The Minister of the Department of Higher Education, Nobuhle Nkabane, announced that the National Student Financial Aid Scheme (NSFAS) will be increasing NSFAS allowance payments for the 2025 academic year. NSFAS allowances are very important for student livelihoods.
Minister Nkabane announced:
We have considered the cost of living which is very high as well as some of the socio-economic challenges that our people are facing every day so we have decided, working closely with USAf and NSFAS as well as student formations to adjust student allowances for this financial year to 4%.
She also announced that TVET College students will receive an increase in NSFAS allowances from R10 000 per annum to R14 600 per annum, which represents a 46% increase.
"We are responding and we are deliberating our approach to respond to their needs," the Minister explained.
Which Allowances Students Will Get In 2025
Accommodation Allowance
Students who don't live at home during their studies receive an accommodation allowance. The allowance is capped for university and TVET students, with different limits for metro and non-metro areas.
Living Allowance
NSFAS-funded university students who do not live in catered residences receive a living allowance for food and other essentials. This does not apply to distance students with fewer than 60 credits.
Accommodation and Travel Allowances
Students qualify for either a travel or accommodation allowance, not both. Institution-owned, leased, and private accommodation allowances are capped in metro and non-metro areas.
Students living with immediate family or relatives receive a transport allowance instead of an accommodation allowance. Those in institution-owned or leased accommodation receive a capped annual accommodation allowance, as do students in accredited private accommodation.
Students in institution-catered accommodation receive capped allowances covering accommodation, living expenses, and personal care. Each student is entitled to only one type of accommodation allowance per term.
Health sciences students have their accommodation covered for 12 months.
Learning Materials Allowance
All university students receive a learning materials allowance per academic year. This allowance must be used for academic books, materials, and/or a learning device. The amount is based on the actual cost of prescribed learning materials.
NSFAS Administrator, Freeman Nomvalo, has said that this announcement creates certainty as "it allows institutions now to be able to load the registration data that enrolled a lot of students, we need to get the registration data so that we can finalize our funding decisions".
NSFAS has so far provisionally funded around 800 000 students for the 2025 financial year. Once their registration data has been confirmed by NSFAS, their funding will then be finalised and payment processes will begin.
For 2025, TVET College students will be have their NSFAS allowances paid directly to their bank accounts and University students will have their allowances paid directly through their University.
