knows that the Budget Speech isn’t just a national conversation.

It’s a personal one that impacts every South African. That’s why it cuts through the jargon to explain what it really means for your pocket. The government still owes a lot of money — about 75% of the gross domestic product (GDP).

GDP is a way of saying: the country’s “income”, or how much the country produces/earns overall. Because government debt is high, a big chunk of money goes to paying interest on that debt, instead of using it for services. “Income tax” is the money taken from your salary to fund government services.

[paywall]

Good news: there is slightly more take-home pay with tax brackets having been adjusted. This means consumers will no longer be dragged into higher tax brackets purely because of inflation. Speaking of which, there’s more good news: inflation has slowed to around 3.5%, which means prices aren’t rising as fast as before.

That usually makes paying back loans a bit cheaper. OM Bankencourages you to monitor your take-home pay and deductions closely. Now’s a good time to focus on small, consistent savings; even modest monthly contributions can build a cushion over time. Tools like the bank’s “Pay Me First” feature make saving automatic and manageable.

[/paywall]