Helping hand over 'debt shame'

Research from the Salvation Army shows that millions of Australians are entering 2026 under growing financial pressure — and many feel too ashamed to talk about it. 

Nearly half of Australians began the new year in debt, but many people avoid discussing their money worries even with those closest to them. 

The Salvation Army’s annual Moneycare survey reports that 44% of Australians are in debt and almost 90% say they feel as stressed or more stressed about money compared with the previous year. 

These findings suggest a mounting financial burden that is affecting people of all ages – including older Australians who often juggle fixed incomes, rising living costs, and unexpected expenses. 

The survey found that more than 9.7 million Australians entered 2026 with some form of debt, and 45% felt pressure to spend more than they could afford. 

This pressure is often linked to social expectations, gift‑giving, or embarrassment about one’s financial situation. Shame also plays a major role in keeping people silent: 23% of respondents never discuss money matters with family or friends, and another 32% feel uncomfortable doing so.

For older Australians, this silence can be especially damaging. Many are already managing rising costs for essentials such as food, medication, and utilities. 

Earlier Salvation Army research shows that some Australians – particularly those in vulnerable groups – are skipping meals, cutting back on medication, or relying on “buy now, pay later” services for basics. 

While this data focuses on people seeking assistance, it highlights how quickly financial stress can escalate without timely support. 

One positive message is that help is available, and there is no shame in using it. 

The Salvos’ Moneycare program offers free, confidential financial counselling in person, over the phone, and online. Last year alone, the service delivered more than 48,000 sessions nationwide. 

The government‑supported National Debt Helpline also provides free counselling and advice. 

While financial stress is widespread, there are some commonsense steps you can take to stay in control: 

1. Create a simple budget 

Around one‑quarter of Australians report difficulties creating a budget. Start by listing essential expenses, then discretionary ones. Review it monthly. Free tools from MoneySmart can help.  

2. Be cautious with credit 

More than half of those in debt owe money on credit cards, and 26% have “buy now, pay later” debt. These products can easily accumulate fees, especially for those on fixed incomes.  

3. Talk openly about money 

Even a short conversation with family, friends, or a counsellor can reduce stress. Silence only increases the burden. 

4. Seek help early 

Whether it’s a rising electricity bill or mounting card balance, reaching out early can prevent problems from becoming crises. Moneycare and the National Debt Helpline are free and confidential. If gambling is a problem for you, contact the Gambling Help Hotline. 

The takeaway is that you’re far from alone. Financial stress is affecting millions of people and reaching out for support is a sign of strength, not failure. 

Through early action, open conversations, and trusted services, it’s possible to regain confidence and control over your finances. 

Related reading: Canberra Times, Salvation Army, 9News, MoneySmart