Does Financial Education Actually Work in South Africa?
One of the key purposes behind the ZA Group Chat blog series is to challenge conventional thinking and offer alternative perspectives on topics we encounter in our day-to-day advisory work.
Our PR and Communications team has recently been assisting a client with messaging around a financial education initiative in South Africa. This prompted an interesting question that has circulated in the financial services sector for years:
Does financial education actually work?
Our Experience in Financial Education South Africa
It helps to establish context when raising a contentious question. The lens through which I approach financial education in South Africa is shaped by the following:
- A financial journalist with 20 years’ experience covering entrepreneurship, personal finance and the financial services sector
- Through my work with Moneyweb, I supported the development of financial education content later adopted by a JSE-listed financial services group
- Through Decusatio Human Capital Solutions, the business engages in financial wellness and financial education initiatives across organisations
What Does the Data Say About Financial Education?
One of the biggest challenges in assessing financial education effectiveness in South Africa is identifying clear data points that indicate success or failure.
The financial services sector must contribute 0.4% of net profit after tax to consumer education. This translates into hundreds of millions of rand flowing into financial education initiatives annually.
Despite this, the outcomes raise questions:
- Household savings rates continue to decline
- Nearly R1 trillion was wagered in online gambling in 2025
- Retirement outcomes have not improved meaningfully over the past 20 years
- Access to retirement savings is increasing
- Entrepreneurship activity shows limited improvement
There are valid macroeconomic explanations — low disposable income, high interest rates and muted growth. However, very few indicators suggest that financial education programmes are consistently changing behaviour.
Crowdsourcing Insights From the Market
A recent LinkedIn post on this topic generated strong engagement and useful debate.
You can follow the discussion online, but one notable point came from Kathryn Main, who suggested that financial education should start earlier — focusing on children and teenagers to build stronger long-term financial habits.
This aligns with a broader view: timing may be just as important as content when it comes to financial education.
Financial Education vs Financial Advice
A recurring theme in the discussion was confusion between financial education and financial advice.
As I have gained more experience, I have developed a deeper appreciation for the role of a financial advisor.
The key distinction is this:
We are not questioning the value of financial advice — we are questioning whether financial education campaigns alone are effective in changing behaviour.
An Interesting Perspective From Johan Peens
One of the contributors to the discussion was Johan Peens, an independent financial planner and contributor to BankerX.
In a piece for Citywire South Africa titled “We built a retirement system but we forgot advice”, he offers a sharp insight:
“Financial education is still information, and information does not make decisions. A member standing at a withdrawal or retirement decision does not need another brochure. They need to understand what this decision means, what the trade-offs are and what happens next. That is not education, that is advice.”
It is a perspective worth considering — and the full article is well worth a read.
What Financial Education Initiatives Actually Work?
Building on this debate, the more practical question becomes:
What types of financial education initiatives in South Africa actually drive real outcomes?
There has long been an argument that financial education should remain product-agnostic. In other words, products should not be introduced as part of the education process.
However, a counterpoint is worth exploring.
In many cases, better financial decisions are made when individuals engage with a real financial product.
Based on our experience with financial education and corporate wellness programmes, three practical interventions tend to deliver more tangible impact.
The first is drafting a Will. While it may seem like an uncomfortable starting point, more than 70% of South Africans die without a valid Will. This creates delays in estate administration and real financial consequences for families. Importantly, it forces individuals to think about their financial position in a practical, real-world context.
The second is using EasyEquities to build an investment mindset. Gamifying financial behaviour through small, consistent investments can shift habits more effectively than theory alone. We have previously explored how EasyEquities vouchers can support this approach in practice.
The third is education around JSE ClaimIt and unclaimed benefits. Many South Africans have unclaimed dividends. The ClaimIt initiative helps shareholders recover these funds through a structured and secure process.
These examples share a common thread: they connect financial education to real decisions and real outcomes.
Give Us Your Thoughts
This topic continues to generate strong interest within our network.
If you have a perspective on financial education in South Africa, we would welcome your input. You can share your thoughts in the comments, connect with me on LinkedIn, or continue the conversationon the original thread.
About the Author
Marc Ashton is an award-winning financial journalist. He has worked for Fin24, served as editor of Finweek, and led JSE-listed media group Moneyweb for three years prior to its delisting. He is currently the CEO of advisory firm Decusatio.