What is your net worth? $1,100,000
At what age did you become a net worth millionaire? Me: 34 and Hubby: 42
What region of New Zealand do you live in? Auckland
How did you accumulate your net worth, what are you invested in?
Primary residence: $870,000 equity
Kiwisavers: $121,000
Shares - index funds: $67,000
Cash: $35,000
What was your highest average household WEEKLY income after tax? $3,850
What is your career? Property and IT
Do you have children? NO
Do you have a tertiary qualification? YES
Did you inherit any of your money? NO
What's the approximate value of your house? $945,000
Are you debt free now? NO
If NO, how much debt do you have and what is it for? $74,000 on mortgage. We are on track to pay off by Dec 2021.
Are you in KiwiSaver? YES
Were you taught about money? YES
If YES, how were you taught? If you can’t pay cash for something you cannot afford it.
What is the most enjoyable thing you do with money? Peace of mind - not having to worry or stress about money. Traveling. Good food.
Do you use your money or your time to help others? YES
If YES, can you please elaborate. Donating, helping out family, volunteering.
What is your greatest financial win? Marrying someone that is on the same page with money. Living off one income (using the other to invest and pay off mortgage early)
What is your worst financial mistake? Not investing in index funds earlier. I wish I had known about the power of compound interest and started when I was in my early 20’s. Instead, I lived paycheck to paycheck until my late 20’s and didn’t really start paying attention to finances until my late 20’s.
What advice do you have for others? Budget! I am a natural spender and find it easy to spend any extra money. A budget keeps us accountable and stops lifestyle creep. Live below your means. Don’t borrow money to buy consumer goods. Pay off debt, including your mortgage as fast as you can, the peace that comes without owing on anything is priceless! (As you may be able to tell I am a huge Dave Ramsey fan)
What is the point of having a net worth above $1,000,000. What does it mean to you? It means we are headed in the right direction with our finances and do not have to stress about money. We are on track to be able to buy back some of our time and have more flexibility in terms of work hours and our careers.
Finish these sentences:
If you want to build wealth do this… Pay attention to your money, you worked too hard just to fritter it away. Spend less than you make and invest the rest.
If you want to build wealth avoid doing this… Keeping up with the Jones (or is it Kardashians now?). Debt - avoid it like the plague!
If these questions don’t adequately tell your story, feel free to briefly elaborate here: We were making about half of what we earn now when we bought our first home (seven years ago). Instead of increasing our lifestyle throughout the years, we have focused on paying down our mortgage and investing for the future, with some luxuries thrown in here and there 😉.