A financial stress test calculator applies realistic pressures to your income, loan and living costs, then shows how much room you have left. The 5 Future Shocks Assessment is an interactive tool on the ICM Hub. It scores your vulnerability to five separate threats and combines them into one readiness picture.
The 5 Future Shocks are fuel and energy costs, climate impacts, inflation and interest rates, mortgage stress, and AI disruption to your income. Each one reaches your finances in a different way, and each one can be tested on its own.
The tool is built for homeowners, buyers and investors who want to see their weak spots early. It suits you if you're about to borrow, if your fixed rate is ending, or if you simply want to know how much shock your budget can take.
Learn how to assess financial risks and prepare your property investment for unexpected challenges.
You stress test your finances by entering your income, loan and main living costs, then checking your result against each of the five shocks. The assessment shows where you're comfortable and where you're exposed. Run it more than once to see how a change in one shock moves the others.
Here's the process:
Take a household earning $150,000 a year before tax, with a $600,000 loan over 30 years. At a 6.0% rate, repayments come to roughly $3,597 a month, or about $43,170 a year. That's about 28.8% of income, under the 35% benchmark. If the rate rises to 7.0%, repayments climb to roughly $3,992 a month and the ratio reaches about 31.9%. At 8.0%, repayments are roughly $4,403 a month and the ratio passes the benchmark at about 35.2%.
On a $600,000 loan over 30 years, a household earning $150,000 crosses the 35% mortgage stress benchmark when the rate climbs from 6.0% to about 8.0%.
Now add the other shocks. A few hundred dollars more a year on fuel, a higher home insurance premium and rising grocery bills all sit on top of that repayment. That's why the tool tests the shocks together as well as alone. The figures here are hypothetical, not current market rates. Enter your own numbers to see your own result.
The Australian Bureau of Statistics reported annual CPI inflation of 4% in August 2026, above the Reserve Bank's 2% to 3% target band. The RBA lifted the cash rate by 0.25 percentage points to 4.60% on 29 September 2026.
In the December quarter 2025, the ACCC found average retail petrol in the five largest cities was 180.4 cents a litre and diesel was 185.9 cents. It then warned of sharp rises in international fuel costs in March 2026 because of Middle East conflict.
Compare the Market found home and contents quotes in the five largest capital cities rose an average of 14.78% in the 12 months to June 2026. APRA's long-run average from 2010 to 2025 was 7.2% a year.
Roy Morgan estimated that 30.3% of Australian mortgage holders, about 1.6 million people, were at risk of mortgage stress in the three months to June 2026.
The Department of Employment and Workplace Relations found no sign of mass AI job losses, but employment grew 5.6% in the most AI-exposed fifth of occupations against 9.5% in the least exposed between November 2022 and February 2026.
| Shock | What it hits | How fast it acts | Who feels it most | Your main lever |
|---|---|---|---|---|
| Fuel and Energy | Monthly running costs | Fast, often within weeks | Commuters, large households | Usage, plans, efficiency |
| Climate | Insurance, repairs, relocation | Slow build, sudden events | Owners in high-risk areas | Cover, location, resilience |
| Inflation and Rates | Repayments and daily costs | Moderate, month to month | Borrowers, variable-rate holders | Rate structure, refinance |
| Mortgage Stress | Share of income spent on the loan | Triggered by rate or income change | High loan-to-income households | Loan size, term, buffer |
| AI and Job Income | Long-term earning capacity | Gradual, uneven by industry | Routine cognitive roles | Skills, savings, diversification |
The 5 Future Shocks differ in speed and scale: fuel acts in weeks, mortgage stress follows a rate rise within a month, and AI works over years.
Terms and exposure differ by household, so use the table as a guide and not a verdict. Our refinancing team can review your loan structure if the assessment flags rates or mortgage stress as your top threat.
Run it before you borrow, before your fixed term ends, after a rate change, and when your income or household changes. A yearly check is a reasonable minimum. If you're planning to buy, pair it with the Buying Costs Calculator so you see the full cost of the purchase.
Don't test only your current rate. Test a rate higher than today's. Don't ignore the small shocks either, because fuel, energy and insurance together can equal a rate rise. And don't treat a low threat level as permanent. Your result is a snapshot, and it changes when your income, loan or costs change.
The 35% benchmark is the point where your loan repayments take more than 35% of your income, which signals mortgage stress. The Hub uses it as the line between a comfortable position and a vulnerable one. The closer you get to 35%, the less room you have for any other shock.
Mortgage stress isn't a single official measure. Other bodies use different thresholds and income definitions. Roy Morgan, for example, flags a household as at risk when repayments exceed a share of after-tax income that ranges from 25% to 45% depending on income and spending. The ICM Hub uses a clear 35% line so you can compare your own ratio against one consistent number.
Here's how to read your ratio:
To see how your loan sits against a property's value, try the LVR Calculator. For independent guidance on managing repayments, see MoneySmart.
Each shock adds a different cost, and none of them is fixed. The figures below are examples built from public data, not forecasts. They show the scale, so you can compare it with your own budget.
A one percentage point rise on a $600,000 loan costs about $395 a month, or roughly $4,740 a year, many times the yearly cost of a 20 cent fuel increase.
If you're an investor, also check the ongoing costs of holding property with our True Cost Calculator. Interest on investment loans may be deductible, so speak with a registered tax professional about your position.
The Hub assessment gives you a clear picture of your exposure, and Investors Choice Mortgages can then act on it. The team has arranged loans since 2005 and can access 10+ lenders, so a weak point in your loan can be matched to a real alternative.
Our home loan options page explains the loan types we arrange, and the investor lending page covers structures for property investors. If a high rate is part of your result, the Debt Consolidation Calculator shows whether combining debts could ease your repayments.
Clients who review their finances early often find savings and breathing room, and a review is usually the quickest way to lower exposure to rates and mortgage stress. One story from Investors Choice Mortgages shows the scale of what's possible.
Sarah K. from Melbourne refinanced and released equity, saving $340 a month with a three-week turnaround. Lower repayments mean a lower mortgage-to-income ratio, which is exactly what the assessment helps you aim for.
Each situation is different, and rates, fees and lender policies change often. Use the assessment to find your weak points and a broker to compare live options.
The 5 Future Shocks are fuel and energy costs, climate impacts, inflation and interest rates, mortgage stress, and AI disruption to your income. The ICM Hub assessment scores your vulnerability to each and gives you an action plan.
It's a tool that applies pressures such as higher rates or living costs to your income and loan, then shows how much room your budget has. The ICM Hub 5 Future Shocks Assessment tests five pressures at once.
It's the point where mortgage repayments take more than 35% of your income. Above it, you have less room to absorb other costs. The Hub assessment measures your mortgage-to-income ratio against this benchmark.
A higher rate lifts your repayment, which raises the share of income going to your loan. On a $600,000 loan over 30 years, a one point rise adds about $395 a month. The assessment shows where that would put you.
Nobody can say for certain. Australian government research found no sign of mass AI job losses, but employment grew more slowly in the most AI-exposed occupations. The assessment asks about your industry to estimate your exposure.
Extreme weather can raise your home insurance premium, add repair costs and affect living conditions. Premiums for home and contents cover in the largest cities rose an average of 14.78% in the year to June 2026.
At least once a year, and whenever your income, loan or household changes. Run it before you borrow, before a fixed rate ends and after any rate change, because your threat levels move with your situation.
The Hub has a free account level, and some tools unlock when you become a client. Create your free account to see which calculators are open to you.
You can't control fuel prices, the weather or the RBA, but you can control how ready you are. Take the assessment, find your biggest threat and ask a broker what to do about it.
Call 1800 46 48 10 or email askus@investorschoice.com.au. You can also explore other property calculators or read about refinancing.
