Barring a policy change in the next week, the higher "JobSeeker" rate, with its additional supplement of $150/fortnight, will end on March 31, and with it will end a period where for once welfare benefits gave the costs of living a run for its money.

The Federal Government has been considering whether the permanent rate of JobSeeker - renamed from Newstart early last year - should be raised, after years of calls from social workers, opposition parties and charities that the basic rate was simply not enough to live on.

The St Vincent de Paul Society has warned that cuts to the benefits would push 560,000 people back into poverty.

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West Wollongong woman Lauren Faulks volunteers at Vinnies and said reverting to the original rate may hit harder now.

"We were worried when the pandemic hit," she said.

"We thought we'd be run off our feet with calls for help. But when our clients got the extra money, we had less calls. So much so, we went from five to seven calls [to] one, if not no, calls a week.

"People found they had enough to provide for their basic needs - to pay rent and buy food and medication and even cover power bills. It was wonderful to realise they were able to be self-sufficient, which is always our aim as Vincentians.

"Even the first reduction of the COVID supplement means some people are finding it harder to manage. Our visits are increasing again. I'm very worried about what it might look like if the final supplement is removed at the end of March.

"In some ways it will be worse. People have had recent experience of a decent life and that might be taken away. Australia is a generous country - it doesn't make sense if our social safety net isn't sufficient. No one should live in poverty."

Albion Park Rail single mum of two Lisa Ward-House, 43, works as a receptionist three days a week at a small medical practice and said the past year had been one when finally bills could be paid without stress.

Her job was sustained by JobKeeper when patients stopped coming in because of the lockdown. But that's finished now and the end of March looms as an unwelcome cutback. With 24 hours' work a week, as a single parent she can still receive JobSeeker to top up her income, but says the rate may be elevated for good.

While JobKeeper has drawn criticism for allowing some people to stay off work and earn more, and for allowing some companies to declare large profits propped up by millions from the taxpayer, Ms Ward-House said there's no doubt it "kept many businesses afloat"

"It was easier when I was on JobKeeper ... bills got paid, it was much easier," Ms Ward-House said.

"I'm one of the luckier ones - I couldn't imagine actually having to pay rent and having all that debt, and trying to make ends meet, on what they give you.

"It's not a system that's fair. I understand why they don't want people to become reliant on it - I'm a worker, I've always been a worker - but the system sets you up to fail.

"JobSeeker is never paid enough. I would have lost my house without [the raise]. No-one sets out to be a single parent. I never thought I'd be reliant on government money for so long. I'd love to take my kids to all the things they see other people doing. My kids are really mindful about money, and they shouldn't have to. They shouldn't have to worry about whether they're asking me for too much."

Indications from Canberra are that a permanent rise, if it were to come, may be accompanied by cutting other supplements, including for energy, pharmaceuticals, remote area living and others.

"It's going to make a huge difference," Ms Ward-House said. "I'll have to go back to strictly budgeting and actually counting every cent. I don't get child support, and I don't get extra money to pay for the mortgage.

"I'll have to go back to worrying about which piece of meat I'm going to be able to buy this fortnight. With the money I get, I live fortnight to fortnight - and I see myself as lucky because I work.

"People have got used to having that little bit of extra money - being able to have that brand name butter. It's not about going to the Sydney Zoo every weekend - it's about what kind of food you're able to put in the cupboard.

"People who've been on it know how to budget. It's just about whether you can have any extra bits that make life feel OK. I'm sure there's not many people who've saved any extra in their banks."

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