How to cure a financial hangover after the holiday season

Long Lunch 03/01/2019
Photo: Getty.

This interview originally aired on 12 January, 2018. 

With the festive season wrapping up, many New Zealanders have begun to feel the dreadful financial hangover.

Darryl Evans, CEO of Mangere Budgeting services, joins Wendyl Nissen to discuss the realities of overspending during the holidays and how to regain control.

“Sadly the financial hangover is there, the burden of Christmas is presenting itself,” he says.

Household bills and credit card debt can easily rack up in January, which Mr Evans advises to gain control of as soon as possible.

You have to take stock of where you’re at.

"We encourage people to work with the existing income they’ve got,” he explains, clarifying that his organisation advises against taking out a loan to combat a financial hangover.

“Put your finances in order now in January,” he recommends.

Mr Evans explains that some run into financial problems because they first spend on non-essentials like church donations or a nice car, rather than prioritising rent and expenses.

New Zealanders are faced with constant pressure from peers and marketing to keep up appearances, which can be quite costly.

“We live in a commercial world where every advert on the [TV] is about buying big, buying now and paying later,” he says.

He explains that it’s easy to rack up debt around Christmas because of the pressure from children to buy them expensive presents.

“My belief is kids don’t remember the presents you buy them,” he says, who instead thinks that they remember good experiences with the family.

Above all, Mr Evans recommends “being realistic and not spending more than you actually earn” over the holiday period.

Listen to the full interview with Darryl Evans above.

Afternoon Talk with Wendyl Nissen, 12pm - 3pm on RadioLIVE and streaming live to the rova app on Android and iPhone.