Frequently asked questions

Q: Who qualifies for a service bonus?

A: All permanent employees in salary levels 1 to 10 who completed 12 months of service qualify to receive a Service Bonus. Employees appointed on a fixed-term contract of six months and more have a choice between receiving a service bonus, a housing allowance, medical subsidy and pension or opting to have all those benefits paid in cash.

Employees who structure their salaries i.e. SL 11 and above can structure to receive their service bonus or opt not to but rather have a higher take-home salary.

Q: Is the Service Bonus taxable?

A: Yes, the service bonus is taxable. Please refer to SARS tables

Department of Public Service and Administration