Cost of living crisis: Just 10 per cent of Aussies are happy with their standard of living, 2026 looking grim

Australians’ satisfaction with their standard of living is at an all time low, and we expect things will only get worse next year. A survey of 1000 Australians by market researcher Ipsos shows overall satisfaction is only 10 per cent - 41 per cent of Australians are pleased with their standard of living and 31 per cent are struggling with it. Satisfaction levels are also split among the generations. The latest overall result is similar to last year’s survey, but shows a massive drop from March 2022, when a net 34 per cent of those surveyed where satisfied with their lot in life — 56 per cent ranked themselves pleased and 22 per cent were unhappy. Ipsos public affairs director Ben Brown said elevated interest rates were largely to blame for a big disparity between generation X and baby boomers about current satisfaction and future expectations. Baby Boomers have the highest satisfaction with their current standard of living — with a net score of 25 per cent — but their outlook for 2026 is the most pessimistic of any generation, with a net negative outlook of -27 per cent. Gen X — people aged 45 to 59 — are experiencing the lowest satisfaction level of any demographic with a net satisfaction score of -5 per cent and a net negative outlook of -22 per cent for 2026. “The large disparity in current levels of satisfaction with standards of living between Gen X and Boomers highlights the impact that elevated interest rates have had, with a higher proportion of Gen X having taken on relatively high mortgages while interest rates were at an all-time low,’ Mr Brown said. “On the other hand, Boomers are more likely to have substantially paid down, or even paid off, their mortgages and built up savings, and thus, are more likely to be beneficiaries of higher interest rates. “The narrowing gender gap in financial satisfaction is a positive step forward but continued efforts are needed to ensure equitable financial wellbeing for all demographics.” Generation Z — the 18-to-27 year old cohort largely priced out of the housing market — have a current net satisfaction score of 6 per cent. They have a slightly more optimistic view of the future than their parents and grandparents, with a -1 per cent net negative outlook for 2026 Millennials — aged 28 to 44 — have a net satisfaction score of 13 per cent but have a gloomy outlook for 2026, with a -3 per cent net negative outlook . The survey shows widespread struggle, with 30 per cent making late bill payments at least some of the time. The result is on par with last year but up significantly from March 2022 when only 24 per cent were late to pay the bills.