So you are a working class couple in the middle of your life, but do you have a financial emergency plan?
The government and WINZ are not there to help the working or middle class. Harsh... but it's the truth.
If you are single... it's a different story, but in simple terms, the government expects you or your partner to take care of each other.
Why? It's cheaper for the government I guess but there are cut off points when it comes to "Joint Income Testing Thresholds".
I want to share our experience, to highlight why you need a plan. This isn't meant to be a middle age white man whinge, but more a shared experience, as you don't know what you don't know.
Since my Parkinson's diagnosis and the decline in my health, this has made me unemployable. I have applied for many jobs, even the basic of jobs and I disclose my condition, as I can't hide the tremors. I have been advised to lie, but that's not me. Well, initially my Seek profile didn't have my health condition disclosed, and a company contacted me to ask me to apply for a job they had listed. The job was very relevant to my work history. So I applied and I then mentioned my condition, obviously down playing it. I never heard from that company again. I would like to work, for an income but also for human contact which I miss. However even in my dr's own words "rapid deterioration... prevent his ability to work". So when you present with a health condition that makes you a liability to any potential employer, your options are limited. To be honest, I wouldn't have employed myself if a healthy able bodied person applied for the same job. But I am digressing a little.
So you are mid life, your two incomes is now down to one income. So what are your options?
You turn to WINZ:
Perhaps you can apply for the Job Seekers Benefit? NOPE
Perhaps the Supported Living Payment (for a health condition)? NOPE
Basically if you and your partner's combined income is more than $56,000 per year, you are not eligible for WINZ assistance.
You are not entitled to any benefit, or other assistance packages such as the winter energy payments or even more importantly for us, a community services card for cheaper dr's visits. Even the WINZ branch manager here said to me, once you are receiving a benefit, there are many options to you. Until then... not a thing. They only offered to help me with my CV. Again it's very different if you are single... but 18 years with Gary, we are not ready to go our separate ways yet.
In some way, getting hit by a bus crossing the road might be preferable than getting sick, as you would have ACC.
So ask yourself... can the two of you survive on the one income?
$56,000 might sound a lot... but for 2 people with the NZ cost of living, it's a challenge.
Now I can go on about this... you pay your taxes as an individual, so why doesn't the welfare system look at you as an individual?
I've written to Andrew Little the health minister and Carmel Sepoluni the WINZ minister in regards to this and expensive GP visits. It doesn't seem right.
My personal individual income over the last year was less than $2000 and yet I am not eligible for any assistance from the government.
The GP visits are my biggest concern. I still need to pay $50 for a Dr's visit compared to a community services card holder who pays about $19. There is so much wrong with this. What if I was in a bad relationship, (I'm not) but the lack of financial independence could be so harmful to some people.
Now, many people have suggested that I lie... cheat the system. In theory if my partner takes a $1000 pay cut and I don't earn a cent, we technically would be eligible for a supported living payment of about $350 a week, plus the community services card! Should we work the system? It doesn't seem right... all I really want is cheaper dr's visits, I want to be able to afford to go to the dr when I need to... which unfortunately is often.
So in reality you have very few options if you are not prepared.
Fortunately, I was able to withdraw all of my Kiwisaver. However I was a bit ignorant with it early on. After my cancer scare in 2009, I remember seeing on tv someone terminally ill having great difficulties withdrawing his kiwisaver. He died before he could get access to it. So in my great wisdom, I decided to stop contributing, it's very unlikely I will reach 65 years of age with my health, and if I couldn't withdraw it earlier then it is no good to me. So for the last 6 years while I was working I opted out and stopped contributing. A stupid misguided mistake on my part. It was very easy to withdraw. So unfortunately I had very little in my Kiwisaver. So my advice... keep contributing to Kiwisaver!
The other option to consider is insurance. When we obtained our very first mortgage many years ago, we looked at insurance options. Income protection was too expensive so we opted for a life insurance policy with trauma cover, that would payout half the policy if we were unfortunate to become ill with a listed condition. Now we read the policy, and it seemed comprehensive.... but we didn't READ the policy. So Parkinson's is covered... but 2 years down the track we still haven't been able to claim as I dont currently meet the disability standards set and defined by some American medical journal. I'm sick enough for my Dr to advise not to work, sick enough for Kiwisaver to release my funds 20 years early, but not sick enough for the banks insurance policy conditions. I asked my neurologist and she was more confused than myself. In hindsight I wish we had shopped around a bit and looked into it a bit more.
We are surving without government assistance, but it's hard.
How did we do it? Down sizing, getting rid of debt and cutting the fat out of everything. Also give some thought as to what you can do in self employment, as even if it's just $100 a week it all helps.
All things considered, I think we are very lucky. We are surving.
So ask yourself, what is your financial emergency plan?
