What is your net worth? $1,300,000
Are you filling this out as an individual or a couple? Couple
At what age(s) did you become a net worth millionaire? 36 and 38
What region of New Zealand do you live in? Hawke's Bay
How did you accumulate your net worth, what are you invested in? Starting out young by using saving accounts and term deposits in the bank from around five years of age. Then by joining KiwiSaver in my early twenties, followed by investing in property in my early thirties, and finally investing in the share market, mainly in ETFs since my mid- thirties.
What was your highest average household WEEKLY income after tax? $2,200
What is your career? Originally a teacher, now self-employed.
Do you have children? YES
Do you have a tertiary qualification? YES
Did you inherit any of your money? YES
If YES, how much did you inherit? $50,000
What's the approximate value of your house? $930,000
Are you debt free now? YES
Are you in KiwiSaver? YES
Were you taught about money? YES
If YES, how were you taught? I was taught through the modelling of good money management. My mother was a stay-at-home mum, my father was a self-employed builder where he only got 'paid' when he sold a property; sometimes every 18 months-2 years. So they were both a fantastic team and needed to budget to ensure our family of six never went without. I learnt that it's important to pay yourself first, to buy everything in cash, to not try to keep up with the Jones', that cars are liabilities, that banks are not your friends, that it's smart to buy a house within your means and pay it off as soon as possible, that having an education helps you to earn more money, and the basics about financials like how interest works, how to budget and how to live frugally.
What is the most enjoyable thing you do with money? Great question! At the start of this year (2023) I resigned from my job as a teacher to be a stay-at-home mum with my two young kids. I have in essence bought my freedom by having less money coming in to have more time with them.
Do you use your money or your time to help others? YES
If YES, can you please elaborate. I volunteer my time at the local kindergarten, primary school and local public swimming pool.
What is your greatest financial win? Paying off our mortgage in 6.5 years. I could never have taken time off work this year if we were still paying off a mortgage with higher interest rates.
What is your worst financial mistake? Not making more of an effort while at university to not take out a student loan, or at least not max it out. I should have also tried to get some scholarships to help cover the studying and living costs.
What advice do you have for others? Educate yourself by finding out how to do more with less, and how to build your investments. Try to surround yourself with people who will positively influence you. When you can, buy back your time, especially when your kids are young as you can't get that time back. And lastly, you are your greatest asset; so invest in YOU!
What is the point of having a net worth above $1,000,000. What does it mean to you? It's a great grounding and has given us some more options. It'll inevitably be the hardest million in our wealth creation, but the first step of the journey is always the hardest, so reaching $1,000,000 has mentally been a big win for us.
Finish these sentences:
If you want to build wealth do this… increase your income, decrease your spending, and invest the difference.
If you want to build wealth avoid doing this… spending money on things that you do not need or won’t make you happy.