For almost six decades Taupo’s Budget Advisory Service (known as Budget House) has helped locals achieve financial wellness. Last year alone, they helped their clients collectively pay off $1 million of debt.

“That’s $1 million of paid bills and paying back loans from finance companies,” explains Budget House Funding Coordinator, Rebecca Robertson. “It has such a big impact as that money goes back into local businesses and the economy. So our client-led approach is really working.”

Financial wellbeing has a big impact on how people relate to their communities and whānau. Many of those who lack financial stability cannot afford to attend local events, participate in activities and struggle to buy petrol or top up credit on their phones to stay in touch with loved ones.

“One of our clients is a kuia (female elder), and she was in a really vulnerable situation living in utter deficit. She had high interest loans and after paying her rent, she didn't have much left over for essentials like power or food.

“By topping up her phone so she could call her grandchildren, she was putting herself into more debt, and she was getting thinner and becoming unhealthy as she wasn’t eating properly. She felt isolated from her whanau.

“Our financial mentor was able to advocate for her and negotiated a two-year interest free loan which was fantastic. That really brought down her weekly payments. And then over the course of three months, she met with her financial mentor fortnightly and learned the skills to make better life choices, to manage her debt, to organise her budget and her household cashflow. And that made such a big difference.”

Budget House also liaised with other community service providers to ensure the woman had food and other essential items that she needed to survive. “The good news is, she’s taken control and is now living in surplus and able to live within her means. She has achieved financial wellness.”

New initiatives

Budget House currently employs eight staff who feel privileged to support people through some of life’s biggest challenges including mental health, addiction, disability and literacy issues. Clients also include those who simply were never taught how to budget or manage their money properly.

“Most people are pretty oblivious actually and simply not aware of their payment schedules. If you don’t pay bills by a certain date, interest is often added. So you need to manage your cashflow and know what bills are coming up.”

Approximately one in five Taupo and Turangi locals have had some contact with Budget House, either directly or indirectly via another household member. The charitable trust offers free financial mentoring services as well as education programmes for the community and local schools. In an effort to expand their reach, Budget House will begin offering corporate workshops in 2025 tailored to Taupo businesses who want to help support and care for their employees.

“Improving financial wellbeing leads to a more resilient and engaged workforce. Once people have the tools to manage their money wisely, they’re less likely to go looking for new jobs. We will talk to employees about their loans, debt management and their lifestyle choices to strengthen their ability to manage money so they feel more content in the workplace and more connected to their community.”

Much-needed support

These new corporate workshops will be possible thanks in part to a $25,000 grant from BayTrust who have financially supported Budget House over the last few years. Rebecca says the money is a welcome relief given the growing demand for their services, and recent cuts in Government funding.

“Bay Trust have increased the amount they’ve given us this year which is absolutely amazing. We are ecstatic. When I announced at our staff meeting that we had been given the grant, the table just erupted. Everyone stood up and clapped and cheered. We were just so grateful and thankful to BayTrust for being so generous towards us.

“In the current economy there’s definitely a lack of funding out there. So with our decreasing funding, we’re having to go, ‘well, okay, how do we manage and support our community?’ Because everyone’s feeling this pinch.”

The grant will help cover operational costs so Budget House can continue to offer free financial mentoring, advocacy and education while also implementing new initiatives in their strategic plan. After attending a sustainable funding workshop sponsored by BayTrust last November, Budget House is also looking at potential new revenue streams.

“We’ve got a great bunch of people here at Budget House with a broad range of skills and experiences. We’re really committed to helping people go from just existing to thriving, and that's why providing a free, confidential, non-judgmental service is so important.”