The Real Cost of Living
As the costs of housing, fuel, food and utilities stretch weekly budgets to their limits, Community Ministries are experiencing an increase in demand for their services. SALT explores the vital role Community Ministries play in supporting whānau in need and shares practical strategies to help households maximise every dollar.
Across Aotearoa New Zealand, Salvation Army Community Ministry (CM) teams are reporting a greater demand for their services, as the number of people struggling to meet the cost of living significantly increases.
‘Many whānau can no longer afford the basics and are facing difficult choices about which bills to prioritise as financial pressures continue to mount,’ shares Grace Chan, Manukau CM manager. ‘We are also seeing the concerning impact on tamariki, with some not attending school due to lack of winter clothing and insufficient food.’
‘We’ve seen a clear shift in how people manage their money, with far greater caution in spending,’ says Christchurch CM Manager Vikki Stevenson. ‘Essentials like housing and food are the priority, and people are cutting back wherever they can. But for many, there is little left to trim—they are already living on the bare minimum.’
The story is no different in Whangārei. ‘Money is just not stretching far enough,’ says CM Manager Teneille Johnson. ‘Our financial mentors are supporting a growing number of clients who are drowning in debt. Families are using Buy Now, Pay Later services just to cover the basics like food and petrol. They’re not even living paycheck to paycheck anymore; they’re starting each week already behind on last week’s bills. For many, survival mode has become the new normal.’
As pressure continues to grow, CM teams are navigating increasingly complex needs while stretching limited resources to support a broader and more diverse range of people. ‘We are seeing a significant rise in demand, not only from those who have traditionally accessed support services, but also from people on regular incomes who are finding it difficult to meet day-to-day needs,’ explains Teneille. ‘This includes households with two incomes who are still struggling to make ends meet.’
‘For many, survival mode has become the new normal.’
Vikki has also observed a similar shift in the demographics of those seeking help in Christchurch. ‘There are limited support services available for middle-income families,’ she says. ‘Many don’t qualify for financial assistance, yet they are far from financially secure. When unexpected costs arise—such as car repairs, medical costs or school-related expenses—the only option many feel they have is to borrow money. This often leads to ongoing cycles of debt and increasing financial pressure.’
Some of the Whangārei Community Ministries team behind the counter at Sanctuary Café.
From crisis to stability
At the heart of Community Ministries is a commitment to helping people move from adversity towards resilience and wellbeing. This is strongly relational work, focused on the needs of those who reach out for hope in tough times.
A consistent starting point across regions is meeting immediate, essential needs—particularly food security. Tailored kai plans and foodbank support ensure whānau have access to nourishing meals. Crisis support is strengthened through access to donated goods from Family Stores. This initial support is then integrated with wider wraparound support, including life skills courses such as the Positive Lifestyle Programme and parenting courses. Staff routinely refer clients into wider Salvation Army services such as housing and addiction rehabilitation. These practical responses ensure that people are supported in the moment, while creating space to focus on longer-term solutions.
The work of financial mentors is another cornerstone of CM support. The focus has shifted away from rigid budgeting towards creating plans that genuinely reflect the realities of current living costs and clients’ unique circumstances.
This means breaking expenses down into manageable weekly amounts, helping people clearly see where their money is going and prioritising essentials while allowing some breathing room. The emphasis is on practical, achievable steps, building awareness of spending patterns and celebrating small budgeting wins.
Debt support is another critical area, with many clients relying on borrowing to manage short-term gaps, which creates longer-term financial strain. CM teams assist people to map out their debts, prioritise repayments and engage directly with creditors. There is a strong emphasis on raising awareness of the risks associated with high-cost lending and Buy Now, Pay Later services.
For those who may not qualify for traditional assistance—the so-called ‘missing middle’—CM teams provide equally valuable support. They help individuals understand their cashflow, identify patterns that may be contributing to financial strain and explore practical cost saving strategies. This includes finding smarter ways to manage everyday expenses, such as grocery planning, reviewing subscriptions or accessing better utility deals.
CM teams also help people navigate the complexities of accessing government and other agency services. This includes ensuring that people are receiving all the support they are eligible for, from accommodation assistance to family related payments and utility subsidies.
Whangārei CM team preparing food.
Whangārei CM partnering with Eric Rush and his New World team.
More than practical support
‘While Community Ministries often respond to urgent needs, the support we provide goes far beyond practical assistance,’ explains Grace. ‘By connecting people with the support they need, we help restore confidence and empower them to take positive steps forward. For many, knowing they have someone in their corner is just as transformative as the practical help they receive.’
We have many stories of clients who have turned their lives around after accessing our services,’ shares Vikki. ‘We had a single father who shares custody of his 10-year-old daughter come to us feeling overwhelmed. Despite working multiple jobs, he was struggling to provide for his daughter. Through financial mentoring, we helped him simplify his budget, create a plan and develop a realistic strategy to tackle debt. Over time, he gained clarity, confidence and a reassurance that change is possible. He told us that he feels able to breathe again and to make positive financial decisions for the future.’
‘He told us that he feels able to breathe again…’
CM teams continue to see the positive impact that practical support, guidance and trusted relationships can make. Those journeys may begin with a food parcel, a budgeting conversation or support to manage a debt, but they can grow into something much more significant—a renewed sense of dignity, stability and hope for the future.
Tips for Stretching Your Dollar
Although the current cost-of-living challenges are causing considerable anxiety, small changes can make a meaningful difference over time. Below, you’ll find practical tips and strategies from Community Ministries teams and financial mentors to help make every dollar count.
Food for Less
- Plan meals for the week and shop with a list to avoid impulse purchases.
- Check your fridge, freezer and pantry before shopping and buy only what you need to fill the gaps.
- Create ‘anything’ meals like bolognese, frittata or soups to use up leftover ingredients.
- Compare supermarket prices using apps such as Grocer and take advantage of supermarket loyalty programmes.
Power Smarts
- Run appliances like dishwashers and washing machines during off-peak hours, or consider switching to a time-of-use plan.
- Heat only the rooms you’re using instead of the whole house.
- Close curtains before dark and block draughts to keep warmth inside.
- Check your power plan and make sure it suits your lifestyle. Visit powerswitch.org.nz or billy.govt.nz to compare options and find potential savings.
Stretch Your Tank
- Plan your trips and combine errands to avoid unnecessary driving.
- Drive gently to save fuel.
- The Gaspy app can help you to find the cheapest fuel price.
Invisible Spending
- Review and cancel unnecessary subscriptions.
- Compare phone and internet plans to make sure you’re getting the best deal.
- Check your apps—small monthly charges can add up over time.
- Reconsider memberships that you’re not currently using.
- Pay attention to small everyday purchases on things like coffee and snacks.
