Millions of Australians are beginning 2026 in debt, with almost 90 per cent reporting stress about their finances, according to the Salvation Army.
The charity’s national survey found that more than 9.7 million Australians started the year in debt, and 89 per cent feel equally or more stressed about their financial situation compared to last year. The survey also revealed that 45 per cent of respondents felt pressure to spend beyond their means, influenced by embarrassment about their finances or social and cultural expectations.
A total of 24 per cent of respondents said they struggle to create a budget, while 20 per cent have difficulty preparing a tax return. Among those in debt, 52 per cent reported credit card debt, and 26 per cent carried “buy now, pay later” debt.
The survey highlighted that many Australians remain silent about money matters: 23 per cent never discuss their finances with family or friends, and 32 per cent feel uncomfortable doing so.
Kristen Hartnett, head of Moneycare at the Salvation Army, said the findings show Australians are carrying heavy financial burdens, often in silence. The organisation’s free and confidential financial counselling service, Moneycare, provided more than 48,000 sessions last financial year.
“Financial counselling is free, confidential, and incredibly effective — but many people don’t realise it exists,” Hartnett said. She noted that other free services are available, including the federal government’s National Debt Helpline and targeted programs for rural Australians, small business owners, and Indigenous communities.
“You are not alone, and there is no shame in reaching out,” Hartnett added. More information on free financial counselling can be found on the Australian Financial Services Authority website.
