Australians on JobSeeker and other welfare payments are being left with little money to pay bills or other incidental expenses after covering the cost of weekly essentials, a detailed new report shows.
A single person out of work and living in a shared house has an average of just $127 of income each week after covering three core weekly expenses — rent, transport and food.
The latest edition of Anglicare Australia's cost-of-living index, released today, also shows that a single-parent household on the Parenting Payment would have just $24 remaining each week after covering basic living costs.
Anglicare used survey data from the Australian Bureau of Statistics to calculate grocery and transport costs, and listings from RealEstate.com.au to calculate average rents.
The analysis does not account for quarterly or monthly expenses, meaning the leftover income would be needed to cover power and internet bills, as well as incidental outlays for medical costs or household repairs.
"It has never been harder to live on JobSeeker and other Centrelink payments, with living costs spiralling and rent costing more than ever," Anglicare Australia executive director Kasy Chambers said.
Community and welfare groups such as Anglicare have long been calling for a substantial boost to JobSeeker and Youth Allowance to lift Australians out of poverty, an appeal backed by the government's Economic Inclusion Advisory Committee in April.
Despite a one-off increase in the base rate of payments in 2023, income support for job seekers and some other groups remains low, and has left people vulnerable to post-pandemic inflationary pressures.
Food and petrol prices remain elevated, with the cost of renting high and rising as demand for homes outstrips supply and keeps vacancy rates low.
"People are being forced to skip meals, avoid medical care, and cram their families into overcrowded homes," Ms Chambers said.
The latest edition of the cost-of-living index found a family of four with two adults out of work in a three-bedroom rental would not be able to cover the basics from their income, and would have to find an extra $17 a week to make up the shortfall.
Housing is by far the biggest living cost, with average rents rising by more than 50 per cent since 2020.
All calculations included the highest rates of Commonwealth rent assistance, which households may be eligible for and was increased in the last federal budget.
Ms Chambers said the government must raise the rate of the payments.
"Without action, people will be pushed even deeper into hardship, poverty and homelessness," she said.
AAP/ABC