Skip to main content
    Minimum wage

    National Minimum Wage in South Africa — current rates

    The National Minimum Wage (NMW) Act sets a legally enforceable floor on pay in South Africa. It is expressed per ordinary hour worked, is reviewed by the National Minimum Wage Commission each year and takes effect on 1 March. Sectoral rates apply to EPWP participants and learners; domestic and farm workers are now on the general rate.

    SARS-aligned 2026/27 No credit card Free migration

    Payroll Africa Editorial · SARS Payroll Compliance Team

    The Payroll Africa editorial team is composed of registered tax practitioners, payroll administrators and BCEA specialists who maintain the SARS PAYE, UIF, SDL and ETI engines that power the platform. Every article is reviewed against the current SARS BRS and Basic Conditions of Employment Act before publication.

    • SARS registered tax practitioners
    • SAPA-affiliated payroll administrators
    • BCEA and LRA compliance reviewers

    Last updated 30 Sept 2026

    Current NMW rates

    All figures are per ordinary hour actually worked, not per hour on duty. The rate is gazetted annually and increases on 1 March — always check the latest Government Gazette before running February payroll.

    • General national minimum wage — applies to almost all employees
    • Farm workers — aligned with the general rate since 2022
    • Domestic workers — aligned with the general rate since 2022
    • EPWP (Expanded Public Works Programme) — a lower gazetted rate
    • Learners on a registered learnership — the allowance schedule per NQF level, not the NMW

    How to convert the hourly minimum wage to a monthly salary

    The NMW is an hourly floor, so a monthly salary only complies if it divides back to at least the hourly rate over the hours actually worked. The BCEA formula multiplies the weekly hours by 4.333 to get average monthly hours.

    For a 45-hour week that is roughly 195 ordinary hours a month; for a 40-hour week it is about 173.33 hours. Multiply those hours by the current hourly NMW to get the minimum monthly salary for that schedule.

    • Monthly hours = weekly ordinary hours x 4.333
    • Minimum monthly salary = monthly hours x hourly NMW
    • Short months do not reduce the salary of a monthly-paid employee
    • Overtime is paid at 1.5x the employee's actual rate, not 1.5x the NMW

    What counts towards the minimum wage

    The NMW must be paid in money for ordinary hours worked. Allowances that reimburse a cost, payments in kind and statutory deductions cannot be used to bring pay up to the minimum.

    • Excluded: transport, tool, equipment and food allowances
    • Excluded: accommodation or board provided by the employer
    • Excluded: tips, bonuses, gifts and profit share
    • Excluded: any deduction, including UIF and PAYE — the NMW is measured before deductions

    Exemptions and exclusions

    An employer who genuinely cannot afford the NMW may apply for an exemption on the National Minimum Wage Exemption System. Exemptions run for a maximum of 12 months and may not reduce pay below 90% of the NMW.

    • Members of the SANDF, the State Security Agency and the Secret Service are excluded
    • Volunteers who work without remuneration are excluded
    • Learners under the Skills Development Act follow their learnership schedule

    Enforcement and penalties

    Compliance is enforced by Department of Employment and Labour inspectors, who may issue a compliance order enforceable in the Labour Court. Fines are the greater of twice the underpayment or twice the employee's monthly wage for a first offence, and twice that again for a repeat offence.

    Payroll Africa flags any employee whose effective hourly rate falls below the gazetted minimum before you finalise a pay run, so underpayments are caught before payment leaves your bank account.

    Frequently asked questions

    Stop looking this up. Let payroll do it.

    Payroll Africa applies Minimum wage rules automatically every month — SARS PAYE, UIF and SDL, payslips, EMP201 and IRP5. From R90/month.

    • No card required
    • 30-day free trial
    • Free migration from Sage, SimplePay, PaySpace or Excel
    • Cancel anytime

    Run Payroll Africa alongside your current system until you're happy to switch.