Money Made Simple

In this second episode for 2024 - where has January gone! - Liv and Jennie dish the dirt on KiwiSaver fund types, and why being in the right fund for you is so damn important. Hint: it can make a BIG difference to how much money you end up with at 65 (we're talking potentially tens of thousands of dollars or more!).  We take a look at the five basic KiwiSaver fund types, explain the basics around risk vs returns and chat about why you need to be super realistic about your own attitude to risk.

This week's episode covers:

• What do we actually mean by a "fund" and what are the advantages of pooling your money with other investors - aka managed funds? 
• The five KiwiSaver Fund types - Defensive, Conservative, Balanced, Growth and High Growth/Aggressive - and the very key differences between them
• The risk-reward tradeoff - why you have to accept more risk if you're gonna be chasing those higher returns!
• The role that time plays in choosing the right fund  (i.e. when do you need/want to access this money?)
• Other factors to consider when choosing your own KiwiSaver fund (and provider!)

Resources we mention in this episode:
Sorted.org - KiwiSaver Fund Finder
Sorted.org - Smart Investor
Simplicity - Fund selector tool

One we didn't mention but could be super useful  when looking into what's the right fund type for you:   
Moneyhub: How to choose a KiwiSaver Fund.

Once you've listened to this episode, hopefully you'll have a much better idea (if you don't already!) around if you're in the KiwiSaver fund that suits you best, or whether you maybe need to reassess your fund choice (perhaps using one of the tools above). We want to arm you with the best chance of planning your ideal financial future!

EDITOR'S NOTE:  Simplicity's fees as mentioned in the podcast - 0.25% p.a. for all diversified funds - take effect Thursday 1 February 2024.   Before this date they were 0.29% p.a.

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In the very first episode of Money Made Simple for 2024, Jennie and Liv discuss a very important topic which savvy investors will be all over... diversifying your portfolio! For both KiwiSaver and non-KiwiSaver investments, it's super important not to put all your eggs in one basket. We explain how diversification works, why you should do it and how to make sure your investments have the best chance of success over the long term (spoiler alert - it's super easy!).

This week's episode covers:

• What diversification means when it comes to investing
• Diversifying within asset types and across asset classes (don't worry, we explain the jargon here!)
• An example of investing all your money in a particular share vs in an index fund. And the interesting results over 20 years!
• What happened to the markets during the COVID pandemic
• How to build a diversified portfolio 
• An introduction to passive vs active investment approaches
• Loss aversion theory - and why it's important to understand for success

Resources we mention in this episode:
Find Mercer's Periodic Table of Investments here.

Once you've listened to this episode, we hope that you'll be better set up to shape your own investment portfolio for long-term success. You'll understand why following a diversified, passive investment approach can be the best option to secure your financial future.

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In our 13th and final episode of the year, Money Made Simple hosts Liv and Jennie chat about what has become a hugely problematic part of modern life: financial scams. Scams are becoming more and more prolific, as well as increasingly sophisticated - fooling even the most vigilant people. We provide guidance on how to avoid scams and scammers, the 'watch outs' and how to keep your online data secure. Liv also shares a personal story about someone in her life that has recently been the victim of a scam.

This week's episode covers:

• Up-to-date facts and figures on scams in NZ (scary spoiler alert: 9 out of 10 Kiwis have at least been targeted)
• Some of the most common scams in New Zealand... redirected parcel, anyone?! 
• What to do if you find yourself being smished (we explain!) or phished
• How AI  is driving more sophisicated scams and what to look out for
• Some simple and useful tips on how to keep your online data safe

Resources we mention in this episode:
CertNZ
FMA - Report a scam here

By the end of this  (slightly heartbreaking) episode, you should hopefully have a good awareness of common scams in NZ and some key red flags to look out for. You will have a new mantra - Be suspicious, never share personal info with anyone you don't know and when in doubt DON'T CLICK THAT LINK! And, if you're unlucky enough to have been a victim, you'll know how to report a scam - because the more we can share, the better prepared we can be!

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In this episode of Money Made Simple, Jennie is honoured to introduce Rebecca Roberts, manager of the Simplicity Foundation. The Foundation is an important part of the Simplicity story, founded at the same time as Simplicity NZ Ltd back in 2016. From the very start, the Foundation has received 15% of fees charged to our KiwiSaver and Investment Fund members - subsequently donating this money to a range of awesome Kiwi charities across the country. Jennie and Rebecca discuss why the Foundation was set up, who's involved and what sort of charities they are supporting.

This week's episode covers:

• How the Foundation is structured and run, and who's involved
• How members actually benefit from Simplicity being a nonprofit owned by a charity - beyond the feel good factor of course!
• How Simplicity members determined the giving priorities of the charity
• The four pillars that the Foundation bases charity giving around
• How much the Foundation donates a year, and how much this translates to per member (it might shock you!)
• Some examples of Kiwi charities members help support, and the awesome mahi they are doing in their communities
  
  

Resources we mention in this episode:
Simplicity.kiwi/our-charity

By the end of this episode, we hope you’ll have a better idea of how the Foundation works and some of the amazing groups being supported, as well as that "aha moment" that this is truly a win-win situation for Simplicity members and Kiwis in need. And even if charitable giving isn’t a key reason why every member chooses to invest with Simplicity, it is something we can all be proud to be part of %) 

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In this episode of Money Made Simple, Jennie and Liv are addressing the "elephant in the room" of the finance industry: the many types of fees and interest charged (which help generate those significant profits you keep hearing about in the news!). They provide some simple examples of how paying higher fees can impact the amount of money you accrue via your savings or investments over the long term, or the amount of interest you'll pay over the lifetime of a debt.

This week's episode covers:

• Average fees charged on your KiwiSaver balance, and how these can add up over a year and over the longer term
• The difference between paying 1% in fees vs 0.29% in fees (all things else being equal!) 
• A look at the total amounts and percentages of fees taken by KiwiSaver providers in NZ for managing your money
• How to be "paranoid" about the fees and interest that you pay when using any banking services
• The difference that interest rates can make over the life of your mortgage - with relevant examples of course!

Resources we mention in this episode:
Sorted.org fee calculators
Money Made Simple audio book

Once you've listened to this episode, we hope that you will have a clear understanding of the impacts that higher vs lower fees can have across many areas of financial services - and, of course, that fees are but just one variable to consider when it comes to choosing how to manage your own personal finances. And who you get to manage them!

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In this 10th episode of Money Made Simple, Liv and Jennie are here to convince the naysayers out there why KiwiSaver is SO handy - by bringing you their super-duper, absolute favourite benefits of the scheme. They highlight a range of cool things that make New Zealand's retirement savings scheme unique, as well as tips for how you can make the very most of some of these benefits (whether you're new or well-versed in how it all works). 

This week's episode covers:

• How compounding returns are so powerful to your future balance (with examples of course!)
• Why KiwiSaver can be one of the easiest ways to build that nest egg without too much hard work... automating stuff is key!
• How investing in KiwiSaver means you're not saving alone... "Santa's little helpers" are here to help you get richer along the way
• How KiwiSaver helps facilitate the Kiwi Dream... first home benefits,  anyone?!
• Some lesser known benefits around the level of protection (aka regulation) your KiwiSaver offers your hard-earned moolah

Resources we mention in this episode:
Sorted.org KiwiSaver calculator
Money Made Simple audio book

Hopefully, by the time you get to the end of this episode you'll be TOTALLY convinced that KiwiSaver is the best thing since sliced bread, and equipped with the knowledge to make it work as hard for you as you can (there are lots of things you can do to to optimise it, btw!). There are lots more benefits we'll probably cover in the future - but we think these five are a great reason to spread the good word %)

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In this episode of Money Made Simple, Liv welcomes a new guest to the show - Dan Maguire, Simplicity's co-head of lending. Liv and Dan chat all about mortgages in New Zealand. They break down exactly what a mortgage loan actually is, how they work, and de-mystify the different types of mortgages you may hear thrown around by home owners and investors alike!

This week's episode covers:

• The simple mechanics of how a mortgage works
• Who offers them (and who can get one)
• The main different types of mortgages you can take out (we explain the nuances - offset, table, revolving credit; all the jargon!)
• The in's and out's of fixed and floating rates
• How and why Simplicity is able to offer lower cost mortgages to its KiwiSaver members buying a first home
• Eligibility requirements for Simplicity first home loans

Resources we mention in this episode:
Sorted.org mortgage calculators
Interest.co.nz borrowing hub
Moneyhub mortgages comparison

The subject of mortgages can seem convoluted and tricky, we know. So hopefully by the end of this episode you'll have a clearer idea of how they work, what you need to do to get one, and what kind of mortgage may suit your needs (either now or in the future)! You'll also know more about Simplicity's low-cost first home loans.

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In this episode of Money Made Simple, Liv and Jennie flip last week's episode on its head and chat about "good" debt, in part two of the debt conversation. They explain why borrowing money for certain things in life can actually improve your financial standing (remember: net worth!) in the long run.

This week's episode covers:

• Two particular types of debt that are considered good
• The value of post-secondary education (and we don't just mean Uni) in terms of dollars and cents
• How student loans actually work - and how much better they are than back in Jennie's day!
• The tricky topic of home ownership in NZ - and why it's so entrenched as the Kiwi dream
• Why there's such a HUGE difference between mortgage debt and consumer debt - for several reasons
• Our personal stories around home ownership

Resources we mention in this episode:
Sorted.org calculators

Hopefully by the end of this episode you'll have a SUPER clear idea around what types of borrowing you don't need to be afraid of, and how to use debt that will quite literally "pay off" in the long run. 

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In this episode of Money Made Simple, Liv and Jennie are tackling debt! This episode is part one of two, focusing first on what we call the "bad" type.  Acknowledging that things aren't always as black and white as "good debt" or "bad debt", they explain why they are making this distinction and what the implications of bad debt are, in the short and long term.

This week's episode covers:

• What exactly we mean by "bad" vs "good" debt 
• The long-term impacts of bad debt
• The pros and cons of credit cards and buy now pay later (BNPL) schemes like Laybuy or Afterpay
•  Some handy (and maybe not so obvious) tips for tackling debt
• How credit cards MIGHT sometimes be useful (hint - you need to be REALLY disciplined!)

 Resources we mention in this episode:
Sam Stubbs' Money Made Simple ebook

We hope that by the end of this episode, you can start to differentiate between different types of debt, and their impacts on your finances over the long term. In this way you can start to cut bad debt out of your life, for good! And live happily ever after (too far, we know, felt cute). %)
 

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

Find us:
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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.

In this episode of Money Made Simple, Jennie and Liv chat aaalllll about KiwiSaver contributions. They provide an overview of what the four different contribution types are (and how they work), how to keep track of them, and most importantly how to make them work harder for you... so you can grow the retirement nest egg you deserve!

Key outtakes from this episode include:

• Check your employee contribution %, and use tools (linked below!) to make sure that it suits your needs (eg. for your first home purchase or to get to your retirement goal)
• If you can, make sure you qualify for the maximum Government Contribution - it is literally free money. 
• If you have a windfall, consider using some or all of this as a voluntary contribution - it could have a big impact to your long-term balance
• If you experience an income and expense crunch, consider a savings suspension, but do this wisely - there can be significant consequences

Resources we mention in this episode:
- sorted.org
- simplicity.kiwi (Retirement Calculator)

Hopefully you'll finish this episode understanding exactly how KiwiSaver contributions work, and feeling empowered to make them work hard for you (and not the other way round!).

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Please help us share the good word (and make Kiwis richer and smarter with money) - the more we grow, the more good we can do %) Don't forget to follow, subscribe and rate the podcast if you found it useful!

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Disclaimer: This podcast contains personal opinions and is intended to provide educational information only. It doesn't relate to your particular financial situation or goals and is not financial advice or recommendations. Simplicity New Zealand Limited is the issuer of the Simplicity KiwiSaver scheme and investment funds. For product disclosure statements please visit Simplicity's website simplicity. kiwi.