Forum Home
PC World Chat
Thread ID: 119975	2011-08-19 08:09:00	Benefit changes	Nomad (952)	PC World Chat

Post ID	Timestamp	Content	User
1224476	2011-08-21 06:27:00	Why invest in financial markets if one could just invest in properties which is generally safer and it's free from capital gains tax. A property is a investment and should be treated the same as any other investment. It provides shelter and it's an asset. Prior to the Christchurch earthquakes land/property used to be pretty much the most solid long-term investment you could make. Not any more. If you have a section either for investment or for future building on and it has no buildings on it then it cannot be insured. A lot of land in Christchurch was severely damaged in the quakes and can no longer be built on. If that damaged land had no house on it then the owner is now completely out of pocket with no compensation or insurance protection. Any land that had an earthquake damaged house on it also lost its insurance protection once that house was demolished. Whilst that damaged house remained on the land, however, it still had EQC land protection. Land with a house on it is not always a secure investment either, when it comes to earthquakes and other natural disasters, as these people (Lucky the Chinese have plenty of people to throw away.) are finding out. :(	FoxyMX (5)
1224477	2011-08-21 06:56:00	I forsee the day in the not too far distant future where all benefits will be delivered via a debit card that will have a range of specified exclusions and limitations . So, for example you could only purchase just so many ciggies or booze per benefit period and after that the purchases would be declined . Rent woukld be direct credited to the Landlord (in exchange for which perhaps a lower rental might be charged as a quid pro quo for guaranteed rental income and no arrears) and the TAB or other gambling would be blocked . Cash-out would limited to a specified maximum transactions per day and net sum per week to allow for incidentals (that would hit the tinnie house and drug market), and transactions of all type other than medical perhaps would be limited to a maximum daily sum . If beneficiaries have not been taught budgeting, or are under pressure from rellies to hand over money, a debit card would make good sense under those conditions, provided that the safety net was still there for unexpected medical or educational expenses . As a qualified budget advisor I have first-hand knowledge of how many people get themselves into huge debt . Nine times out of ten it is lack of self control and an unwillingness to make sacrifices and resist buying consumer items "now" instead of saving up to pay for them without taking out a loan . It really makes me cringe how stupid some people can be when they just blindly keep taking out more and more loans and using HP to buy items that really are not necessary, like 40" LCD TVs, $15,000 cars and the latest smart phones . One lady I saw not long ago had a total income of $800 per week when her loan outgoings and other expenses were well over $1100 per week . She was $2200 in rent arrears for that house and owed $1700 rent for the previous house . All up she was $25,000 in debt and had no way of repaying most of it . Unbelievably she said that she had promised her daughter an overseas holiday next year . I helped her as far as I could but she will have to face up to reality and go bankrupt to get out of the mess she was in . That meant losing everything she had . Her case was the worst I have dealt with but my budget advisor colleagues have reported other people just as bad so it is not completely uncommon . A friend of mine who works in a supermarket tells me that a lot of people with "emergency food coupons" (or whatever they are called) have baskets full of the expensive shampoos, body sprays, chippies, biscuits and other unnecessary items instead of the basic food they were supposed to be buying . A debit card that limits the types of grocery items that can be bought would prevent this kind of luxury indulgence with our tax money . I have gone without and made sacrifices in order to keep my budget under control so they jolly well can too . :mad:	FoxyMX (5)
1224478	2011-08-21 07:40:00	As a qualified budget advisor I have first-hand knowledge of how many people get themselves into huge debt . Nine times out of ten it is lack of self control and an unwillingness to make sacrifices and resist buying consumer items "now" instead of saving up to pay for them without taking out a loan . It really makes me cringe how stupid some people can be when they just blindly keep taking out more and more loans and using HP to buy items that really are not necessary, like 40" LCD TVs, $15,000 cars and the latest smart phones . One lady I saw not long ago had a total income of $800 per week when her loan outgoings and other expenses were well over $1100 per week . She was $2200 in rent arrears for that house and owed $1700 rent for the previous house . All up she was $25,000 in debt and had no way of repaying most of it . Unbelievably she said that she had promised her daughter an overseas holiday next year . I helped her as far as I could but she will have to face up to reality and go bankrupt to get out of the mess she was in . That meant losing everything she had . Her case was the worst I have dealt with but my budget advisor colleagues have reported other people just as bad so it is not completely uncommon . A friend of mine who works in a supermarket tells me that a lot of people with "emergency food coupons" (or whatever they are called) have baskets full of the expensive shampoos, body sprays, chippies, biscuits and other unnecessary items instead of the basic food they were supposed to be buying . A debit card that limits the types of grocery items that can be bought would prevent this kind of luxury indulgence with our tax money . I have gone without and made sacrifices in order to keep my budget under control so they jolly well can too . :mad: Perhaps beneficiaries would like to own nice things as well, as those that work . Sometimes it's forgotten that for older beneficiaries that they once worked, and contributed . I used to help out budgeting a little with beneficiaries, and pressure comes on for teenage kids they may have, to try keep them happy with nice but unaffordable things . Beneficiaries will HP/book up/credit up/ to keep up, if not for themselves, but for their kids . For some the most luxury they may ever see, is indulgence that you describe, which many main stream NZ's might have as standard . As reported recently in the NZ Herald recently, a beneficiary admitted spend 20 dollars a week on her cigarettes - saying it was her only luxury or "lolly"; Never mind they lost their jobs as workers, no savings, supporting young to old kids, etc .	kahawai chaser (3545)
1224479	2011-08-21 07:50:00	My budgeting would be much simpler if I didn't have to support the Inland Revenue mob that claims to be a service.	R2x1 (4628)
1224480	2011-08-21 08:05:00	When we go open homing especially the last time we moved you could always tell if a house was a rental pretty much as soon as you walked into the lounge as the rental properties are nearly always the ones with the biggest LCD TV's	gary67 (56)
1224481	2011-08-21 10:17:00	Perhaps beneficiaries would like to own nice things as well, as those that work . Sometimes it's forgotten that for older beneficiaries that they once worked, and contributed . I used to help out budgeting a little with beneficiaries, and pressure comes on for teenage kids they may have, to try keep them happy with nice but unaffordable things . Beneficiaries will HP/book up/credit up/ to keep up, if not for themselves, but for their kids . For some the most luxury they may ever see, is indulgence that you describe, which many main stream NZ's might have as standard . As reported recently in the NZ Herald recently, a beneficiary admitted spend 20 dollars a week on her cigarettes - saying it was her only luxury or "lolly"; Never mind they lost their jobs as workers, no savings, supporting young to old kids, etc . Sure they want nice things like other people, just like I did when I was younger . My parents hardly had two bob to scratch together when I was a kid so I never had all the cool toys that my friends had . I also grew up wearing many hand-me-down clothes . I didn't like it but I didn't complain and neither did I go hungry because my parents did not smoke, booze or waste their money on non-essentials like many parents do these days . I also know very well the intense pressure from children to have what latest toys and brand name clothing their peers had, having been down that road, but refused to buy into it on principle . It was hard work, self-discipline and sacrifice that got us where we are these days, not an "I want it and I want it now" philosophy . If we can't afford it we go without, it is as simple as that . And no, I do not lecture budget clients on what they spend their money on . My job is to create a budget for them and provide assistance only if they ask for further help in managing their money .	FoxyMX (5)
1224482	2011-08-21 21:00:00	As a qualified budget advisor I have first-hand knowledge of how many people get themselves into huge debt . Nine times out of ten it is lack of self control and an unwillingness to make sacrifices and resist buying consumer items "now" instead of saving up to pay for them without taking out a loan . Yes . I know a few people like that . They worked, well, at least one in the family . Unbelievably stupid . It's the credit age - want a big TV like on the ads - time payment . I know one lot of idiots who had a fairly modern Honda van . They then traded it in and got another one of the same thing - but newer . It cost another $15000 after the tradein and they put it on payments for 5 years . They also took "death insurance" on it from the car finance people because "they had to" . Why get another? Because the rego and WOF were due on the old one and they didn't have the money for it . Seriously . I think there should be compulsory budget classes in schools .	pctek (84)
1224483	2011-08-21 21:26:00	+1 Pctek	Gobe1 (6290)
1224484	2011-08-21 22:29:00	Prior to the Christchurch earthquakes land/property used to be pretty much the most solid long-term investment you could make. Not any more. ( It's their own choice. They can put it in a bank, purchase a property or put it on the sharemarket. Even a bank is not totally safe in theory.	Nomad (952)
1224485	2011-08-22 00:10:00	About 15 years ago I was on the dole on a limited income. The choice I made was that the two things I needed most were food and shelter so these took priority. I used to buy the basics in groceries like flour, potatoes, vegetables, milk, etc. I took advantage of specials and usually spent about $30 a week on groceries. I had a power meter that allowed me to pay for my electricity in advance, about $10 per week. Booze was not a priority so I almost cut it out altogether. I do not smoke. I usually put $10 worth of petrol into my van every week. With careful budgeting you can survive on the benefit but you need to live within your means. Get rid of your credit card and avoid taking out loans to buy things.	Bobh (5192)
1 2 3 4 5 6