Business groups say the mid-year budget review highlights the need for a more diverse economy.
It also needs all political parties to work together to get the budget on a sustainable footing.
Treasurer Joe Hockey handed down his mid-year economic and fiscal outlook on Monday, which showed larger deficits across the four-year estimates than were predicted in May.
Consultants KPMG estimates that since the pre-election economic and fiscal outlook in August 2013 the budget position has deteriorated by $92.9 billion.
KPMG tax partner Grant Wardell-Johnson describes the decline as "extraordinary".
The latest deterioration was the result of a $31.6 billion hit to government revenue from a slump in iron ore prices and a $10.6 billion cost of negotiating the budget in the Senate.
"We must find multiple sources of growth, rather than relying solely on resource and energy commodities, as has occurred in recent years," Australian Industry Group head Innes Willox said in a statement.
He also said the budget task was bigger than the political cycle and urged co-operation by all parties.
The Australian Chamber of Commerce and Industry agreed Labor and crossbenchers needed to get their "heads out of the economic sand".
"The budget position is a mess and they are not letting the government take the necessary steps to fix it," CEO Kate Carnell said.
But Business Council of Australia president Catherine Livingstone believes the government has made the right call to continue to support economic growth by avoiding ad-hoc tax decisions.
"However, we should make no mistake, Australia cannot maintain living standards without a strong budget," she said, adding there needed to be a national resolution as a matter of urgency.
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