As 2024 draws to a close, Lifetime proudly reaffirms its partnership with JANZ and shares important updates on investment and insurance benefits. Discover how changes to ANZ’s NZRT and AIA’s MyCare can impact you, and let us extend our warmest holiday wishes for a joyous festive season.
The intergenerational wealth transfer is an opportunity to create lasting financial security for your family, but it’s not without its challenges. Here are some considerations to take into account.
AMP has appointed BlackRock, one of the world’s largest asset managers, to replace ANZ as the new underlying investment manager of the ANZ Funds, which will be renamed the ‘Global Select Funds’.
In addition to the Judiciary Group schemes, Lifetime is also able to offer a Lifetime Financial Planning Service. No matter what age or life stage, we are here to help you achieve your financial goals.
AIA’s MyCare (previously known as Best Doctors) is an additional benefit to the AIA Judiciary Insurance Scheme and there is no cost to the members. It has been a year since I last talked about MyCare in the JANZ newsletter, so I thought it was time to remind you all of this wonderful service and its benefits to you and your family.
In December 2021, the Best Doctors services was added to the AIA Judiciary Insurance Scheme, for no cost, to the members. I have had a few enquiries about Best Doctors of late, coupled with a request from a staff member at Lifetime for a reminder about this wonderful service. This has led me to do a recap and a reminder about the benefits of it and how to access it.
1. They keep learning
Once they’ve identified areas in which they want to gain wealth, they start educating themselves in those fields. You can invest in your self-knowledge by reading the relevant books, following the right bloggers and spokespeople. There are a lot of resources out there (although it’s important to first check their credibility) that will help educate your financial decisions. Or of course just ask your adviser for updates – we live and breathe this stuff every day.
2. They ask for what they want
Asking for what you want takes confidence and belief in your own value. Allow the experience of mentors, within an official and unofficial capacity, to guide you on what to ask for and when. It’s all part of the old adage – if you don’t ask, you don’t get.
3. They get onto the property ladder early
Buying a house as early as possible opens up the opportunity for other investments. By then paying off your mortgage as quickly as you can, you can decrease your interest costs and keep more money in your own pocket. Once you reach particular loan-to-value ratios, you have the ability to leverage other investments off of your property and use money you formerly spent on mortgage repayments on potential income sources like managed funds.
4. They seek out passive income options
Passive income is the money received for little effort or personal time from investments such as rental properties and shares. If you’re looking at long-term passive income, rental properties could be a good option as often you’ll have tenants paying off the mortgage. Receiving regular lump-sum dividend payments from shares in a company is another option for passive income.
5. They run their personal finances like a business
Know the importance of budgeting and cashflow. A clear budget helps keep you on top of your spending and make you aware how much you actually have leftover to invest.
6. They spend and borrow smartly
Ideally all spending should be done with cash that you have and not bought on credit or higher purchase, as you’ll be subject to higher interest rates. Try not to borrow money for things that decrease in value. If you do need to borrow money, make your mortgage work for you. Do not make the mistake of setting the loan up within the mortgage as you’ll end up paying interest on the item over the lifetime of the mortgage.
7. They invest
Options for generating wealth are spread over multiple platforms.
8. They insure
Time, effort and money into organising their finances and growing wealth are protected by the right insurance. What insurance you need depends on your personal situation and who you need to take care of. For example, your family.
9. They seek advice
Successful people leverage the knowledge and advice of professionals. For your money matters, financial advisers are well placed as it’s their job to know what’s going on and stay up to date. An adviser will help you create a tailored financial plan based on your goals, objectives and risk tolerance. Every individual requires a unique plan, which will develop throughout your lifetime as your circumstances, priorities and goals change.
Many first-time home buyers, often younger people, are finding it difficult to get their first mortgage. With most banks requiring a 20 per cent deposit to obtain a home loan, raising the initial capital can be the most difficult part. Lifetime has a few tips (or mortgage hacks) for those hoping to give their loved ones a helping hand onto the property market.
In December last year, the Best Doctors services was added to the AIA Judiciary Insurance Scheme, for no cost to the members. It is a fantastic service on its own and is also well suited and complimentary to the JANZ Sanctuary Care Program. This month we have added video clips that you can view at your convenience and how to steps to access your member portal
Kiwis won’t forget 2021, the year of sudden change to the way we live in New Zealand following the outbreak of Covid and the lengthy lockdowns that followed for some, but not others. This has been a particularly stressful time for so many people and now we will get our collective heads around a new version of ‘traffic lights’. Health and safety remain a priority focus at Lifetime and we are closely following all government guidelines to make sure we keep our staff and clients safe.
New Zealand’s gender pay gap is unlikely to be going anywhere anytime soon and the impact of earning less over a lifetime has an enormous effect on a woman’s immediate and future financial security. This is compounded by a lower level of workplace participation, a tendency to seek part-time casual work and bear the bulk of caring responsibilities for children and other family members. So how can women bridge the gap? Here are some tips on how to build wealth and make positive steps towards pay equity and financial independence despite and in spite of the hurdles women face.
