Net Monthly Salary Estimate
- Gross annual salary: R 3.2 million (≈ R 266,700/month).
- For 2024/25, SARS tax on income over R 1,817,000 is R 644,489 45% on the excess.
- Total annual tax ≈ R 1.266 million, leading to a net income of about R 1.934 million (≈ R 161,200/month).
Bond Repayment Scenarios
Assuming:
- Property value: R 28.9 million
- Loan amount: R 28.9 million
- Interest rate: 10.75% p.a.
- Loan terms: 20 years (≈ R 280,000/month) or 30 years (≈ R 248,000/month).
Summary
- Estimated monthly take-home pay: R 161,200.
Monthly bond repayments range from R 248,000 to R 280,000, significantly exceeding his take-home pay (150–175%)
No bank will approve the loan based on the government salary, so there has to be another income from elsewhere