National Pizza Day is just around the corner—on Sunday, February 9th! It’s the perfect time to get your friends together and decide on your favourite pizza toppings. Whether you’re into classic pepperoni, adventurous pineapple, or something spicier, there’s a pizza for everyone. But here’s a fun twist: did you know your pizza can teach you something important about managing money? Let’s chew into how pizza is connected to investment diversification.

What is Diversification, Anyway?

Imagine your pizza is an investment portfolio. Instead of a plain cheese pizza or one with only pepperoni, think about a pizza with a variety of toppings: cheese, pepperoni, veggies, BBQ chicken. Each slice adds something unique, making the whole pizza more exciting.

In investing, diversification works the same way. Instead of putting all your money into one thing (like a single stock), you spread it across different investments—stocks, bonds, real estate, private equity etc. This helps reduce risk and opens more opportunities for growth.

Why Is Diversification Like Pizza?

Lower Risk, More Flavour: If you only have one topping on your pizza and you’re not in the mood for it, you’re stuck with a pizza you might not enjoy. But with multiple toppings, you’ve got options. Similarly, in investing, putting all your money into one stock is risky. If that stock drops, you could lose a lot. But by spreading your money across different investments, you’re less likely to be hurt by one bad choice.

Finding Balance: A great pizza is all about balance—too much cheese, and it’s overwhelming; too little, and it’s dry. The same goes for your investments. Some investments grow quickly, while others grow slowly. But together, they balance each other out, helping your portfolio to handle market ups and downs.

Taking a More Active Approach: Sometimes, you can take a more active approach to your investments, just like ordering your favourite pizza with the toppings you want. For example, having a direct ownership of investments like forests can be a good way to diversify. While forests may not grow as fast as some stocks, they offer a sustainable option that may align to your ethical values.
Actively choosing investments like these, along with other options, can help lower your risk and provide another level of diversification.

Getting the Best Bang for Your Buck: Diversifying your investments isn’t just about picking random things—it’s about getting the most value. Like when you buy a pizza combo that has the right mix of pizza and sides, you feel more satisfied and are not overloaded on one thing. By carefully choosing where you invest and mixing things up, you ensure a good value, like ordering a pizza in a meal deal.

Why It Matters

Just like Grandma’s advice— “don’t put all your eggs in one basket”—diversification helps reduce risk and increase the potential for rewards. By spreading your money across different areas, you’re better prepared for market changes, just like you’re better prepared for anything when your pizza has more variety.

But remember, diversification isn’t foolproof. If all your investments are too similar (like too many slices with the same topping), you might miss out on the full benefits. You need to make sure your investments are well-balanced and fit your financial goals.

In the Christian KiwiSaver Scheme’s Balanced Fund and Growth Fund, we balance investments across bonds and other fixed interest assets, shares, private equity, and even a forest. We also follow our own Ethical Investment Policy, working to align our investment choices with Christian values, while aiming to grow our members’ money.

So, this National Pizza Day (or any day!), while you’re enjoying a well-balanced pizza, think about how diversifying your investments can help make your financial future just as satisfying. More slices, more flavours, more chances for success!

Christian KiwiSaver Scheme is managed and issued by The New Zealand Anglican Church Pension Board (trading as Anglican Financial Care). The Product Disclosure Statement can be found here Documents | Christian Kiwisaver Scheme.

A fresh start!  
Your financial health check for 2025.

As the new year begins, many of us take time to reflect on the past and set goals for the future. This fresh start isn’t just about health or career aspirations; it’s also an opportunity to focus on your financial well-being. Do you believe that wise stewardship of your resources is an integral part of living faithfully? At Anglican Financial Care, we do! Starting the year with a financial health check can help you plan for the future, achieve your goals, and ensure that your resources are aligned with both your needs and the principles of good stewardship.

One essential part of your financial health is your KiwiSaver. The Christian KiwiSaver Scheme is designed to help you grow your retirement savings in a way that reflects your faith and values. Whether you are just starting your KiwiSaver journey or are already drawing on your savings, it’s vital to make sure your plan is working for you.

Reflecting on the past year

Before looking ahead, it’s important to take stock of where you’ve been. Here are some questions to help focus your reflection:

• Are you happy with how you managed your finances over the past year?
• Did you stick to your budget?
• Were you able to save or meet your financial goals?
• Were there any unexpected expenses, and are you comfortable with how you handled them?

When it comes to your KiwiSaver, ask yourself:

• Did I make regular contributions?
• Were there any changes in my life that might affect my savings needs?
• Is my KiwiSaver fund still aligned with my long-term goals?

Reflecting on these factors helps you understand what worked and what didn’t, so you can adjust your approach in the year ahead.

Planning for the year ahead

Once you’ve reflected on the past, it’s time to plan for the future. Set clear, achievable financial goals for the year. These might include paying off debt, building an emergency fund, or saving for a specific purpose such as a home, holiday, or electric bike. Maybe it’s time to start, or to increase, a monthly donation to a cause close to your heart. For many, a key goal will be maximising KiwiSaver contributions to ensure you’re making the most of the government contributions and preparing well for retirement.

The Christian KiwiSaver Scheme is more than just a financial tool; it’s a way to grow your savings in a manner consistent with your values. Take this opportunity to review your KiwiSaver settings:
Are you contributing enough to meet your retirement goals?
Are you in the right fund (Growth? Balanced? Income?) for your stage of life and risk appetite?
Check out the Our Funds page on our website to help you answer these questions, ensuring your KiwiSaver planning is aligned with your circumstances and aspirations.

The importance of budgeting

A solid budget is the foundation of financial health. As you plan your finances for the year, create or revisit your budget to ensure it reflects your priorities. To start the year strong:

• List your income and fixed expenses, such as rent, utilities, and essential bills.
• Allocate funds for savings, including your KiwiSaver contributions, and for giving back to causes or communities you care about.
• Plan for discretionary spending while ensuring it fits within your overall financial picture.

Remember, a budget is a tool, not a restriction. It allows you to focus your resources where they matter most, freeing you from financial uncertainty and aligning your spending with your goals and values.

Preparing for the unexpected

Life is full of surprises, and part of being a good steward is preparing for the unexpected. Building or maintaining an emergency fund is an essential step in financial planning. This fund can provide peace of mind and prevent you from needing to dip into your KiwiSaver savings for unexpected expenses. The best step to take is to decide on an amount to save each month and set up an automatic transfer from your normal account to your emergencies/savings account. Just do it!

In addition, review your insurance policies to make sure they meet your current needs. Whether it’s health, home, or life insurance, having the right coverage is another way to protect yourself and your loved ones in times of uncertainty. If you have an insurance broker or financial adviser, they can help you work out whether you have too much or too little insurance cover for your needs.

Making the most of KiwiSaver

Your KiwiSaver is one of the most powerful tools for long-term financial planning. For members of the Christian KiwiSaver Scheme, it also offers the added benefit of aligning your investments with Christian values. By regularly reviewing your KiwiSaver settings, you can ensure you’re making the most of this opportunity. Is it time to increase your contribution level, or are you able to make a one-off extra contribution? Your future self might thank you!

Anglican Financial Care’s Christian KiwiSaver Scheme team is here to help. Our team is dedicated to supporting you as you plan for a secure and meaningful financial future.

Moving forward with faith and confidence

As you step into the new year, take the time to reflect, plan, and seek guidance where needed. By doing so, you can approach the months ahead with confidence, knowing that you are taking thoughtful steps to secure your financial future.

Anglican Financial Care is here to help. Together, let’s make 2025 a year of purpose, growth, and wise financial choices.

Learn more about the Christian KiwiSaver Scheme and view our Product Disclosure Statement: https://christiankiwisaver.nz/documents/

We all go through difficult financial times, when bills and commitments increase, and we wish there was a way to relieve some of that financial pressure.

Luckily with KiwiSaver, there is an opportunity to pause your contributions for a while, depending on how long you have been in KiwiSaver.

What do you need to know about a Savings Suspension and what are the risks? In this blog, we give you a brief overview of the main points and risks, to help you navigate your decision.

• What is a Savings Suspension?
  A Savings Suspension is when you stop your employee contributions to KiwiSaver for a period.
• How long do I have to be in KiwiSaver, before I can take a break?
  If you have been in KiwiSaver for a year or more, you can ask for a suspension through your employer. If you have been in for less than a year, you will need to apply for a suspension from IR and prove financial hardship.
• How long can I take the Savings Suspension for?
  You can suspend your contributions for three months to a year, but you can take more than one break, and they can be back-to-back.
• Will my employer keep contributing?
  No, if you suspend your contributions your employer will too, unless your employment agreement covers this situation.
• Can I still make contributions to my KiwiSaver scheme even though I am on a Savings Suspension?
  Yes, you can still make direct contributions to your KiwiSaver scheme even if you are on a Savings Suspension. If you cannot afford to make the minimum contribution required by the KiwiSaver Act, then making some smaller contributions voluntarily during the Savings Suspension period is a way to still save for your retirement, just at a lower amount.
• Will I receive the Government Contribution?
  Yes, you will receive the annual Government Contribution if you contribute at least $1,042.86 between 1 July and 30 June each year.

What should I consider before I take a Savings Suspension?
Before you decide to take a break, there are a few points you will want to consider:

1. Investigate whether you can reduce, not stop your savings. If you are currently contributing 4% to KiwiSaver, try dropping to 3%.
2. Save something if you can. While you might stop your employee contributions, set up a voluntary, automatic payment instead, for a smaller amount. By keeping your savings going, you can rest a little easier, as you are still ‘chipping away’ at your goals.
3. Make a commitment to start again. If you stop altogether, set up an automatic payment 6 months from now. Make this $100 or $200 per month, to begin with, and increase this 6 months later. Then start up your employer contributions again.
4. Do some homework and know the long-term consequences of stopping. Try putting this scenario into the Sorted KiwiSaver Retirement Calculator. KiwiSaver calculator » Sorted

   Example
   A person aged 45, retiring at age 65, with a balance of $70,000 today. Their pay is $50,000 a year before tax, and they contribute 3% to KiwiSaver and so does their employer. They are in the Growth Fund.

   If they don’t stop saving over the next 20 years, they may have just over $200,000 saved by age 65.

   If they pause for one year, their balance would be around $196,000 by age 65.

   If they pause for two years, their balance would be around $191,000 by age 65. *

   *Please note, these numbers are not guaranteed and do not constitute financial advice. Your situation will be different, and we recommend you seek independent advice from a licensed financial advice provider.

While we don’t want to stop our savings, sometimes we need to focus on paying our bills, or clearing some high-cost debts. At those times, taking a Savings Suspension for a short time can give the ‘breathing space’ we need financially and mentally.

Just remember, there will always be an excuse to ‘start again tomorrow’, and before you know it, tomorrow is two years from now.

The Savings Suspension is a nice KiwiSaver feature to have and can relieve some pressure when we need this most. We should have a plan to start again, even before we decide to stop, and we need to understand the impact stopping can have on our savings if we delay restarting contributions.