THIS week's federal budget "meant nothing" to pensioners.

"I'm just where I was before it," aged pensioner Betty Byrne told the Port News.

The budget was "an indictment of this government", she said.

"I don't expect a fortune, but the price of everything keeps going up."

The aged pension is the sole income of Betty, 75, and her husband Jim, 80. They acknowledge there are others worse off than themselves but feel the government could direct some of its $21.7 billion surplus to people living on the pension.

With prices rising much faster than pensions, those relying on it get "just the bare bones", she said.

"Who can afford to buy a leg of lamb and have a nice baked dinner?

"Even old, humble mince for rissoles and stews has been priced out of the pocket of a lot of pensioners."

Indications are that, under this government, things aren't going to improve but look like "sliding backwards".

Mr and Mrs Byrne know they are better off than some because they own their home.

Although Mr Byrne has a hearing impairment and his wife has diabetes and other health problems, they both help out at Port Macquarie's soup kitchen every Monday morning.

"You would be surprised at the people who come in there and don't have anywhere to live," Mrs Byrne said.

"Pensioners come in (to the soup kitchen) and, for some of them, it's the only really good meal they will get in a week.

"They're living from hand to mouth."

Another Port Macquarie retired couple, Brian and Di Cumming, also feel the budget did nothing for pensioners.

While they have some superannuation to help keep them going, they know many of their neighbours at Taskers Residential Village are doing it tough.

Brian points to the same cost-squeeze pensioners are caught in, with the price of petrol and many other essentials continually increasing.

"Pensioners got nothing, absolutely nothing, out of the budget," he said.

Even the lowest-paid workers got a tax cut of $8 a week, he said.

"Why couldn't they give us $8 a week? That would have been enough."

Betty Byrne said she and husband Jim worked for years, paid their taxes and raised a family, and they deserved a decent income in their retirement.

"My hand doesn't shake when I put it out for the pension," Betty said.

"We worked for that."

More on the budget: pages 8 and 9