The personal impact of Australia’s current economic situation
Results from research carried out by The Salvation Army Australia Southern Territory in 2009 and 2010
The personal impact
For more information about this research contact: Territorial Social Programme Department The Salvation Army Australia Southern Territory 99 Railway Road, Blackburn VIC 3130 © 2010 The Salvation Army Australia Southern Territory The Salvation Army Australia Southern Territory – May 2010 2
Research Summary The Salvation Army (TSA) deals with some of the most marginalised and vulnerable people in the Australian community. The Salvation Army asked some of these people about the personal impact of Australia’s current economic situation on them both in 2009 and again in 2010. In May 2010, 699 people who requested emergency financial & housing assistance from the organisation were asked about the following:
How they felt about their current financial circumstances; How they felt about the future; and
52% of clients felt depressed about their own situation
What they have done differently as a result of their financial circumstances. The 2010 survey results indicate:
55% of people visiting Salvation Army Community Support Services believe they are worse off or a lot worse off because of the financial situation;
52% have cut down on basic necessities; 54% have cut down on luxuries; 34% of clients are ‘pessimistic or very pessimistic’ about the next 12 months; 26% of clients have experienced new conflict in their family because of the worsening conditions;
17% of clients said they have moved to ‘more affordable housing’; 45% of clients felt stressed about the future; and 52% of clients felt depressed about their own situation. Some Conclusions Analysis of the research data indicates that people most disadvantaged in the economy, the people The Salvation Army has regular contact with, are facing the worst of the current economic situation and the negative psychological impact is greater on them. In comparison with members of the public, Salvation Army client respondents feel ‘less in control’ and more depressed this year than in 2009 about the future, in light of the current economic situation. While members of the general public indicate some improvement from last year those people that The Salvation Army works with continue to experience little improvement. The Salvation Army’s response to these people must include more than just financial assistance. Survey Details The first survey was an anonymous public survey promoted on‐line with access via The Salvation Army Australia Southern Territory (TSAAST) web site ‐ www. Salvationarmy.org.au. There were 375 respondents in 2010 and 181 respondents in 2009. The second survey was conducted by 50 Salvation Army (TSAAST) Community Support Services in 2010. Forty Salvation Army services conducted the survey in 2009. Clients receiving assistance from these services in the survey period were invited to participate in the survey. There were 699 respondents in 2010 and 1,463 respondents in 2009. The 2010 survey was conducted between 19 and 30 April 2010. The 2009 survey was conducted between 27 April and 4 May 2009. The Salvation Army Australia Southern Territory – May 2010 3
SURVEY QUESTION 1 When you compare your current financial circumstances from last year to this year, do you feel you are…?
Are people worse off? 55% of TSA client respondents said they were, compared to 37% of respondents in the public survey; 31% and 42% respectively felt there had been no personal impact on them. In comparison to the 2009 survey, an improvement of circumstances for only 5% of Salvation Army client respondents and 4% for the public survey respondents was recorded. The financial situation for the most disadvantaged in the community has not significantly improved.
52% of Salvation Army client respondents have cut down on basic necessities
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SURVEY QUESTION 2 If you think about your financial situation in the next 12 months do you feel…?
What do people feel about the future? 34% of Salvation Army client respondents felt pessimistic or very pessimistic compared with 18% of public respondents; 24% of Salvation Army clients and 32% of the general public did not feel any change; 37% of Salvation Army clients were optimistic where as 46% of the public survey respondents were optimistic. In comparison to the 2009 survey, Salvation Army client respondents are almost twice as likely to feel pessimistic about the future as respondents from the public survey. Salvation Army clients feel more pessimistic about the future than other members of the community.
26% of clients have experienced new conflict in their family because of the economic conditions The Salvation Army Australia Southern Territory – May 2010 5
SURVEY QUESTION 3 As a result of the current economic conditions have you…?
What have people done in response to worsening economic circumstances? The first thing that most people do is to cut down on luxuries ‐ 55% for Salvation Army clients compared to 50% for the general public. Significantly, half The Salvation Army clients respondents reportedly had cut down on basic necessities (52%) compared with the general public (17%). The Salvation Army client group feel more stressed (45%) compared to the general public (30%) and more depressed (52%) compared to the general public (19%). Looking through the comments made by the two groups of respondents, it is evident that Salvation Army client respondents express greater psychological impact than the general public respondents. This is reflected in comments such as, “It is extremely depressing that I can’t supply or look after myself with food or basics”. Salvation Army client respondents report an increase in the 2010 survey in feeling depressed about their situation where the public respondents level of depression remains constant.
45% of clients felt stressed about the future The Salvation Army Australia Southern Territory – May 2010 6
As a result of the current economic conditions have you…? List Other Actions / Comments: The respondent comments are listed in the Appendix. A word cloud has been generated from these comments. TSA Client Survey
Public Survey
55% of people visiting Salvation Army services believe they are worse off or a lot worse off because of this year’s financial situation
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SURVERY QUESTION 4 Do you have any other comments on the impact of the economic times? The respondent comments are listed in the Appendix. A word cloud has been generated from the comments. TSA Client Survey
Public Survey
Word clouds generated from www.wordle.net
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SURVERY QUESTION 5 (2010 only) How likely is it you will require assistance in the next two years?
Likelihood of Future Assistance 60.0% 50.0% 40.0% 30.0%
TSA Client Survey
20.0%
Public Survey
10.0% 0.0% Highly Likely
Likely
Unlikely
Highly Unlikely
The majority of Salvation Army client respondents (88%) indicated they felt that they would need assistance over the next two years compared with 19% of respondents in the public survey.
SURVEY QUESTION 6 (2010 only) What are the top three things that would assist you the most at this stage? (Select three)
Assistance Needs 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% TSA Client Survey
0.0%
Public Survey
The singular most helpful change for Salvation Army client respondents was assistance with utilities and expenses (54%). This was followed closely by affordable rent (48%) as a priority. Full‐time employment (33%) was the third singular change that respondents identified as significant in changing their situation.
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Survey Respondents Details Respondent Gender TSA Clients Survey 2009 v 2010 Respondant Gender 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0%
Public Survey 2009 v 2010 Respondant Gender 60.0% 50.0% 40.0%
TSA Clients 2009 TSA Clients 2010
30.0%
Public 2009
20.0%
Public 2010
10.0% 0.0% Female Male
Respondent State of Residence TSA Clients Survey 2009 v 2010 Respondent State of Residence TSA Clients 2009 80.0% 60.0% 40.0%
TSA Clients 2010
Public Survey 2009 v 2010 Respondent State of Residence Public 2009
Public 2010
80.0% 60.0% 40.0%
20.0%
20.0%
0.0%
0.0%
The Salvation Army Australia Southern Territory – May 2010 10
Respondent Income Source
TSA Clients Survey 2009 v 2010 Income Source of Respondant 100% 80% 60%
TSA Clients 2009
40%
TSA Clients 2010
20% 0% Non‐Govt Income
Govt Income
Unknown
Public Survey 2009 v 2010 Income Source of Respondant 100% 80% 60% Public 2009
40%
Public 2010
20% 0% Non‐Govt Income
Govt Income
Unknown
Conclusion Despite improvements in the economy in the last few financial quarters an analysis of the research data indicates that people most disadvantaged in the economy, the people The Salvation Army has regular contact with, are disproportionally impacted by the current economic environment with a corresponding detrimental effect on their psychosocial wellbeing. Comparisons with members of the general public indicated that those accessing Salvation Army services feel ‘less in control’ and ‘more depressed’ this year than in 2009, given the current economic situation. The Salvation Army’s response to the needs of people accessing its services remains one that encompasses the needs of the whole person not just financial assistance.
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Appendix – Comments (in full) Responses to Survey Question 3 ...any other Actions? TSA Client Survey Responses ACCESSED FINANCIAL COUNSELLING FOR INFORMATION AND ADVICE All good Arranged payments for bills fortnightly to help manage Because of family breakdown needing to prioritise things that are needed Boyfriend also helps with expenses Can’t afford luxuries Can't afford to buy children's clothing, shoes, school stuff Can't hold down a job for longer than 6 months, average 6 weeks. Got new legal issues can't afford representation. Concerned about financial situation Conflict with friend as friend needed money Consumption of alcohol has increased ‐ badly effecting health, both physical & mental. CUT DOWN ON DRINKING ALCOHOL Cut down on driving car and eating less CUT DOWN ON DRUGS AND ALCOHOL Deaths in the family also impact on finance in regard to travel expenses Do not do any activities outside the home due to travel expenses Eldest daughter has turned 18 no longer receive payments for her. Feel optimistic about the future while there are services such as the Salvos available to help Feeling of no direction Finding it hard because I'm trying to help myself get of the drugs\alcohol Finding it hard to plan ahead although optimistic that life is o/k. Gained employment as outcome of literacy improvement. Has a much greater income/cash flow Gained full time work, increasing income dramatically Go to the Salvation Army more often Going out for entertainment, hobbies and recreation. Got closer to family, helped out together by being in touch Got into debt due to having son & his friends
staying which now they have left leaving me with high phone and power bills Hard to make ends meet Hard when paying a mortgage Has had help with the Salvation Army and health village Have been evicted due to landlord moving family in. harassment Have been to the doctor & have had counselling Have decreased meals per day and stopped leaving the house due to no petrol or bus money Have had to suspend internet and landline and Foxtel even though I will be penalised for breaking 24mth contract HAVING TO CUT BACK Helping daughter with her financial/medical situation If unexpected expenses arise we find ourselves in an impossible situation Increase in Centrelink payments Looking to move into Private rental because Housing SA is too expensive. LOST HIS HOUSE THIS YEAR MAKE MEALS OUT OF NOTHING, TREAT DAY TO ONCE A FORTNIGHT Mental health issues More aware of power usage and buying more cheaper options for household More places to assist MORE PRO ACTIVE WITH MY BILLS EG, CENTREPAY HER RENT, POWER, GAS, PHONE. Moved into Crisis Care ‐ Child and Youth. Large debt, legal issues, can't read too well but went to TAFE and can read bit better Moved to Alice Springs as a means of gaining employment Moved to more expensive housing My daughter’s health and dietary issues cannot be addressed properly My nutritional content is down by having to eat noodles regularly No car, little public transport No Change
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NOT ABLE TO PAY BILLS Now homeless Put all my energies into business plan RELEASED FROM CUSTODY (NOT ON PAROLE) WITHOUT ANY SUPERVISION OR HELP FROM THE COMMUNITY. SALVOS ONLY ONE THAT HAVE HELPED Rent way too high‐ several circumstances ‐ Home Invasion (convicted) ‐ sorting housing Reverted to drug problem when financial situation became more difficult SPOKEN WITH CENTRELINK STILL HOMELESS Starving myself to feed my kids The only reason I am better off is because I am
getting the disability pension DSP now and not Newstart. Trying to get into public housing the waiting list is long and can't get help until my landlord will give me a letter or dates when our house will be bulldozed We don't go out as a family. Running a car is also unaffordable. Whilst affecting me financially, it was threatened violence that created the change of address and placed a little more pressure on funds. Pension does not seem to have kept pace with increases in basic necessities.
Wonder if it’s all worth it
Had to cancel our retirement plans Had to look for studies so I can afford to live. Hard to find help Have maintained, but not increased, charity donations I have had to keep working way past retirement age (68) to try and make up my superannuation a bit lost during the crash I have paid closer attention to where my money is going and become more frugal Increased investments Increased weekend work More concerned (cynical) about our society None apart from donating to a wider section of worth charities than I used to, as I feel many people need help from persons such as me who are better off than they. Not done anything much ‐ has not hit me yet Planned more tightly with clearer priorities Postponed holiday Remained working well past normal retirement age Retired Saved by graces of charity Spent more carefully on non essentials Started a small business Taken a job in an area I didn't want to work in, but was desperate, and could only get a casual position anyway. Tried to move into more affordable housing Watch how much is spent on food and other groceries
Public Survey Responses Avoided spending on non essentials. because I have had physical health problems and had to leave the state for treatment and went through 4 hospitals to have life saving surgery I now am suffering from depression etc and Tasmanian medical still will not acknowledge that I had a medical condition I could not get an advocate or any help from state health even though the health minister gave me some travel time now the north west travel is giving me a hard time and so is Centrelink. I am still suffering and the departments are sending me bills. Been somewhat more cautious about expenses Been very cautious in order to maintain status quo Bought a rental property for future gain in older age Budget on spreadsheet Changed internet and home phone providers for a cheaper deal. Will have to call butcher to kill cows and sheep earlier than planned Close to Bankruptcy Cut down on giving to charities Cut out birthday and Christmas gift to family except our 4 grand children but we have halved what we spend on them Decided to take earlier retirement to access superannuation Donated more Except for reducing amount of money invested in shares
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WE are aged pensioners and Salvationists We had to regularly manage our business and personal expenses Worked longer hours Worked more hours
Worked part time job for 3 months Worried about children and drugs Would love to move to more affordable housing but no chance now unemployed
Responses to Survey Question 4 – Any other Actions? (unaltered) Q4. Do you have any other comments on the impact of the economic times? TSA Client Survey Responses A time to remember to be grateful for our health and that is better to have than luxuries A victim of the stolen generation. A few deaths within the family, no money to attend the funerals. Accommodation is too expensive here. People pack into a room and fights start ‐ it gets me into trouble so I have to get out. Costs $350 ‐ $600 a room, been on Housing list long time now 1 year+ Accommodation is unaffordable in this area. Houses are $1200 to $2400 per WEEK; a room is $350 ‐ $600 per WEEK PLUS utilities and food. Had to move to Crisis centre Child and Youth ACCOMODATION IS A BIG PROBLEM Agencies need more funding All my current funds do not cover the current debts BASIC NECESSITIES ARE FAR TOO EXPENSIVE Being careful what I spend BOARDING HOUSES TO EXPENSIVE. WAY OVER PRICED B'SHT CAN NO LONGER PAY POWER BILL ON TIME DUE TO RAISE IN PRICES Coming to the salvos for help. Having to buy home brand items. Concerned that she can’t keep up with expenses especially for her pets. Cost of Food not good. Food Security Created circumstances necessitating improving literacy & numeracy skills. Services available were extremely helpful. Don’t Know Drinking more DSP funding barely enough to cover
expenses. DSP is barely enough to live on for a person unable to work. DUE TO FIRE Everything is really expensive. Extremely hard for families with 1 income Family all in eastern states can't afford to call them very often. Feel has security with housing commission Financial situation has caused health problems Food going up money going down ‐ makes things very tough General counselling shouldn't cost ‐ Limited social living due to rental costs ‐ food has increased ridiculously ‐Can't move to more affordable housing ‐Try not to feel depressed Getting harder every day. Government can do better by taking care of the less privileged. Govt. Does not pay enough welfare. Hard getting harder with Govt coming from rich not understanding poverty or poor Hard to get by on DSP Hard to get by week to week or day by day. Everyday items are hard enough to get never mind an extra every now and then. Hard to wait for the next payment just to buy basics... Can’t go out... HARDER TO LIVE ON PENSION Have noticed the private rental housing is more expensive to access. The dynamics of Alice Springs has a large influence. Having to ask help not an easy thing to do. Usually cope o.k. HIGHER COST OF LIVING FOR LOW INCOME WORKERS
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HIGHER RENTS, HIGHER UTILITIES CHARGES & HIGHER PETROL PRICES CREATE A HUGE FINANCIAL STRAIN. Hope to work soon Hopefully it gets better!! HOPING THINGS GET BETTER Housing and rental accommodation is unaffordable in this area ‐ a room costs $350 ‐ $600 per Week! A Caravan site if you own your own caravan costs $350, all plus utility and food. I don't even have a car. So I smoke to stop stressing out. I am broke I JUST THINK YOU HAVE TO MAKE THE BEST OF WHAT YOU HAVE AND PRAY HARD. The LORD ALWAYS COMES THROUGH @PERFECT TIMING. I lost my job because of the economic situation and this has left me in severe hardship. I think everyone is cutting down. Even the people I thought were better off are feeling the pinch. I wish it was easier to live ‐ more affordable. If Australia cut back on immigrants to Australian there would be more for Australians. Increase in pension means increase in all living expenses often leaving me worse off. INCREASED DEPRESSION AND ANXIETY. WORRY ABOUT THE FUTURE. Is for me every day I am going into debt IT HARD TO SURVIVE It has a domino affect It is extremely depressing that I can't supply or look after myself with food and basics. It sucks! It sucks, rich getting richer, poor getting poorer, as usual It's a lot tougher than it used to be. It’s hard for everyone It's the Government’s fault IT’S VERY HARD Kids often want to get or do something but unable because we haven't got a lot to spare. Children have friends with working parents & want to have the same things. Clothing given from sister's children helps KNOW THAT NOT THE ONLY ONE, PLANS ON GETTING BETTER.
Life is really hard LIFE WOULD HAVE BEEN EASIER WITHOUT IT AND I WOULD STILL HAVE A JOB. Made things worse‐ Pay rise = extra rent, power Make fruit and veg and meat at low income prices MAKING IT HARD ON EVRYONE More Affordable Housing More help and support in Counselling and more More information on where to find help before you hit crisis point More needs to be done for the unemployed Much harder food goes up in price Need a job, been unemployed for 12 months Need an increase in Centrelink payments. Need Financial Counselling and more help with school fees? No means to relocate Not being able to provide to my daughters. Not effected as an individual Not enough help with child support On Centrelink benefits you can't afford anything Only that the price of food and fuel etc makes it harder on everyone, especially single mothers Over last 12 months had a lot of rent increases. Gone from $900pm to $1200pm Overloading people with extra cash, obviously wasn't the answer Parents are not happy to support him because they not happy with he has partner. They got out from home town!!! Pension payments do not cover all costs especially where there are children involved Pensions need to be higher Rising electricity costs and petrol and trying to keep young children warm and food costs are making it difficult to cope Salvation Army needs to provide more things, more often Salvation Army should help more than 4 times a year Salvos are always good for helping Salvos are great Shocking Should be more things for children with disabilities to do during school holidays
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Smoking more Started to come to the Salvo's Struggle a little bit harder than before. Struggle week to week Taxes went up years ago, pay rates and job availability didn't. Technology going mad That's what the Salvo's are for The government has got it all wrong. Having to ask for help is difficult. The Government should help. The Pricing of Food in shops. Things just seem so expensive, my grocery bills seems to have doubled Things now are so much worse than ever, I use to have money after pay day now I am poor before I get to the bank on pay day Times are hard being on a pension. No way to get a job. The Government should help us with getting jobs. Times are what they are Uncertain about situation being part of the
down turn. A recent arrival from Africa. Do not currently have either an income or Centrelink benefits. Seeking employment. Unemployed due to spinal injury. Very hard ‐ hope it gets better. Vert HARD ON CURRENT C/LINK payment Very important to have more Financial Counselling for Financial problems Was living with brother, he lost job, his drinking escalated, added pressure on our relationship; I started drinking more/taking drugs. I tried to get him help but realised it just aggravated the situation. I got help, we don't talk anymore We have become closer and more reliant on humour and good character to survive ‐ myself and 2 children Working on a casual basis and still can’t get ahead single with 2 kids and paying 489$ per fortnight. Wouldn't need to be at the Salvo's for food if government was doing its job
Q4. Do you have any other comments on the impact of the economic times? Public Survey Responses Government's failure to increase funding for mental. 2. Government's gross incompetence in spending tax payer funds on projects such as insulation scheme and school’s building projects. A lot of people have to live on a tighter budget I think it would be helpful if someone showed them how to create a working budget. A major concern is how our economy can cope with the excessive spending of our current Federal government ... particularly the effect of the lower socio‐economic group ... perhaps leading to increasing social unrest A return to full employment may take years. In the meantime "the rich will get richer and the poor will get poorer". Additional debt is against adequate assets so is not a long term problem All bear markets come to an end and we have witnessed that since 9th March 2009 to now
Appears that even more people are struggling to make ends meet. These are people who are new to receiving charity Australia has been saved from financial fallout because of USA bailout of AIG which stopped world financial markets from going into free fall. Australia should benefit from manufacturing needs of china and India which should result in improvement in the Australian economy provided we do not suffer too many more govt financial disasters. Australia's recovery, with incessant emphasis on "working families" which means the middle class, is likely to see the needy even more disadvantaged. An increasing proportion of our volunteer workforce is 80 year‐olds; any reversal in this trend is hard to imagine. Cost of living and every basic item is going up faster than the inflation rate. As a retired person still buying a home interest rates are out of control. Banks are greedy
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i.e. in the 1990 recession they never put the rates down by the amount suggested and the same again in the recent one. Also they have given extra increases, and the Reserve bank is supporting them. Costs have gone up but not our income and we are a 1 income family Dualism lives ‐ felt a lot by some and not at all by many others First us oldies were blamed for unemployment and asked to retire early to give young people a go, now we're blamed for being retired too long and not contributing, and asked to keep working until we drop. I'm beginning to feel paranoid about being old, it seems the press and the government just want us to drop dead when we reach retirement age. But not from euthanasia, so what are we supposed to do, jump in front of a bur? Fortunate enough to be untouched Government slow in Paying Bills cost me my Job Governments at both levels offer discounts to older/retired folks with one hand, while tightening the screws on eligibility for pensions, and indexing so called "indexed pensions" with less‐than‐ideal methods. Groceries prices are rising Hate to see so many inadequately housed or stressed with mortgage or rent Have been lucky to escape the worst of it Have to be carefully in the way you spent money ‐ especially with the rising cost of living ‐ this has reduce amount/donation we give to charity organisations Having the security of a steady job makes a difference and I try to manage my finances sensibly. Having to borrow money knowing I won’t pay it back. Would like a job Hope that people will discover the difference between wanting and needing. Take responsibility for them and not blame game. I always try to live within my means, and avoid unnecessary luxury and waste! I am 61 and was thinking about retiring. Since the GFC I don't have that option and will need to work probably until 65 ‐ or until
my investments improve. I am concerned about my children’s' future and their ability to purchase a home I am fortunate to live in Australia I am glad we don't have any debt. I am going out a lot less and eating more foods like cereal, soup and baked beans for dinner instead of meat and vegetables. I am very lucky. I am semi‐retired and have no debts. Although my income is low compared with most others, I have no unsatisfied desires. I am well aware that it hit many people very hard. We have certainly lost as a result of the GFC, but not to the extent that we are suffering. I believe that the effects are worst than visible or shown by the media I believe the Government wants to keep its unemployed population so how can we work with that? How can one get ahead without any suffering? I FEEL SORRY FOR THOSE ADVERSELY EFFECTED BUT I THINK MATTERS ARE IMPROVING I feel that my faith in any form of financial advice has been shaken and yet I don't have the level of financial expertise to manage my own affairs. It's disempowering. I feel trapped I have arranged to go back to part time work. I have seen the impact on younger people particularly those endeavouring to buy their first house. I have to be careful in my spending, pay bills and buy food first. I know personally of many people who have been adversely affected by economic insecurity/uncertainty. It seems to be far worse in many other countries, but it has also hit sections of the Australian community very hard, especially if you have lost your job, taken pay cuts or reduced work hours I live within my budget and adjust it according to what the economic changes bring I love the work that the Salvos perform. These (harder) economic times perhaps
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provide everyone with an opportunity to rethink the things in life that really matter, and adjust accordingly. I plan any new expenses well ahead, like house repairs so I can budget carefully but have been knocked a little sideways by unexpected illness and expenses related. In current economic times there is little leeway if the unexpected occurs. Electricity is a worry in winter, so expensive. I am determined to be self sufficient though, look after myself by budgeting carefully. I rent with my daughter when she gets married I will find it difficult renting on my own this is stressing me out I run a self funded superannuation fund which is considerably improved since this time last year I see/hear anecdotes that tell me that it is being felt by the most vulnerable It seems to me that many people appear to have good jobs and good incomes and a fair percentage of these appear to get indebted beyond their capacity to repay. I don’t think the commercial lenders are acting as responsibly as they could and should be in their credit criteria otherwise we would not read of 'credit stress' as often as we do in these current times. I think it may be getting harder. We didn't need interest rate rises and we need small business finance availability to improve. I think it will only get worse for people who are already disadvantaged. I think too many people are too reliant on spending money to ease "stress" Plus with me working in the retail field I now believe that there are way too many shopping centres and far too many shopping days, people can't live without shopping 24/7 anymore, I had people complaining about Coles being closed on days over Easter “what if we run out of milk some asked" Other people stocked up like it was a siege I usually receive a pay rise around 3‐4% each year: this year it was closest to 1% I was intending to retire this or next year. That is now not possible and provided my employer allows it I will work for at least 5 more years, possibly longer if the economic
environment continues to be poor. I'm probably in a better situation than a number of others, in that I'm very satisfactorily employed, and am working towards retirement later this year. Our Superannuation has not suffered a serious hit, as our funds are well spread. Important decisions to be made about our family’s future (schooling, housing, medical etc need of our autistic child) cannot be made & so impact upon stress, health, & decisions for our son’s future. In my case it's to do with Superannuation. Income and pay rises have been cut back but costs have gone up Inflation goes up, and pay rises are few It has become much harder for middle and lower class, but it seems that the rich are still able to live an obscenely comfortable life and if it is at the expense of everyone else they don't care. It has resulted in a difficult situation at work as a result of budget cuts whilst I was on annual leave that has had an impact on my health It has severely impacted some people, especially those on low income who are renting housing. Rents keep increasing. It's all relative, I rent and my rent is about to go up, and I don’t manage now, however I have a roof over my heard I do nice things occasionally go out to dinner/ film with friends It's the environmental times that stress me more than the economic ones. It's certainly possible that we could see another recession soon due to the problems in the U.S. and E.U. we will also increasingly see evidence of AGW, and its disproportionate impact on the world's poor. Lower interest rates have made my mortgage more affordable than in past years giving me more disposable income. Many people have been and will be affected more than my family. I believe those doing it tough are just surviving up to now but are going to be placed under more stress soon as rents increase due to interest rate rises. The economy should be should be controlled by other than interest rate policy. First
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Personally we have not felt any impact but realise that there are some who have done so. Purchase in Supermarkets with great caution. Buy other goods, like clothes only if the cash is available after other necessities have been covered. Rich get richer, middle class spoiled selfish, to the right of the conservatives Saving have depleted over the past 12 months Some are profiting; mostly the already powerful Superannuation balance was affected but has improved since. The cost of basic food items, energy and petrol has had a significant impact The cost of food has become so high that I rarely eat meat, and live more on fruit and vegetables and eggs. I also haven't been able to pay my utilities on time for more than 6 months, and my rent has gone up by more than $250pcm in the last twelve months, meaning that I can no longer make the payments in one pay, and have to call the agents every month saying that I will pay it over two fortnight's pays. The cost of food is outrageous! We have 2 kids, a dog and a cat and spend at least $150 a week on food. Also in the last two months, our bills have been over $2,000 (not including paying credit card bills). Life's become VERY expensive The fall in superannuation assets was a real shock. Most have however recovered in my case. The future with a labor government looks very perilous The help that I am getting from The Salvation Army and Health Village worker and housing trust is great The higher costs of all utilities and higher costs of rentals/housing make it incredibly difficult for those with high mortgages/child care costs etc. For families or single parents with little income, if any, it must become impossible. I feel very lucky. The increase in power, gas, fuel and of course groceries go up and size of contents sneak down do make it hard. I have
home buyer grants etc are encouraging people to buy houses they won't be able to afford when interest rates continue to rise. Business investment needs to be encouraged with low interest rates. However housing speculation by investors needs to be curtailed. People should not try to buy a house till they can afford it and then start small and trade up when they have the means and the need. The young want it all NOW rather than building to their dream house and furnishings etc. Many will be financially stressed and this puts a strain on family situations which leads to more instability in family life. More charities are now competing for the same dollar. My husband and I both turn 65 next years and have each worked nonstop for 46 years. We had hoped to think about retiring...but no way...not in the current economic climate! My partner has been advised that her job is to be discontinued later in the year and she will be redundant. We get by ok on the two incomes but will battle on only one. She feels pessimistic about her chances of getting work at the end of the year. We have 3 teenage kids at school and uni. My situation relates to the loss of income of my partner who has been sick for 5 years and out of the workforce for the last year. Struggling to keep up on one wage. No impact on myself or my business NOT AT THE MOMENT Not economically related issues ‐ my wife has had to give up work to care for her father who lives with us. Not GFC specific but families with more children really are having a tougher time ‐ no consideration is given to families with lots of children (e.g. increased utilities bills and education costs) ‐ the family benefit for large families really is not enough. It's the large families in the mid income bracket that suffer a lot. People are dying because health is becoming a business not a duty of care. People will always give to a great cause but may be a little less this year in $$ value
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certainly experienced a drop in my home business but I try to be optimistic. I can afford to update my 20 year old car and mechanical cost is also very high just to keep her on the road. The present economic conditions represent a move away from affordable essential services and towards an oligarchic system which mitigates against an equitable standard of living for all sections of society. The rich get richer and the poor get poor The uncertainties The USA economic downturn ripples may reach Australia in 2010; the real estate market could be very hard hit. There has been no impact They have not had an impact on me. To a married age pensioner only entitled to the equivalent of a single person's pension, & with a $260,000 mortgage, 5 quarter per cent interest rate increases in 7 months doesn't help i.e. my consumer spending doesn't need to be curtailed because there's stuff‐all available to curtail !! Unless you lost your job, the last 12 months were actually a "good" year! (Lower interest rates, government handouts, etc.) On the other hand, even with a job a pay freeze means we lose out to inflation. Very disappointed that the government wasted so much money on some poorly researched, poorly planned and poorly executed schemes in its rush to counter the effects of the GFC. Wages don't go up with the bills Was getting difficult to pay bills by mid last year ‐ any savings were gone near end of 2009, main income earner got too ill to work in December and is still not okay (no diagnosis, maybe Meniere's). Oldest of 3 kids turned 16 so Family Payment decreased. I have to decide whether to stay at school doing Cert IV Mental Health or quit and try to get a job. I would like to believe that my husband will improve and we can make it to end of school year, then I will get a job with new qualifications. Wayne Swan and Kevin Rudd have done a wonderful job in the face of a capitalist
downturn last year. My son Richard is a recovering alcoholic and you have given him great help that is why I always support the Salvation Army. I'll answer for him as he does not have a computer. We are fortunate have secure employment and no mortgage so we have not been affected adversely. We are more careful about our usage of power etc, with rising costs expected. WE are not able to save much and do seek assistance when the car needs repairs or we have extra medical costs. Many Dr's won't even see one if they don't have money up front. We have always ensured that we did not run up debts, apart from the mortgage, now paid off. We rarely eat out, never go to paid entertainment, use as little power as possible, to reduce carbon footprint. By always being very careful we are lucky enough to not be very affected, even though investments and interest rates have gone down. We have been fortunate to be buffeted from the effects We have been largely unaffected as employed in mining, oil and gas. We have probably over stimulated the economy and much wasted expenditure. Not enough spent on infrastructure and while employment benefited there will be a long term cost. We need to be ever more alert to helping those who are in need. Some people are sure to be hit soon by steeply rising costs of basic services. We're lucky to have our own business that hasn't been affected Worry about the impact of future interest rate raises affecting mortgage payments and disposable income Yes, I have taken steps to find another job; (contract ends June 30th) have set up my own company, have moved in with the boyfriend, and have rented out my home. Not all these things I wanted to do, but had to in order not to be another statistic in the salvo's line.
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