My Money Sorted: Meagan

A bit about Meagan: Meagan Kerr (Ngāti Kahungunu/Ngāi Tahu/Kāti Māmoe) lives Tāmaki Makaurau Auckland with her fiancé. By day, she works in social media, by night, she’s a writer, and in her spare time, you’ll find her tending to her garden, in which she’s trying to learn to grow kai for her whānau – “with varying degrees of success”.

What’s the best money advice you’ve been given?

Make sure you have enough money put aside to cover your taxes. As someone who’s done contract work for many years, this has been really valuable advice. I put aside a set percentage from every piece of contract work I do into a separate savings account, to cover things like tax, student loan and ACC payments. Then when I have to make those payments, I’m not scrambling for money or trying to cover it from my day-to-day budget.

Are you a spender or a saver?

I’m a bit of both. I save up for larger purchases and make sure I have money put aside for the future and to take care of my whānau, but I’m okay with treating myself and my loved ones every now and then too.

What’s a memorable money moment you’ve experienced?

Paying off my student loan. I’ve completed three lots of study, some of which was back in the day, when student loans accrued interest, so it was a pretty hefty loan in the end and took a while. Making that final payment felt like an enormous achievement.

What makes you feel sorted when it comes to your money?

I’ve spent a lot of my life living pay cheque to pay cheque, so being able to put money into my savings account is a pretty good feeling these days. I used to live on a very tight budget, so when I got a job that paid more, I reassessed my budget to give me a little bit of breathing room, then put any extra towards my savings. This has become my standard practice over the years – if I get a pay rise or a job with a higher salary, the extra goes to my savings. With the cost of living being what it is, I’ve had to reassess my budget a bit recently, as I’m sure we all have, but I feel very fortunate that I’m still able to put some money aside to look after future me.

What money beliefs have you inherited from your friends and whānau?

Research before you buy. My fiancé is really good at this, but it’s something I’ve had to learn. I try not to make impulse purchases, especially when it comes to big-ticket items, and do a lot of research before I’m in the store to make sure I get the best value, that the item is going to meet my needs, and that the quality is worth the price. I try to purchase from an informed, analytical place, rather than because my heart says, “I want that one”.

If your bank account could talk, what would it say to you right now?

My bank account would probably say, “No, you do not need another little treat!” 
I’ve got quite a few big savings goals at the moment, so I’ve been trying to cut down on my spending as much as I can. I’m doing pretty well and should hit my goal for this year a little earlier than expected, which feels good.

What’s been your proudest money moment?

Paying off all my debt. When I was in my 20s, I had a lot of debt – credit cards, car loans, personal loans, HP, layby… I paid things off rather than saving up for them, which meant that I was often paying interest as well. I wasn’t living within my means – and that can be a slippery slope. I chipped away at my debt and when it was all paid off, it felt like a clean slate. These days, I’m more likely to save up for things unless it’s a genuine emergency, which is what I have my savings for.

When you think about your retirement, what do you see?

Time spent with whānau and friends, pottering about in my garden, and hopefully living a comfortable life. In addition to putting money into my KiwiSaver account, I contribute to a retirement scheme through my work, plus I have a savings account. By the time we retire, I hope my partner and I have enough in our individual savings to enjoy a comfortable life together.