Families are being hit harder than ever by surging interest rates, petrol prices and grocery bills, a budgeting service says.
MyBudget surveyed 100 clients in South Australia and 77 said their home mortgages would become unmanageable in the event of another interest rate rise.
Seventy eight respondents believed the cost of living had become unmanageable for many families.
To cope with the rising cost of living 31 said they had curbed spending and saving, 26 reported buying fewer luxuries and 23 said they had put a brake on car travel.
MyBudget director Tammy May said there had been an increase in the number of people calling for help with their finances.
"The survey shows that people who are struggling need to get on top of their finances now more than ever," Ms May said.
"We are facing difficult economic times and people who have always been drifting along are now finding themselves in financial dire straights."