Northlanders urged to talk money for better financial literacy

Carr, from Your Money Blueprint in Waipu, said financial education was “more important than ever”.

The high cost of living was putting pressure on “a large percentage of the population”, he said.

“If you have high financial literacy, you can alleviate some of that pressure by making better decisions around money.

“This means you are better prepared for life’s curveballs, can live with less stress, and can have more confidence to make life-changing decisions.”

Financial adviser Nick Carr, from Your Money Blueprint, says the high cost of living is putting pressure on families and budgets.

Carr said Kiwis in general were “incredibly reserved” when it came to talking about money.

Families needed to have more conversations about household finances, he said.

“If it can become part of everyday conversations, people will naturally become more savvy.”

The recent report emerged from a Partners Life-commissioned survey, conducted in July, of more than 1000 adults living in New Zealand.

Other findings included:

• 37% rate their financial literacy as average or below, with some giving themselves a failing grade.
• 44% have relied on credit or buy now, pay later services to make ends meet.
• 54% report stress or lost sleep because of financial worries.
• 76% have never accessed professional financial literacy training.

Kaitāia Family Budgeting Services senior financial mentor Sneddon said there was “definitely a lack of knowledge across the board”.

She said many people were too shy or embarrassed to talk about their finances with others.

Kaitaia Family Budgeting Services financial mentor Tania Sneddon says many Northlanders lack knowledge about basic budgeting.

“In the old days money wasn’t spoken about.

“You didn’t sit around the table talking about your weekly income and outgoings.

“People haven’t got the opportunity to get ahead because they’re starting from behind.

“It’s about encouraging the kōrero and letting people know that we’re here to help.”

Sneddon, who facilitates basic budgeting workshops for young adults through Ngāti Kahu social services, said there should be more education at school, especially for Year 10-13 students.

“When they leave school, they’re vulnerable to people.

“I was talking to someone the other day, who said when she first went to uni, the banks were outside campus ready to sign students up to credit cards they can’t afford.”

In April, the Government announced that financial education would be taught in New Zealand schools from next year.

Education Minister Erica Stanford said Year 1-10 students will be taught financial literacy to prepare them to make “informed financial decisions in a complex financial world”.

Sneddon encouraged Northlanders to budget wisely or seek help.

“Everyone can do their own budget – it’s about human beings making the right decisions about how to spend their money.”

Nick Carr’s tips to becoming more financially savvy:

• Spend within your means, track your spending, and automate your savings.
• Look at where your spending is going and decide if that is a reflection of the person you want to be.
• Spend your hard-earned money on what truly matters.
• Taking small steps regularly will compound into significant improvements over the long run.
• Learn from your mistakes.
• If you are unsure of what steps to take, seek help from free budget advisers such as Money Talks or paid financial advisers.

Jenny Ling is a senior journalist at the Northern Advocate. She has a special interest in covering human interest stories, along with finance, roading, and social issues.