Do it online
In order to get saving, first do a budget. There are many free budgeting tools available online, a highly recommended one is sorted.org.nz.
Be Honest with yourself
Be honest with yourself about what you spend on and how much you spend!
Review your Historical Spending
Review old bank statements to get a better understanding of your spending habits. Work out what is essential spending and what’s optional.
Review your optional spending – what can you can down on or eliminate?
Set a savings Goal
How much can you afford to regularly save? If you wanting to buy a home – your best option is work out your likely mortgage repayment costs along with insurance and rate costs, less your current rent costs. Being able to prove to the bank that you can sustain the additional costs will be a benefit when applying for a mortgage.
Remember to be realistic with your plan – you must still allow yourself some luxuries – if you don’t you may find it just too hard and give up.
Set up a savings account
Separate your savings from your day to day spending account and watch your savings grow!
Set up an automatic payment
Setting up an automatic payment in line with your pay day is the easiest way to ensure that you do save.
Make it hard to access your savings account
Make it hard to withdraw money from your savings account. Don’t link the account to an eft-pos card or even have it on your internet banking, that way if you really have to withdraw from the account you’ll have to make a trip to the bank!
Shop around for the best savings interest rate – check out www.interest.co.nz/saving/term- deposits-1-to-5-years
Tools to help you with saving>
Need a Money Coach? Go to www.financialclarity.co.nz
Want to Track your spending? www.xero.com/personal/
Want to save on rent? Thought of House Sitting? Check out www.housesitters.co.nz/
Savings Tips
Check your essential costs What can you save on?
Got a Credit Card – Can you transfer to a Card on a lower Interest Rate? www.interest.co.nz/borrowing/credit-cards
Check your rent costs – are you paying too much rent? Go to www.dbh.govt.nz/market-rent for a rent comparison
Check out your power costs –could an alternative provider offer you a better price. Go to www.powerswitch.org.nz/powerswitch?&gclid=CJmcstTc57cCFURcpQodASIAgg
Are you wasting power? Check out www.energywise.govt.nz/your-home/save-money-on- your-energy-bill
Where do you shop for your groceries? Are you paying top dollar by shopping at the most expensive supermarket?
Make a shopping list and stick to it! Don’t be tempted to buy extra things you don’t actually need. Stock up on basics when they are on special – you going to need then – so buy in bulk whilst they are one sale.Buy only in season produce – off season fruit and vegetables are always more expensive.
Cut down on the lattes – you’ll be surprised how much you may spend on those coffees here and there. (Just 1 latte a day @4.50 every work day adds up to $1080 for a year)
Take your lunch to work – buying lunches every work day can literally cost you thousands every year ($10 per day for every working day adds up to $2400 over a year!)
Are you entitled to any government benefits that you are currently not receiving? Check out www.newzealand.govt.nz/browse/families-communities/families/family-benefits/
New to NZ and need help in understanding what your government entitlements are? Check out www.settlement.org.nz
