| # | Signs of imminent financial DISTRESS | Signs of Imminent financial DISASTER |
| 10 | Depending on this month's earnings to pay for next months' expenses and debt repayments | Depending on a bonus, increase or miracle this month to pay for next month's expenses and debt repayments |
| 9 | Using credit facilities to buy luxuries and non-essentials each month | Using credit facilities to buy essentials each month |
| 8 | Constantly increasing credit card debt each month | Constantly reaching credit limit each month |
| 7 | Monthly debt obligations exceed 36% of gross monthly income (i.e. before tax and deductions) | Monthly debt obligations exceed 50% of gross monthly income (i.e. before tax and deductions) |
| 6 | Dipping into savings to cover the cost of monthly expenses and debt repayments | Borrowing money from the bank, friends or family to cover the cost of monthly expenses and debt repayments |
| 5 | Required to limit lifestyle and entertainment activities due to lack of affordability | Left with no choice but to cancel important policies and sell valuable assets to get by in the short-term |
| 4 | Delaying payment or paying the minimum amount due on retail accounts, home loan and vehicle finance | Missing payments on retail accounts, home loan or vehicle finance |
| 3 | Regular feelings of worry and anxiety about the sustainability of current lifestyle due to lack of affordability | Constant state of stress and fear about the wellbeing and security of self and dependents due to escalating financial challenges |
| 2 | Relationships, health, concentration and work performance begin to suffer as a direct consequence of financial concerns | Relationships falling apart, health deteriorating, unable to focus and poor work performance becomes noticeable to superiors and peers due to financial stress |
| 1 | Receiving occasional calls from creditors requesting payment on overdue accounts | Receiving letters of final demand from creditors to settle long overdue accounts |
If you recognise any of these signs in your own life, then it's time to face the harsh truth that your lifestyle, financial security and future well-being are at serious risk... and if you have any dependents, so is theirs.
