What is your net worth? $2,100,000.
Are you filling this out as an individual or a couple? Individual.
At what age(s) did you become a net worth millionaire? 48. But I was a full-time mum when the kids were little, so it took longer to achieve.
What region of New Zealand do you live in? Auckland.
How did you accumulate your net worth, what are you invested in?: Buying property in a growing market enabled buying a house mortgage free. Then I started investing in shares and contributing to superannuation, including voluntary contributions.
What was your highest average household WEEKLY income after tax? $1,400.
What is your career? Management Accountant.
Do you have children? YES.
Do you have a tertiary qualification? YES.
Did you inherit any of your money? NO.
What's the approximate value of your house? $1,600,000.
Are you debt free now? NO.
If NO, how much debt do you have and what is it for? Mortgage: $60,000.
Are you in KiwiSaver? YES.
Were you taught about money? YES.
If YES, how were you taught? My mother budgeted well and I watched what she did when I was a kid. This lesson was well used with my mortgages and investments.
What is the most enjoyable thing you do with money? Solve financial problems. E.g. how to structure my mortgage to pay it down faster than its full term. And tracking my net worth, and tracking my expenses. And getting good value when I buy.
Do you use your money or your time to help others? YES.
If YES, can you please elaborate. Donate to a registered NZ charity and volunteer when I’ve got time.
What is your greatest financial win? Learning Robert Kiyosaki’s cash flow charts where the preferred method is for income to pay for assets that pay expenses. Instead of what most people do: use income to pay expenses.
What is your worst financial mistake? Renting for too many years and presuming I’d never be able to afford a house. Once my first house was purchased, I worked hard on my presumptions and eventually realised a way through them. Personal development played a huge part. Buying a house was the first step in my financial education.
What advice do you have for others? Mortgages accumulate interest each day, so today’s interest will add onto tomorrow’s interest et al for the life of your mortgage. Try to structure your finances so you can make voluntary payments to it - as these payments reduce your principle.
What is the point of having a net worth above $1,000,000. What does it mean to you? Freedom to enjoy my life outside work more and assurance if I lose my job. But mostly I’d like to be available to enjoy and help my children and their children.
Finish these sentences:
If you want to build wealth do this: Save more than 50% of your income and invest it.
If you want to build wealth avoid doing this: Spend money on things you don’t need.