How Does NSFAS Check Household Income? In South Africa, where financial limitations frequently prevent students from pursuing higher education and training The National Student Financial Aid Scheme (NSFAS) was established as a key response to eliminating the barriers of poverty by providing access in the form of financial aid support to the poor and working-class families. NSFAS started with just over 1200 beneficiaries in 1996. The entity has seen a significant growth in the number of beneficiaries who grew to 691, 432 for the 2022 academic year
(NSFAS Annual Report, 2022/23). This demonstrates the NSFAS’s wide reach and impact in removing financial barriers that prevent many South African students from pursuing higher education.
How Does NSFAS Check Household Income?
Let’s look at how NSFAS checks household income. Firstly, it’s very important to understand that NSFAS uses gross household income. This amount must not exceed R350,000, or R600,000 if you are a person with disabilities. Also, if you are already the recipient of a SASSA grant (other than the R350 grant), you will automatically be financially eligible, as they are already tracking your household income.
The NSFAS household income check starts with the application form you’ve filled in. Here you provided information about your household income, assets, and other relevant financial details, which they will use to screen if you meet the eligibility criteria. Additionally, you are required to submit supporting documentation to prove the amounts you have listed, such as salary slips, bank statements, and possibly tax returns. They will scrutinize these to check for fraud.
Next, NSFAS will conduct a means test to assess the financial need of applicants. This test considers factors including overall household income, the number of dependents in the household, and your financial obligations. In other words, to test how well existing household income serves the needs of family members and how far it ‘stretches’. The means test will be used to determine the level of financial assistance a student is eligible for.
Lastly, NSFAS will cross-reference the information provided with other government databases and sources to verify the accuracy of your reported household income and make their final decision. This involves checking with government agencies like SASSA and the Department of Home Affairs, employers of working individuals in the home, banks, and other relevant institutions to ensure the information they hold aligns with your reported financial situation.
Alternate proof of income documents that could be provided:
- Certified or official copy of recent payslip, letter of employment, not older than three months, for each parent, or the person who supports you, or your guardian or yourself if you are employed.
- This is for all types of employment or all forms of income for all members of the household. This includes any income received from SASSA grants, Unemployment Insurance Fund (UIF), or any retirement, life, disability, or other benefits paid as a lump sum or in monthly payments.
- If your parents or the person who supports you or your legal guardian are retired, you have to provide a copy of an official pension slip or bank statement showing pension payment.
- If your parents or the person who supports you or your legal guardian works as an informal trader, you have to provide an affidavit signed by them to confirm this employment.
- If either of your parents is deceased, you have to provide a certified copy of the death certificate.
- If your parents are divorced, you have to provide a certified copy of the divorce decree.
- If either of your parents does not live at home, you have to provide an affidavit explaining the reasons.
- Certified copy of a SASSA letter if any of your family members are receiving a social grant and are also contributing to your household income. This also applies to your legal guardian.
- If you have indicated that a dependent in your household is a student, you have to provide proof of registration or acceptance at the TVET college or university for each dependent.
