Picture: Pexels/Pavel Danilyuk
For young South Africans, saving money is no longer simply about putting a fixed amount into a traditional savings account every month.
Their financial habits are being shaped by unemployment, rising living costs, family responsibilities, digital banking, side hustles and a desire for financial independence.
Also see: 4 simple solutions for better money management
As a result, young people are finding different ways to save, invest and protect their money.
One of the main reasons for this change is economic pressure. Statistics South Africa reported that in the first quarter of 2026, unemployment among South Africans aged 15 to 24 was 60.9%, while unemployment among those aged 25 to 34 was 40.6%.
With fewer young people having stable incomes, saving a fixed percentage of a monthly salary is difficult. This does not mean that young South Africans do not want to save. In fact, recent research suggests the opposite.
The 2026 Standard Bank Youth Barometer found that young people continue to have ambitions such as buying homes, achieving financial independence, and building long-term security.
The research also found that young South Africans are engaging with savings, investments, insurance and financial planning earlier and more intentionally than they are often given credit for.
Saving around immediate needs
A major difference between younger and older generations is the balance between long-term saving and immediate financial survival. Young people may have savings goals, but everyday expenses can force them to use their savings.
A July 2026 report on Old Mutual’s Savings & Investment Monitor found that 91% of working young South Africans have savings goals, yet only 46% of surveyed Gen Z respondents aged 18–29 were saving regularly. More than half had used savings to pay for everyday expenses.
This shows that saving for young people is often less about accumulating wealth and more about creating a financial safety net. An emergency fund can be used for transport, food, unexpected bills or a period without work.
Also see: Why you handle money the way you do
Digital and flexible saving
Technology has also changed how young people interact with money. Mobile banking and digital financial services make it easier to move small amounts of money into savings rather than waiting until the end of the month.
Research from TymeBank in 2024 found that people under 35 were among the strongest savers in its survey. Among customers aged 26–35, just under 40% were using fixed deposits, while 29% of those aged 16–25 were doing so.
This suggests that younger savers are not necessarily rejecting traditional financial products. Instead, they may combine them with more flexible digital methods that suit irregular incomes and changing financial priorities.
Another important factor is the role of family. South African young adults may be saving for themselves while simultaneously supporting parents, siblings or other relatives.
The 2026 Old Mutual research reported that 43% of Gen Z respondents identified as part of the “sandwich generation,” meaning they provide financial support to both younger and older family members.
The challenge is not just to tell young South Africans to “save more.” It is to create an economy in which young people have a stable, reliable income that enables them to save.
Their financial habits reflect both ambition and economic pressure—and understanding that combination is essential to understanding how the next generation of South Africans will build wealth.
Also see: Why a “money date” is a must-have
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