Podcast Summary
Understanding Retirement Funds: Simple and Effective Savings: Retirement funds, like KiwiSaver, are easy-to-understand managed funds for retirement savings. Early contributions maximize returns due to compound interest.
Retirement funds, specifically KiwiSaver in New Zealand, are not as complex as they may seem. Despite common misconceptions, retirement funds are simple managed funds that allow individuals to make regular contributions towards their retirement. The earlier one starts, the better the outcome due to the compound interest model. Tammy Paper, the manager of investor capability at the Financial Markets Authority in New Zealand, emphasized this during a conversation on the Girls That Invest podcast. She also debunked the myth that retirement is only for older adults, encouraging listeners to start planning early. ShareSite, an investment dashboard, can help investors manage their retirement funds and other investments in one place, offering comprehensive insights and reports.
Starting Your Retirement Savings Journey: Research providers, use calculators, and regularly check statements to make informed retirement savings decisions.
Starting your retirement savings journey, no matter the age or country, is essential. The speaker shared her experience of joining KiwiSaver in New Zealand, which is similar to retirement funds or pension funds in other countries. When she first started, she researched her options and made an active choice about her provider. She also used an online calculator to estimate her retirement balance. The KiwiSaver annual statement provides valuable information, including projected retirement balance, fees, and personal information. Regularly checking this statement can help individuals stay informed about their retirement savings progress. Misconceptions about retirement savings exist in every country, so it's essential to educate yourself and start saving as early as possible.
Facing Your Financial Situation for Retirement: Ignoring retirement funds can lead to avoidance behavior, but using tools and taking an active role can help make informed decisions and improve outcomes.
Ignoring your KiwiSaver or other retirement fund statements can lead to avoidance behavior due to potential pain and shame, but facing your financial situation and using tools like Sorted and calculators can help you make informed decisions and understand your retirement journey. Human nature often leads us to put financial matters in the "too hard basket," but reframing statements as a roadmap of progress and a necessary step towards financial well-being can help overcome this. It's important to remember that default settings may not be best for everyone, and taking the time to be active in your financial decision making can lead to better outcomes.
Setting retirement goals with KiwiSaver: Understand KiwiSaver basics, set retirement goals, assess time frame, align investments with ethics, and set short-term and medium-term goals.
Effective goal setting for retirement involves understanding the basics of KiwiSaver, determining the goal of your savings, assessing your time frame until retirement, aligning your investments with your personal ethics, and setting shorter and medium term financial goals to make the concept of retirement feel more attainable. When deciding on a KiwiSaver fund, consider your time horizon and risk tolerance. For those with a longer time frame, a more aggressive fund may be suitable. Additionally, it's essential to consider your personal values and ethics when making investment choices. Setting short-term and medium-term goals can help make retirement seem less daunting and provide motivation for consistent contributions. Remember, if retirement seems too far away, breaking it down into smaller goals can make the journey feel more manageable.
Accept contactless payments directly from iPhone with Stripe's tap to pay: Stripe's tap to pay on iPhone simplifies transactions for businesses, increasing revenue, expanding reach, and enhancing customer experience. Individuals should ensure they're with the right retirement fund provider, review fees, and stay in the right fund based on life stage and goals.
For business owners, every transaction represents the culmination of their hard work and dedication to their customers. To simplify and streamline the payment process, Stripe introduces tap to pay on iPhone. This game-changing solution allows businesses to accept contactless payments directly from their iPhones without requiring additional hardware. It caters to businesses of all sizes, enabling them to scale quickly and stay flexible with a quick setup. The benefits include increased revenue, expanded reach, and enhanced customer experience. For individuals, conducting regular hygiene checks on retirement funds is crucial. The starting point is ensuring you're with the right provider, one that aligns with your personal values and delivers the communication you need. Additionally, it's essential to be in the right fund based on your life stage and investment goals. Regularly reviewing fees and future projections helps maintain a clear perspective on your financial situation and long-term goals.
Start planning and saving for retirement early, but it's never too late: Small changes in retirement savings can lead to significant differences in long-term financial goals. Utilize resources like Sorted's calculator to help plan and visualize your financial future.
It's never too late to start planning for retirement, no matter your age or current financial situation. The speaker shared her personal experience of starting from scratch at 40 after moving to a new country and having to rebuild her retirement savings. She emphasized the importance of starting as soon as possible, but also encouraged those starting later not to be discouraged. The speaker also highlighted the power of small changes in contributing to retirement savings. For example, increasing your KiwiSaver contribution from 3% to 4% can result in over $33,000 more at retirement. These small tweaks can have a significant impact on your long-term financial goals. Additionally, the use of tools like Sorted's calculator can help provide a clear picture of your financial situation and goals, including planning for retirement and major expenses like buying a house. The ability to visualize your financial growth towards retirement is a powerful motivator and can be incredibly empowering. So, in summary, start planning and saving for retirement as early as possible, but don't be discouraged if you're starting later. Every contribution counts, and small changes can lead to big differences in your long-term financial goals. Utilize resources like Sorted's calculator to help visualize and plan for your financial future.
Understanding Your KiwiSaver Fund and Setting Financial Goals: Review your KiwiSaver fund, set clear financial objectives, and make adjustments as needed to secure your retirement future.
Taking charge of your retirement funds starts with understanding the product you have and setting clear financial goals. First, get to know your KiwiSaver fund and reflect on your financial objectives. Second, review your annual statements and consider if you're in the right fund and if your contributions can be adjusted. Lastly, don't let feelings of overwhelm or negativity lead you to make hasty decisions. Instead, stay calm and take small, actionable steps towards securing your financial future. The upcoming KiwiSaver campaign in June aims to help people make the most of their statements and finances by providing practical tips and resources. Remember, even small contributions can make a significant difference over time.
Managing Mental and Emotional Well-being During Financial Uncertainty: Limit news intake, focus on positive headlines, set boundaries, be disciplined with money, prioritize mental health, and avoid impulsive decisions to make better financial decisions and overall well-being.
Maintaining mental and emotional well-being is crucial during uncertain financial times. Tammy shared her personal experience of being overwhelmed by the constant news and negativity, leading her to limit her news intake and focus on positive headlines. She also emphasized the importance of setting boundaries and being disciplined with money, especially with long-term savings like KiwiSaver, which is locked until retirement age. By hiding savings accounts and setting regular check-ins, individuals can avoid impulsive decisions and stay focused on their financial goals. Ultimately, prioritizing mental health and setting boundaries can lead to better financial decision-making and overall well-being.
Remember, personalized advice is key: While learning from others can be helpful, always make informed decisions based on your unique financial circumstances.
While Girls That Invest provides valuable educational content on investing, it's important to remember that the advice given is general in nature and not personalized. It should not be relied upon to make an investment or financial decision without doing thorough research and using your own due diligence. Always keep in mind that everyone's financial circumstances are unique, and what works for one person may not work for another. So, while learning from others can be helpful, it's crucial to make informed decisions based on your individual situation. Additionally, it's important to note that Girls That Invest is not a financial advisory service, and its members are not financial advisers. Stay informed, stay curious, and make smart investment decisions based on your unique circumstances.
