Prioritise smart budgeting and secure generational wealth: Experts warn South Africans not to leave their financial future to chance.
A new study by Experian and Vault22 has revealed that gambling is taking a heavy toll on the financial well-being of South Africans – draining disposable income, fuelling debt, and standing directly in the way of long-term wealth creation.
According to the research:
- South Africans spent R1.5 trillion on gambling last year — roughly 65% of total outstanding consumer debt.
- Gamblers are defaulting sooner and more frequently on their financial obligations than non-gamblers.
- Younger and mid-affluent consumers – especially those in aspirational and youth segments are the most financially exposed.
What may start as entertainment is rapidly becoming a silent wealth-destroyer. Instead of funding education, property, savings or investments, billions are being channelled into a cycle that delivers little return and, for many, long-term financial regret.
When the economy is this tight, gambling is the riskiest bet you can make
Tando Ngibe, Senior Manager at Budget Insurance, says that in a constrained economy, South Africans can’t afford to gamble with what they already have.
“When money is tight, your best defence is protecting what you’ve already worked for – not putting it at risk. Gambling drains the very funds that could secure your family’s assets, insure your home or car, or cushion you in a financial emergency. The smartest move in a tough economy is to put your money where the outcome is promised – like comprehensive insurance or savings – rather than where it’s left to chance.”
Ngibe adds that gambling not only weakens monthly budgets but can also threaten existing assets when people start dipping into savings, skipping insurance premiums, or cashing out policies to cover losses.
“Once you start compromising your safety nets, you’re eroding the financial stability that keeps families afloat. Budgeting and protection must come before play.”
You can’t build generational wealth on luck
Hayley Parry, Money Coach and Facilitator at 1Life’s Truth About Money, stresses that true financial progress is built, not won.
“Generational wealth is not about luck – it’s about making consistent, smart choices. Every rand you gamble is one less rand growing your future. Instead of betting on uncertain outcomes, invest in goals that give you control – savings, insurance, education, and paying down debt. That’s how you create wealth that lasts.”
Parry adds:
“Leaving your financial future to chance is the opposite of generational planning. Real prosperity comes from small, steady, intentional steps – not jackpots.”
The bigger picture: risk, reward, and responsibility
In an economy under strain – where consumers face rising prices, shrinking disposable income, and escalating debt – gambling poses a double threat:
- It depletes immediate cash flow and delays debt repayment.
- It endangers existing assets and insurance cover by diverting funds away from protection.
Financial experts agree: the surest way to preserve and grow wealth is through consistent saving, sound budgeting, and protecting assets through insurance.
South Africans are urged to:
- Review their budgets and track all spending – including gambling.
- Prioritise asset protection and insurance cover before discretionary spending.
- Save and invest first; gamble only with surplus income, if at all.
- Seek financial advice or coaching if gambling begins to impact essential financial responsibilities.
Gambling might feel like a shortcut to success – but for many South Africans, it’s becoming a detour to debt. In an economy already under pressure, the real winning move is to protect your income, assets, and future.
As Tando Ngibe puts it, “Don’t gamble with what you can insure.”
And as Hayley Parry reminds us, “You don’t leave your legacy to luck – you build it.”
SUPPLIED.
