SETA funding comes from the skills development levy, which employers pay to SARS. SETAs pay it back as a mandatory grant (20% of the levies the employer paid) and as sectoral, or discretionary, grants for which each SETA publishes its own windows and criteria. See the SARS skills development levy page.
Which route applies depends on whether you are an employer, a learner or a training provider.
Eligibility Requirements at a Glance
- Employers with total remuneration above R500 000 over the next 12 months must register for and pay the levy
- Employers claim the mandatory grant by submitting a Workplace Skills Plan and Annual Training Report (WSP-ATR) by 30 April, under the 2022 SETA Grant Regulations
- Only registered Skills Development Facilitators (SDFs) represent levy-paying companies and submit WSPs and ATRs
- Sectoral grants follow each SETA’s own published windows and criteria
These figures come from the SETA Grant Regulations 2022 summary. A SETA can change the submission date by notice, so confirm it with yours.
Income and Affordability Requirements
The levy is 1% of total salaries. Employers whose payroll will not exceed R500 000 are exempt from paying it. Of the levy collected, 80% goes to the SETAs and 20% to the National Skills Fund.
The mandatory grant is 20% of the levies the employer paid. The Workplace Based Learning Grant is capped at 15% of the total levies the employer paid, and applies to unemployed learners only, with an approved workplace.
What is a mandatory grant?
The part of the levy (20%) that a levy-paying employer recovers by submitting its WSP-ATR on time through a registered SDF.
Credit and Financial Requirements
Employers pay SDL monthly through the EMP201, within seven days after month end. Register through SARS; see the SDL page for how.
SETAs set their own criteria for sectoral grants. Read the criteria for the specific window before you apply, and ask the SETA what it requires on tax compliance and other financial checks.
Documents and Verification Required
- Employers: SARS SDL registration details and proof of EMP201 payments
- Employers: a WSP and an ATR submitted by a registered SDF
- Employers: a letter on company letterhead authorising the SDF to represent you (MICT SETA asks for this)
- Any documents the SETA lists for a specific funding window
MICT SETA explains its SDF process on its SDF information page. Other SETAs set their own lists, so check the window notice.
How to Apply and Improve Approval Readiness
Funding applications go to the specific SETA, during the funding windows it publishes, usually online. Windows can be withdrawn. For example, Services SETA withdrew its 2026/27 discretionary grant windows on 21 September 2026 and said applicants must submit new applications when future opportunities are announced; see its withdrawal notice.
Some SETAs also run bursary or funding windows for students. Examples are the BANKSETA higher education funding window guidelines for 2026 and the ETDP SETA bursary notice for unemployed students. Read each SETA’s own guidelines for who qualifies and when to apply. Apply only through the SETA’s official channels, and do not pay anyone for a place or a grant.
- Identify the SETA for your sector
- Register for SDL and appoint an SDF
- Submit the WSP-ATR by 30 April, or the date your SETA sets
- Watch your SETA’s website for funding windows
- Read the window’s criteria and documents list before applying
Frequently Asked Questions
What are SETA funding requirements for employers?
Register for SDL with SARS once payroll is expected to exceed R500 000 over 12 months, pay 1% monthly, and submit the WSP-ATR through a registered SDF by 30 April to claim the 20% mandatory grant.
How does SETA funding work?
SARS collects the skills development levy. It is distributed through the SETAs as mandatory grants and as discretionary (sectoral) grants.
How do I apply for SETA funding?
Apply to the specific SETA during its published funding window. Check that the window is still open, because windows can be withdrawn.
Is there a SETA funding window open now?
Check your SETA’s website. Services SETA, for instance, withdrew its 2026/27 discretionary grant windows on 21 September 2026.
Who can represent my company to the SETA?
A registered Skills Development Facilitator.
Confirm dates and criteria with the relevant SETA and SARS. See finance and funding requirements and browse loan requirements.