1. Income and expenditure
patterns in the city of Tshwane
Carel van Aardt
Income and expenditure research division
Bureau of Market Research
Unisa

2. Contents
Background
Income patterns
Household wealth patterns
Living standards
Expenditure patterns
Concluding remarks
2

3. Background
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4. Tshwane statistics
• Nationally: 47.5% of households with incomes lower
than R 3500 pm, 20.8% in Tshwane.
• 2% of SA poor and 9.7% of SA affluent in Tshwane.
• About 8.5% of national GVA produced in Tshwane.
• 25.3% unemployed and 13.4% underemployed.
• National Gini coefficient is 0.67, Tshwane Gini
coeficient is 0.71.
• 33.9% of employed are self-employed – 68.9% full-
time and 31.1% part-time.
• Financial vulnerability score out of 10 is 5.14.
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5. Income patterns
5

6. Percentage distribution of income
by age group
0-19 20-29 30-39 40-49 50-59 60+
No income 70 55 30 25 27 18
Very low income: 29 18 24 24 26 54
R1-2500pm
Low income: R 0 10 13 12 13 7
2501-5000pm
Middle income: R 1 14 22 24 22 15
5001-20000pm
High income: R 0 4 11 14 13 7
20000pm+
Total 100 100 100 100 100 100
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7. Percentage distribution of income
by population group
Black Coloured Indian White
No income 49 47 46 38
Very low income:
R1-2500pm 32 16 10 7
Low income: R
2501-5000pm 9 8 7 5
Middle income: R
5001-20000pm 8 21 27 29
High income: R
20000pm+ 2 7 11 21
Total 100 100 100 100
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8. Percentage distribution of income
by employment status
Employed Unemployed Not economically active
No income 4 95 84
Very low income:
R1-2500pm 31 3 13
Low income: R
2501-5000pm 19 1 1
Middle income: R
5001-20000pm 31 1 2
High income: R
20000pm+ 15 0 1
Total 100 100 100
8

9. Percentage distribution of income
by educational status
No schooling Grade 0-7 Grade 8-12 Post-matric
No income 53 51 48 18
Very low income:
R1-2500pm 45 39 20 6
Low income: R
2501-5000pm 1 6 11 5
Middle income: R
5001-20000pm 1 3 16 36
High income: R
20000pm+ 0 0 4 35
Total 100 100 100 100
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10. Household wealth patterns
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11. Percentage distribution of dwellings
by population group
Indian or
Black Coloured Asian White
Formal house,
townhouse or flat 55 88 97 97
Traditional or in back
yard 4 4 1 2
Informal dwelling 38 8 1 1
Caravan, boat or hostel 2 - - 0
Other 1 - 1 0
Total 100 100 100 100
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12. Percentage distribution of water
source
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13. Percentage distribution of lighting
source
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14. Living standards
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15. Percentage breakdown by LSM
group
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16. Percentage distribution of LSM
groups by employment status
Working Working
Not EAP Unemployed Full-Time Part-Time Self Employed Total
LSM 1-4 17 27 36 15 5 100
LSM 5-7 28 23 30 9 9 100
LSM 8-10 30 4 44 6 17 100
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17. Percentage distribution of LSM
group by population group
African Coloured Indian White
LSM 1-4 8 0 2 0
LSM 5-7 70 64 30 22
LSM 8-10 23 36 69 78
Total 100 100 100 100
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18. Percentage distribution of products
by LSM group
LSM 1-4 LSM 5-7 LSM 8-10
Bread 100 100 100
Cheese 63 68 61
Sugar 31 40 59
Yellow Margarine/Butter 79 71 64
Milk 42 53 38
Chicken 52 80 74
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19. Expenditure patterns
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20. Percentage distribution of
expenditure by LSM group
LSM 1-4 LSM 5-7 LSM 8-10
Food, beverages and tobacco 54 37 16
Clothing and footwear 8 8 4
Furniture and household equipment 2 3 3
Housing, fuel and electricity 13 14 16
Personal care and medical 7 8 10
Other 15 29 51
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21. Concluding remarks
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22. Issues to be addressed
• Poverty – wealth transfer mechanisms need to be
strengthened.
• Unemployment – not higher GVA, rather facilitation
and SMME creation.
• Inequality and low skills levels – mass-based
education.
• Broad-based development and emergency relief –
creation of a strong government and NGO network.
• Culture of entrepreneurship and innovation.
• Strengthening social cohesion.
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23. Thanks for listening
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