Lost your council seat? You'll get up to 3 months' pay. Who qualifies
Ward and PR councillors who lost their seats in the 2026 local elections get a once-off gratuity of up to three months' basic salary if they served at least two years. R300 million has been set aside.
Ward and proportional representation (PR) councillors who did not make it back after the 2026 local government elections will get a once-off payment from government, worth up to three months of their basic salary. EWN reported on 9 November that the gratuity is run by the Department of Cooperative Governance, now that councils have been dissolved after the results were declared.
New councils must sit within 14 days, so thousands of outgoing councillors are about to find out whether they qualify.
Who qualifies for the gratuity?
Only non-returning councillors: those who lost their seat or did not stand again. You must have served at least 24 months (two years) in the 2021 to 2026 term, according to EWN. IOL reported earlier this year that the rule is 24 continuous months or more.
Councillors who return to a council do not get it.
How much will they get?
The payout is based on three months of the councillor's last basic salary, cut on a sliding scale by time in office.
| Time served in the 2021 to 2026 term | Share of three months' basic salary |
|---|---|
| Five years (60 months) or more | 100% |
| Four years to 59 months | 80% |
| Two years to 47 months | 40% to 60% |
| Less than two years | Nothing |
After the 2021 elections, the department said the "last basic salary" excluded travel and housing allowances, pension fund contributions and medical aid, according to CoGTA. It has not said whether that definition changes this time.
How much has been set aside?
R300 million. IOL reported in April that National Treasury was moving the money from the municipal infrastructure grant to the department's budget to pay it.
That is less than last time. Government set aside R350 million after the 2021 elections, and about R339 million had been paid roughly a year later, IOL said. This is the fourth local election where non-returning councillors are paid a gratuity; it was first paid in 2011.
Why does government pay it?
The payment follows a recommendation by the Independent Commission for the Remuneration of Public Office Bearers that non-returning councillors get a once-off gratuity, according to SAnews. EWN said the money is meant to help them with financial commitments as they adjust to life outside public office.
When will it be paid?
No 2026 payment date has been announced. Last time, payments only started after municipalities sent in verified paperwork and the department got tax directives from SARS for each councillor. By 16 January 2022, 1,630 councillors had been paid, and the department aimed to finish by 28 February 2022, ahead of a 31 March 2022 deadline it had set, according to CoGTA.
If the same process is followed, outgoing councillors should not expect the money before the new councils are in place and their municipality has submitted their details. The gratuity is taxed, which is why a SARS tax directive is needed.
Outgoing councillors with questions about their own claim should speak to their municipality's corporate services or HR office, which handles the submission to the department.
FAQ
Do councillors who lost their seats in 2026 get paid out?
Yes. Non-returning ward and PR councillors who served at least 24 months in the 2021 to 2026 term qualify for a once-off gratuity from the Department of Cooperative Governance.
How much is the councillor gratuity?
Up to three months of the councillor's last basic salary. Those with five years or more get 100%, four years to 59 months get 80%, and two years to 47 months get 40% to 60%.
How much has government budgeted for the 2026 gratuity?
R300 million, moved from the municipal infrastructure grant, according to IOL. After the 2021 elections R350 million was set aside.
When will outgoing councillors be paid?
No date has been announced. After 2021, payments began once municipalities submitted paperwork and SARS issued tax directives, with most paid by early 2022.