The Queensland Council of Social Services fifth annual Cost of Living Report shows that, while families are able to afford the basics, unemployed individuals are unable to afford necessities.

But QCOSS CEO Mark Henley said all low-income households would begin to feel the pain of recent hikes electricity prices, insurance stamp duties, state taxes and council rates.

“The report highlights the tough financial situation faced by our households who must count every dollar and who have little room to build up savings to cope with unexpected events,” Mr Henley said.

The report tracks three example low-income households against data from March 2012 to March 2013 to capture the price of basic living standards.

It found a single-parent family received a weekly income $41 above what was required for a very basic standard of living, while a two-parent family managed with $106 left over.

However, the unemployed single person was $4 short of meeting the standard.

To arrive at the figure, QCOSS considers community opinion about the necessities no-one in Australia should go without, excluding non-essential items like tobacco.

It then conservatively estimates what low-income households spend on these items on average per week, based on publicly available data from the Australian Bureau of Statistics' Household Expenditure Survey.

The single-parent family was allowed $844 a week, the two-parent family $1178, and the single person $308 to meet cost-of-living expenses.

“It is positive news that the situation improved for the two working families and this was due in part to low increases in the costs of goods and services and modest increases in household income,” Mr Henley said.

“In the case of our unemployed single person however, this individual still cannot afford some of life's most basic necessities – such as a decent and secure home, one substantial meal a day, medical treatment and transport.”

Mr Henley said rising costs of living had become a common topic of discussion, and an important political issue, however much of the debate failed to acknowledge that low-income households were the ones most seriously impacted.

“Since March, we have seen the price of electricity spike, insurance stamp duties increase and a raft of other tolls and charges rise – all of this will add to the cost of living pressures being felt by households,” he said.

“Small changes can make a big difference for some households and while the state and federal governments have provided some relief for low-income earners, more can and needs to be done to target support at those who need it most.”

There were several recommendations to government outlined in the QCOSS report, including a call for the state to embark upon a comprehensive review of the existing concessions system.

QCOSS also recommended the Australian Government reinstate eligibility for all single parents to the Parenting Payment, raise the Newstart Allowance and provide more flexible and tailored support for disadvantaged jobseekers.