What is your net worth? $3,750,000
Are you filling this out as an individual or a couple? Individual
At what age(s) did you become a net worth millionaire? 40
What region of New Zealand do you live in? Bay of Plenty
How did you accumulate your net worth, what are you invested in? I’m a great saver, have spent less than I earned for all of my life and as savings grew, invested in term deposits and then investment funds. When I had enough savings at 28 I bought my own home.
What was your highest average household WEEKLY income after tax? $1,750
What is your career? Aviation
Do you have children? NO
Do you have a tertiary qualification? NO
Did you inherit any of your money? NO
What's the approximate value of your house? $1,750,000
Are you debt free now? YES
Are you in KiwiSaver? YES
Were you taught about money? NO
What is the most enjoyable thing you do with money? Currently, I am really focused on building up funds for retirement which is approximately 8 years away. I really enjoy saving towards essential needs and then buying it without debt or credit cards. I have made up for the decades of lost/not spending on clothes, drinking and buying cars!
Do you use your money or your time to help others? YES
If YES, can you please elaborate. I no longer buy my nieces or nephews gifts and toys, I put money into their Simplicity Investment accounts (I encouraged their parents to open) and want to get them learning how to save consistently.
What is your greatest financial win? Renovating and selling my first townhouse, right at the peak of the property market.
What is your worst financial mistake? Overcapitalisation on renovating my second home with my ex partner who had very expensive tastes! Thankfully, I’ve stayed here for long enough that it no longer matters.
What advice do you have for others? Spend less than you earn, save as much as you can. Invest consistently, pay off debt as quickly as possible - it felt like my mortgage would never go away, then I started paying it down with lump sums i.e. $500 a time to pay it down faster when able and that took years off!
What is the point of having a net worth above $1,000,000. What does it mean to you? I’ve been made redundant 3 times in my life and because I had an emergency savings account and then built up investments, never got caught out like many poor buggers. I feel a real sense of security now and I have “FU” money i.e. I can quit my job any time I want. Ironically, I love my job, so that’s unlikely 😆
Finish these sentences:
If you want to build wealth do this… Spend less than you earn and save the balance. Have fun in life, but ask yourself “do I really need yet another pair of shoes, that 8th pair of jeans or the latest iPhone?” I saved the money instead, paid down my mortgage, then started investing and know my retirement will be one of choices (unlike our parents who lost most of their savings in the Hanover finance collapse).
If you want to build wealth avoid doing this… Don’t put all your eggs in one basket - spread your investments across a few different categories and investment firms, in case like our folks, one goes broke!
If these questions don’t adequately tell your story, feel free to briefly elaborate here: Although our parents didn’t specifically teach me about money, in our day at primary school, we had a savings account and banking day on a Wednesday. That taught me how to save (and I liked it!) which has made a huge difference throughout my life. As I approach retirement, ironically that Government savings programme for primary school kids has effectively meant I am where I am now, secure and happy.