Getting on track

For many New Zealanders getting into good shape financially is about ‘little and long’.

It’s not a very exciting message and it doesn't get the heart racing like ‘buy now, pay later’ but it works.

A little bit of saving early adds up, interest goes on top and then you earn interest on the interest – which is a thing called compounding. (It’s such an amazing thing it should really have a better name, just quietly.) Even if you stop adding to it, it keeps getting bigger.

And having savings feels good. Buying things feels good too but it can wear off quite quickly. The pleasure of savings sticks around. Then when you finally spend it, that feels even better.