Financial stress: Kiwi parents can overcome it with guidance

Health insurer nib has recently released some sobering statistics regarding Kiwi parents and financial concerns. Yet, within these numbers lies a testament to the resilience of New Zealand families. 

Our message is that, with the right financial strategies and forward-focused mindset, parents can pave a brighter path forward for their households. We’ll return to that. But first, here’s what nib has found. 

Some key findings

The survey doesn’t paint a rosy picture:

• 93% of households surveyed face financial stressors. 
• 49% of all respondents said that financial uncertainty was their main source of household stress (compared to 41% in 2022, and 35% in 2021). 
• More than half of families surveyed admitted to eating less or differently to keep their costs down. 
• 66% of parents surveyed said cost of living was their top concern when thinking about their children’s future. 

This is, unfortunately, not surprising. With the inflation rate currently over 6% and the OCR at its highest rate in 14 years (4.75%), we’ve seen mortgage rates jump up significantly and food prices increase by 8-9% annually.

The importance of looking after your well-being

Inevitably, financial concerns end up affecting many areas – like the quality of relationships with friends and family, and even the amount of time spent with their children. 

As nib’s parenting expert Nathan Willin pointed out, that’s why it becomes all the more important for parents to look after their wellbeing. 

“It might be as simple as taking a walk to connect with nature, calling a friend for a quick catch up or having a relaxing bath after the kids have gone to bed,” said Willis. “By regularly taking time for yourself and your relationship with your partner, friends and family you’ll be better able to show up for your kids.”

Seek professional financial support

Financial hurdles might seem overwhelming, especially when juggling the responsibilities of parenthood. But one vital thing to remember is that parents don't have to navigate these challenges on their own. As your financial adviser, we're here to help you make well-informed decisions. 

We can offer personalised advice on budgeting, investments, and savings to give you that essential financial cushion. 

Remember: your financial well-being is deeply intertwined with your overall happiness and peace of mind. And while no one has a crystal ball, with planning and forward-thinking, the future can look much brighter. Let's work on your financial well-being together, taking one informed step at a time.

The information contained in this publication is intended for general guidance and information only. It has not been personally prepared for you. Therefore, you should not act on this information if you have not considered the appropriateness of this information to your personal objectives, financial situation and needs. You should consult with us before making any investment decision. Historical market performance may not be indicative of future market performance.

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