Official Interest Rate Change for Employer Loans - November 2025

The South African Reserve Bank announced a 25 basis point reduction in the repurchase (repo) rate. This means the repo rate decreased from 7% to 6.75% on 21 November 2025.

As the official interest rate is set at 1% above the repo rate, it will decrease from 8% to 7.75% on 1 December 2025. This adjustment affects the fringe benefits calculated on any Employer Loan item on SimplePay that is linked to the official interest rate.

Rest assured, SimplePay has already made the necessary updates to reflect this change. As part of our commitment to keeping your payroll simple and compliant, all relevant Employer Loan items on payslips from 1 December 2025 will automatically apply the new interest rate. Payslips issued before this date will not be affected.

If you have any questions or need assistance with your SimplePay account, please contact us at support@simplepay.cloud.

If you aren’t a SimplePay member yet, but want to experience compliant and simple payroll, take advantage of our free, 30-day trial by signing up here.

Take care,

Team SimplePay