UIF South Africa Chapter 3 Claiming benefits: Part A: Right to Benefits
13. Calculation of benefits
(1) Subject to subsection (2), for purposes of calculating the benefits payable to a contributor, the daily rate of remuneration of a contributor, subject to the prescribed maximum, must be determined—
(a) if paid monthly, by multiplying the monthly remuneration by 12 and dividing it by 365;
(b) if paid weekly, by multiplying the weekly remuneration by 52 and dividing it by 365.
(2) If the contributor’s remuneration fluctuates significantly from period to period, the calculation must be based on the average remuneration of that contributor over the previous six months.
(3) Subject to subsection (5), a contributor’s entitlement to benefits in terms of this Chapter accrues at a rate of one day’s benefit for every completed six days of employment as a contributor subject to a maximum accrual of 238 days benefit in the four year period immediately preceding the date of application for benefits in terms of this Chapter, less any days of benefit received by the contributor during this period.
(4) For purposes of determining completed days of employment as contemplated in subsection (3), the period includes—
(a) the day that a contributor commenced employment and runs up to and including the day on which employment was terminated; and
(b) any period in respect of which—
(i) an employee was paid remuneration in lieu of notice;
(ii) a merchant seaman received remuneration in terms of section 140 of the Merchant Shipping Act, 1951 (Act No. 57 of 1951).
(5) The days of benefits that a contributor is entitled to in terms of subsection (3) may not be reduced by the payment of maternity benefits in terms of Part D of this Chapter. Method of calculating days of benefits that a contributor is entitled to:
Step 1 – Determine total number of days that an employee was employed as a contributor in the four-year period immediately preceding the date of application for benefits in terms of this Chapter.
Step 2 – Divide total number of days by 52 multiplied by seven and disregard any fraction of the resultant figure.
Step 3 – Subtract from this amount any days benefits (excluding maternity benefits) received in the four-year period immediately preceding the date of application for benefits in terms of this Chapter.
Step 4 – The resultant figure determines the days of benefits that a contributor is entitled to.
(6) For the purposes of calculating the benefits of a contributor contemplated in section 12(1A), the total income derived from continued employment plus the amount of benefits calculated may not exceed the benefits that would have been paid if the contributor had become wholly unemployed.