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SASSA Is Under Fire For R4 Billion Relief Grant Underspend

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SASSA Is Under Fire For R4 Billion Relief Grant Underspend

SASSA Is Under Fire For R4 Billion Relief Grant Underspend. The South African Social Security Agency (SASSA) has come under intense scrutiny for underspending a massive R4 billion, which was allocated for the Social Relief of Distress (SRD) grants in the 2022/23 financial year. This revelation was brought to light during a meeting in Parliament, where the Auditor-General presented their findings to the portfolio committee on Social Development.

Audit Reveals Underspending and Systemic Issues

On Wednesday, Puleng Molapo, the Auditor-General’s senior audit manager, explained that the main reason for this significant underspend was the low uptake of the SRD grant, also known as the “R350 grant.” This decrease in the number of beneficiaries was largely caused by a new means test implemented by SASSA. The new criteria required a lower income threshold and bank verification of beneficiaries’ income, which resulted in many no longer qualifying for the grant.

Low Uptake Due to Means Test Changes

The stricter means test led to fewer beneficiaries receiving the SRD grant, contributing to the R4 billion underspend. While this was done in an effort to target the most deserving individuals, the means test inadvertently excluded many. The Auditor-General pointed out that this lower-than-expected uptake was the major cause of the underspending.

Lack of Tracking System for Grant Inquiries

In addition to the underspend, the audit also revealed SASSA’s failure to implement a system for reporting and tracking public inquiries related to grants. This lack of a tracking process means that SASSA cannot accurately report how many grant-related issues have been resolved or remain outstanding, which is a significant operational shortfall.

Historical Irregularities at SASSA

Over the past five years, both SASSA and the Department of Social Development (DSD) have been involved in multiple material irregularities, with five of the six identified issues directly attributed to SASSA. These irregularities are primarily linked to the payment of social grants, underscoring the agency’s ongoing challenges in managing the distribution of funds.

The report detailed that between the 2021/22 and 2022/23 financial years, SASSA faced problems such as SRD grant payments made to ineligible applicants and overpayments to service providers. One of the most notable issues involved R316 million overpaid to Cash Paymaster Services (CPS).

Challenges Faced by Applicants

Advocacy group Black Sash highlighted ongoing challenges with SASSA’s online application system, noting that Child Support Grant (CSG) applicants face difficulties applying online. Many lack access to smartphones or data, or struggle with network challenges, while those who do manage to access the platform often have trouble uploading the required documents.

Audit Findings: Mismanagement of Funds

Further audit findings revealed that in the 2021/22 financial year, over R1 billion was irregularly spent, with R4 million written off, R561 million condoned (approved after being reviewed), and R444 million unresolved. These irregular expenditures continue to raise concerns about SASSA’s ability to effectively manage its finances.

Molapo assured the portfolio committee that a large portion of this irregular expenditure is being addressed through condonations and clearances, in line with the Public Finance Management Act (PFMA) Framework. However, the systemic issues within SASSA remain a cause for concern, particularly with the ongoing mismanagement of funds.

Conclusion

SASSA’s R4 billion underspend in the SRD grant fund highlights significant flaws in the agency’s operations and management systems. With ongoing concerns about irregular expenditures, failure to address grant inquiries, and challenges faced by applicants, SASSA is under growing pressure to rectify these issues. The government and civil society must work together to ensure that social grants reach those in need, while improving the transparency and accountability of the agency’s processes.

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SASSA News

Cancel Your R370 Sassa Grant

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Cancel Your R370 Sassa Grant

Cancel Your R370 Sassa Grant. The Social Relief of Distress (SRD) grant, valued at R370, has been a lifeline for many South Africans during challenging times. However, circumstances can change, and you may no longer need or qualify for this financial aid. Whether you’ve found employment, gained other sources of income, or no longer meet the eligibility criteria, canceling your SRD grant is a straightforward process.

In this article, we’ll guide you through everything you need to know about canceling your R370 SASSA grant application, ensuring you remain compliant and avoid any potential complications.

Why You Might Need to Cancel Your R370 SASSA Grant

The SRD grant is designed to provide temporary financial relief. But life situations are dynamic, and several reasons may prompt you to cancel your grant application:

  1. Employment: You’ve recently secured a job or a stable source of income, making you ineligible for the grant.
  2. Other Financial Support: You may have begun receiving support from other government initiatives such as UIF or NSFAS, disqualifying you from the SRD grant.
  3. Improved Financial Situation: If your bank account balance now exceeds the stipulated threshold of R624, you no longer qualify for the grant.
  4. Change in Personal Circumstances: Other personal or financial changes might make you ineligible for the SRD grant.

Understanding the need to cancel your application promptly ensures that resources are allocated to those who need them the most and helps you avoid any potential penalties or complications in the future.

Canceling Your SRD Grant Application Step-by-Step

Canceling your SRD grant application is a simple process that can be completed online. Follow these steps to ensure a smooth cancellation:

1. Visit the Official SASSA Website

Start by navigating to the official SASSA SRD website. The website is accessible through the following link: SASSA SRD Website.

2. Locate the “Cancel My Application” Section

Once on the website, look for the “Cancel My Application” section. This is typically found under the ‘Application Status’ or ‘Services’ menu. Click on the relevant link to proceed to the cancellation page.

3. Enter Your Details

You will be required to enter specific details to verify your identity:

  • South African ID Number: Enter your 13-digit South African ID number as used in your SRD grant application.
  • Mobile Phone Number: Enter the mobile phone number you used when applying for the grant.

4. Verify Your Identity

After submitting your details, you’ll receive an SMS containing a 6-digit One-Time Pin (OTP). Enter this OTP in the provided field on the website to confirm your identity.

5. Confirm Cancellation

Follow the on-screen prompts to complete the cancellation process. Once confirmed, your SRD grant application will be successfully canceled, and you will no longer receive the monthly payments.

What to Do If You Can’t Cancel Online

If you encounter any issues while trying to cancel your SRD grant online, there are alternative ways to get assistance:

  1. Contact SASSA Customer Care: Call the SASSA toll-free helpline at 0800 60 10 11. A representative will guide you through the process.
  2. Visit a SASSA Office: If possible, visit your nearest SASSA office for in-person assistance. Ensure you carry your ID and any other relevant documents.
  3. Email Support: You can also email your cancellation request to [email protected]. Be sure to include your ID number and contact details in the email.

Eligibility Criteria for the R370 SRD Grant

To avoid applying unnecessarily or facing issues when canceling, it’s important to understand the eligibility requirements for the SRD grant:

  1. South African Citizenship: You must be a South African citizen, permanent resident, or a holder of a special permit.
  2. No Other Government Support: You should not be receiving other government financial assistance like the Unemployment Insurance Fund (UIF) or NSFAS support.
  3. Bank Account Balance: Your bank account balance should be below R624 at the time of applying. This threshold ensures that the SRD grant supports those who are in urgent financial need.

If you find that you no longer meet these requirements, it is crucial to cancel your SRD grant to prevent any potential issues with overpayments or penalties.

Potential Consequences of Not Canceling Your SRD Grant

Failing to cancel your SRD grant when you no longer qualify can lead to several consequences, including:

  1. Overpayment Penalties: If SASSA discovers that you received payments while not qualifying, you may be required to repay the funds.
  2. Legal Action: In severe cases, continued receipt of the grant without eligibility could result in legal action.
  3. Difficulty in Future Applications: If you need to apply for other grants or benefits in the future, past discrepancies can complicate your eligibility or application process.

Tips for Managing Your SASSA Benefits

  • Keep Your Information Updated: Always ensure that your contact details, bank account information, and employment status are up-to-date with SASSA.
  • Check Eligibility Regularly: Regularly review your eligibility for the SRD grant or any other benefits you may be receiving.
  • Report Changes Promptly: If you experience any change in circumstances that affects your eligibility, report it to SASSA immediately.

Conclusion

Canceling your R370 SASSA SRD grant is a straightforward process that ensures you stay compliant with the regulations and avoid any potential issues. Whether due to a new job, improved financial situation, or other changes, it’s important to act promptly. By following the steps outlined in this guide, you can easily manage your grant status and ensure that support is directed to those who need it most.

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