Real-life read: Sophia

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

‘Start where you are. Use what you have. Do what you can.’ This quote motivated me to take control of my finances, prioritising progress over perfection. 

Are you a spender or a saver? 

A spender – I love spontaneity! Fortunately, I also hate paying penalty fees, so one of the ways I minimise my spending is to ensure that each week’s savings (20%, as per the 50/30/20 budgeting strategy) goes straight into the emergency fund my husband and I have set aside. Because our emergency fund is in a savings account that charges fees for withdrawals, I’m always disincentivised to take out money. Since starting to track my net worth this year, I’m also motivated by seeing the numbers slowly but consistently go up each month.

What’s been your proudest money moment? 

I did something incredibly brave – or insane – a few years ago, when I quit my job without another one lined up due to a toxic work environment. That night, I took a look at my emergency fund and was pleasantly surprised to discover that I had 33 fortnights’ living expenses saved – a proud moment in and of itself. I was still terrified of never finding a job again, though, and having to give up on our plans for the next few years, including upgrading our home, travel and starting a family. I launched into job-hunting straight away and studied for hours every night – researching companies, practising job interview answers and keeping a detailed job-hunting diary. 

After some catastrophically bad interviews, and some absolutely phenomenal ones, I landed a new job a month later, along with a $14,000 pay rise and a positive work environment! 

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

Having an effective weekly budget for my husband and I; our finances are completely shared. A few years ago, I created a joint budgeting spreadsheet that both of us can access at any time, which lists our income, savings, mortgage repayments and expenses, sorted into needs and wants. As long as savings are accounted for, we can add extra ‘fun’ expenses whenever we see fit, and the spreadsheet automatically calculates how much is left over, which is either carried over to the next week or added to savings. 

What makes me feel extra sorted is that we always have the next four weeks planned, which gives us a heads-up for any special events like birthdays and holidays. 

What money beliefs have you inherited from your whānau? 

That money was complicated, difficult and associated with conflict. Unfortunately, I didn’t inherit any positive money beliefs, which led me to avoid thinking about money when I was in my late teens and managing my money on my own for the first time. I’d avoid checking my bank account, spend money and hope that I’d have enough for bills, and avoid learning about money. I started healing my relationship with money when I started to see how investing in my financial literacy could actually be empowering, instead of limiting – giving me freedom and choices, and allowing me to live authentically and do good in the world. 

If your bank account could talk, what would it say? 

“Save as much as you can right now – you want to make sure you have enough to last the rest of your year on maternity leave!”

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

Living in Queenstown or Wānaka, working part-time in a job I’m passionate about, ideally in the humanitarian/non-profit sector. My plan is to never fully retire – I dream of working or volunteering a few days a week indefinitely to stay healthy and active, be connected to my community and maintain a sense of purpose.

If you’d like to join the conversation and share your own experiences with money, we’d love to hear from you. Fill in this form, and we’ll get back to you. Ngā mihi!