Financial hardship
[A shortage of money has] impacted me so much. I’m in debt everywhere and trying to keep up, get it all paid and get on a better track. Having to use things like payday loans and Afterpay to get food gift cards to get by. [I’m] loaning money off family and friends because I’m struggling.
Home | Financial hardship
What we found
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The majority of respondents were experiencing deep financial hardship. Most were living well below the poverty line, with little to no capacity to manage unexpected costs or plan beyond day-to-day survival.
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To manage financially, borrowing or liquidating assets was frequently reported, with respondents taking out loans, borrowing from friends, family or lenders, using buy-now-pay-later services or selling and pawning personal possessions to generate quick cash and cover urgent expenses. The constant stress and anxiety experienced by community members was overwhelming.
Making ends meet
- 90% had experienced financial stress in the past 12 months – nine times higher than Australia’s national average [1]
- 83% were living below the poverty line [2]
- 78% said they were living week-to-week, just covering their basic expenses with little left over
- Respondents were left with $6 per week — less than $1 per day — to save or spend after paying for both housing and household essentials, such as food and bills
- 69% reported often losing sleep over their financial situation
- 68% could not afford to save or put money away for emergencies
- 64% said their financial situation had worsened compared to a year ago
- 52% pawned something because of a shortage of money
- 22% resorted to payday loans or used high-interest credit cards
How the Salvos help
In 2024, the Salvos’ Doorways emergency relief and Community Services:
- Provided more the 357,000 assistances of food, financial support and material aid
- Distributed more than $18.1 million in financial assistance to people in need, including gift cards, vouchers, food parcels and assistance with household bills
- Assisted more than 100,000 people experiencing financial issues such as difficulties meeting unexpected expenses and the increase in basic living costs
Watch: learn more about the Salvos Glenorchy Salvation Army in Hobart, Tasmania
Read more about the Salvos Port Macquarie Doorways emergency relief service
Wilkins, R., Vera-Toscano, E., & Botha, F. (2024) The Household, Income and Labour Dynamics in Australia Survey: Selected Findings from Waves 1 to 21. Melbourne Institute: Applied Economic & Social Research, the University of Melbourne. ↩︎
Wilkins, R., Vera-Toscano, E., Botha, F., Wooden, M., & Trinh, T. A. (2022). The Household, Income and Labour Dynamics in Australia Survey: Selected Findings from Waves 1 to 20. Melbourne Institute: Applied Economic & Social Research, University of Melbourne. ↩︎