High salary earners struggle to make ends meet

Cape Town - About 70% of South Africans earning up to R1m in annual salaries were overextended with no investible assets, while 14% said they were living beyond their means and struggled to make ends meet, according to research conducted by Old Mutual Wealth.

A further 10% said they were not worried about saving for the future, 14% said they would like to invest but were not sure who to turn to for financial advice and 23% said they saw no benefit in being loyal to a particular investment house and therefore a long-term strategy.

Middle and upper class South Africans are earning more than enough to afford comfortable lifestyles, but they need to come to terms with the trade-offs required to ensure that their lifestyles are sustainable well into a long retirement.