Options for Asset Ownership The assets you own are your store of wealth. These can include your home, investment properties, bank deposits, KiwiSaver, superannuation funds, investment portfolios and businesses. When you are starting out in life, it is easiest to purchase assets in your own name but for most assets there are other options. Ownership options for personal assets can include: Individual ownership. Your asset...

Best Tips for Christmas Shopping It is so easy for spending to get out of control at Christmas time. If you want to avoid having to take most of next year to pay back your Christmas debt, here are the best tips for Christmas shopping. Start by making a Christmas budget, with a list of names of people to buy for and how much you want to spend. To keep track of how much you spend on each person, use cash and divide it int...

The Facts on Credit Cards Buy now and pay later is a concept that has been around since money first came into being. Over time, various systems have been used to keep track of how much money is owed and to whom, although until the 1940’s, they were specific to individual merchants. In 1958, the Bank of America launched the first true credit card, that is, a revolving credit card issued by a third party that is accepted ...

Squeeze Your Budget We are at the time of year when financial pressure is at a peak and every dollar needs to be used wisely. Before the mad Christmas rush, take some time to look at simple ways of cutting your costs and tweaking your income to free up spare cash for the holiday period. All it takes is some creative thinking, a willingness to try doing things a different way, and some time spent researching the best deals...

Advice for Elderly Parents There comes a time when our elderly parents, who we thought were capable of doing anything and everything, need our help to manage their affairs. As we get older, it becomes harder for our brains to process information. Filling out forms becomes a nightmare, and understanding directions or instructions is very confusing, especially if they are in writing. The signs of inability to cope include p...

Prepare for Working Less While most of us say we can’t wait for retirement to be able to do all the things we’ve always wanted to do, the problem is how to fill in the thirty years or so after retirement. For some people, the prospect of giving up work creates a fear of loss of identity and loss of purpose in life, so they keep working well beyond the age when they should retire. This can create a problem for employer...

Peer-to-Peer Lending is Here The core business of a bank is to gather up funds from investors to lend to borrowers. By charging borrowers a higher rate of interest than is paid to investors, the bank makes a margin which covers its costs and provides a healthy profit for its shareholders. The concept of peer-to-peer lending is to provide a marketplace where investors and borrowers can get together directly. That way, it i...

Before You Lose Your Marbles Dementia is one of the things most feared about aging, even though it has a relatively small incidence. While it is far more likely that you will not suffer from dementia later in life, it pays to be prepared. When it comes to taking care of your financial affairs, a good way to prepare is to set up an Enduring Power of Attorney, or EPA. An EPA is a legal document giving someone the power to a...

The Price of Ignorance is Low Returns A recent survey conducted by Colmar Brunton for the Financial Markets Authority shows that many New Zealanders do not understand investment risk. The survey results paint a picture of investors who show a reasonably good understanding of more conservative investments which offer security and a reliable return but who lack understanding of higher risk growth investments such as propert...

Structure Your Mortgage Buying a house is a lengthy, stressful process. Just when you think it is all over, and before funds are released to your solicitor, your lender will ask how you want to structure your mortgage. You will no doubt have had little time to consider this and yet the structure of your mortgage can have significant financial implications. Mortgages vary in terms of how repayments are made and how the int...