Off to the Whanganui Budget Advisory Service I went and met with the general manager Sandy Fage. I’m a fan of a straight shooter and nothing is sugar-coated with her, which is always something I appreciate. These people are the superheroes in the cost-of-living crisis, helping out families in a single bound.
Sandy doesn’t have a cape but has worked for the Budget Advisory Service for 24 years. When she began, they had 23 volunteers working alongside each other to help people who had got themselves into financial difficulty. By her own admission, things were a lot easier then and, as technology and ease of online purchasing have hit new highs, she and the rest of the staff have had to change and upskill accordingly.
I asked if she thought we were in a cost-of-living crisis and the answer was a resounding “yes”.
The other reason I wanted to get some understanding was the fact that their funding now only covers 1.5 people in a full-time role at a time when their services are more valuable than gold. So what that means is that they now have to apply for grants from various organisations. Considering 44 other services nationwide have not been offered new MSD contracts, it means the demand for that money is now as competitive as trying to win a gold medal at an Olympics.
Make no mistake – the role of those at the Budget Advisory Service is also part counsellor. Quite often they have clients who are in a very vulnerable position, with very high anxiety, but the beauty of what they do is to make a plan together and walk beside them to achieve a more solvent financial outcome.
Sandy is adamant that nobody should feel any shame to admit that things have got out of control.
“There is so much these days that is out of everyone’s control. Rates rises, skyrocketing rent and power along with insurance and food all increasing at an exponential rate.”
If there is one piece of advice that Sandy can give, it’s that people come to them earlier rather than later.
“There are couples that come to see us who have gone to their bank to freeze their mortgage for three months for some room to breathe financially. That really is just a sticking plaster solution and what we have to do is dig deeper and make a manageable plan for them moving forward.”
I got a few surprises in our chat.
- Their service is free.
- In special circumstances, the Budget Advisory Service does home visits.
- Young people today are getting themselves into terrible financial positions with buy-now pay-later options. The pressure of social media and to look the right way or have the right handbag doesn’t seem to register with them because, at the push of a button, they have committed themselves to a lump of debt.
- Sandy visits groups in the community to discuss financial literacy but, now that the funding has been reduced, that will atrophy. That is a sadness.
- More and more clients are going to them due to hardship and to get help with withdrawing their Kiwisaver. Again, a sticking plaster solution.
I came away feeling that the pressure on families financially is one of scrambling and robbing Peter to pay Paul. Some families have three credit cards and use one to pay the other off and it’s crippling them. One couple wants to be divorced but can’t afford to rent singly so they are still living separately in their own home.
The people working for you at the Budget Advisory Service do so because they are completely committed to helping our Whanganui community. They certainly don’t do it for the money. The Board of Governors (of which there are nine) are all volunteers from various backgrounds, who also have that same commitment. I take my hat off to all of them.
The team members who work there on a daily basis are girding their loins.
Sandy says they are “preparing for things to get a lot worse”. I completely understand that and I am very glad that I spent an hour learning about the amazing team and what they are doing to ease the pressure for local families in Whanganui. They will be advertising soon for some dynamic, dedicated people to help as volunteers. Quite by accident, I did my budget the day before I went to see Sandy. I know what I have to the last cent. I’ll take the win.
When I asked Sandy who the three most common clients are she said:
- Job losses or reduction in overtime hours.
- Cost-of-living crises.
- Health issues, both mental and physical.
I wanted to know how our own community was coping and I know I went to the perfect place. Don’t let them be the ambulance at the bottom of the hill. If life is more than a little tough, go now. You will be in very good hands.
