Mothers always seem to know best. Whether it’s how to fold fitted sheets (still a mystery to some of us) or the perfect way to make a cuppa, their wisdom is often timeless. When it comes to managing money and building good savings habits, the advice from our mums can be surprisingly on point, which is why we canvassed our mums and our memories for their best financial advice!

Let’s take a walk down memory lane and revisit some classic pearls of wisdom – and how they apply to saving for the future, including that all-important mortgage!

1. “Save for a rainy day.”

This classic advice is the cornerstone of good financial health. Unexpected expenses, whether it’s a car repair, a surprise dental bill, or an interest rate hike, are inevitable. Having a rainy-day fund ensures you can handle life’s curveballs without reaching for a credit card.

Pro Tip:
A solid savings habit will help you manage unexpected costs like maintenance or insurance premiums on your property. Plus, if you’re saving towards a mortgage deposit, a rainy-day fund keeps you from dipping into your deposit savings for smaller emergencies.

2. “Don’t spend what you don’t have.”

Remember your mum telling you to wait until you had enough pocket money before buying that shiny new toy? It’s a lesson in delayed gratification that’s just as relevant in adulthood. Avoiding debt and living within your means is key to long-term financial health.

Mortgage Tip:
Applying this principle can help you when considering how much to borrow for a home. Stick to a budget and focus on what you can comfortably afford, not just what the bank is willing to lend you.

3. “A little bit goes a long way.”

Mum knew the power of small, consistent habits – whether it was sneaking in the veges to the spaghetti bolognese or putting a dollar in the piggy bank each week. The same applies to saving: small, regular deposits add up over time.

Pro Tip:
Set up an automatic payment into a interest-bearing savings account or KiwiSaver. You’ll be amazed at how quickly those small contributions grow, especially with the added benefits of KiwiSaver employer contributions and government top-ups.

4. “Do your homework.”

From school assignments to learning how to compare prices at the supermarket, mums always encouraged us to do our research. The same goes for financial decisions.

Mortgage Tip:
When it comes to home loans, doing your homework pays off. Compare rates, understand the terms, and seek advice from professionals (like our advisers at Threefold!) to make the best decision for your circumstances. Knowledge is power, and it can save you thousands over the life of your mortgage.

5. “Don’t put all your eggs in one basket.”

Diversification isn’t just for Easter egg hunts – it’s a financial principle too. While saving is important, finding the right balance between saving and investing helps your money work harder for you.

Pro Tip:
While focusing on your deposit is crucial, don’t forget other financial goals, like contributing to your KiwiSaver. A well-balanced approach ensures you’re prepared for both short- and long-term needs.

6. “If it sounds too good to be true, it probably is.”

Whether it was about dodgy door-to-door sales or the latest fad diet, Mum had a knack for sniffing out scams. Her advice applies to financial decisions too. Be wary of offers that promise huge returns with little risk.

Mortgage Tip:
When it comes to refinancing or restructuring your mortgage, make sure you fully understand the terms and fees involved. A deal that seems amazing upfront might not be so great when you dig into the fine print. That’s where expert advice can make all the difference.

7. “Don’t forget to treat yourself – but don’t go overboard.”

Mum always knew that saving money doesn’t mean you can’t enjoy life. It’s all about balance—treating yourself occasionally while staying disciplined about your goals.

Pro Tip:
Budgeting for “fun money” can help you stick to your savings plan in the long run. And if you’re working towards a mortgage, remember that a sustainable budget is better than an extreme one that leaves no room for life’s little joys.

Ready to take the next step?
Book a free consultation today to see how we can help you on your financial journey. Mum would approve. 😊

The content of this article should not be taken as financial advice, or a recommendation of any financial product. These insights are based on current economic commentary, market pricing for interest rates, and our personal opinion. Threefold is not liable or responsible for any information, omissions, or errors present.