The money conversations rural women need to have

     Amy Po-Ching says financial confidence starts with understanding your position, knowing what you own, what you owe and where you want to go financially. Supplied.

When Levridge founder and financial adviser Amy Po-Ching stood in front of a room full of women at the Women in Seed Forum in Christchurch last month, the discussion quickly turned from KiwiSaver and investing to women can feel uncomfortable talking about : financial independence.

But it’s a conversation worth having.

Not because all relationships are expected to fail, Po-Ching says, but because life can change quickly leaving women financially vulnerable, often in ways nobody sees coming.

Health issues happen. Businesses struggle. Relationships break down. Partners die unexpectedly. And statistically, around one in three marriages will end in divorce.

For many women, particularly in rural New Zealand, financial vulnerability can build quietly over time.

“A lot of rural women contribute enormous value that isn’t always reflected in their own financial position,” Po-Ching says.

“They’re helping build family wealth through the farm, but they don’t always have a clear picture of what they personally own or control.”

For many farming families, it happens gradually.

A woman moves onto the farm, career opportunities narrow geographically, children arrive, and over time she becomes more involved in supporting the business and family than building financial security in her own name.

Meanwhile, KiwiSaver contributions slow (or stop altogether), retirement savings stall and assets remain tied up in the farm itself.

“A lot of women are effectively business partners in farming businesses, but they don’t necessarily see themselves that way,” Po-Ching says.

Importantly, she is careful not to frame the issue as men versus women.

In many relationships, one person naturally takes the lead financially while the other focuses elsewhere. The concern, she says, is when one partner has little visibility or understanding around the family finances.

“If something happened tomorrow, whether through illness, death or separation, would you know where everything is? Would you know how to pick things up?” she says.

“That awareness is really important.”

For farming families, the complexity can be even greater, with trusts, ownership structures and succession plans often layered through businesses and generations.

Po-Ching says women should understand exactly what structures are in place, what they personally own and what retirement planning looks like for them individually.

“We often see people in farming communities reach retirement with huge assets in land, but very little cashflow,” she says.

“Everything gets poured back into the farm, machinery, improvements, expansion, but ideally people should also be building assets outside the farm where possible.”

That idea alone can feel intimidating for many women, particularly when it comes to investing.

“A lot of women find investing scary because it feels unknown,” Po-Ching says.

“The more knowledge people have, the more confidence they gain.”

She encourages women to start small, listening to podcasts, reading books and learning the basics gradually.

Platforms such as Sharesies and managed funds have made investing more accessible than ever before, allowing people to begin with relatively small amounts.

Po-Ching explains shares as buying ownership in a company, while bonds are effectively loans made to businesses in exchange for fixed returns.

“Bonds are generally lower risk with steadier returns,” she says.

“Shares tend to move around more, but over the long term they generally offer stronger growth.”

The key, she says, is understanding timeframes.

“Shares should generally be viewed as long-term investments, seven to 10 years or more,” she says.

“You need enough time to ride out the ups and downs.”

KiwiSaver also remains one of the simplest starting points for many women, although Po-Ching says rural and self-employed women should understand their options properly.

For employees, KiwiSaver includes employer contributions and government incentives. For self-employed people, managed funds outside KiwiSaver can sometimes offer more flexibility while still allowing long-term investing.

But above all, Po-Ching says the biggest mistake women make is waiting.

Many women wish they had started earlier, she says, but it is never too late to begin understanding your financial position and making a plan for the future.

“People in their thirties and forties say they wish they’d started 10 years ago. People in their fifties and sixties say the same thing,” she says.

“But today is the best time to start.”

Her advice is simple.

“Understand your financial position. Know what you own, know what you owe, know how your family’s wealth is structured, and don’t be afraid to ask questions,” she says.

Po-Ching also recommends starting with the free DIY financial planner available on the Levridge website as a way for women to begin understanding their financial position and goals.

“Financial confidence starts with clarity.”

For Po-Ching, whose own life has included building and selling a successful financial planning business, divorce, chronic illness and single motherhood, financial literacy is about much more than growing wealth.

“The biggest transformation is confidence,” she says.

“When women know they are going to be financially okay, it changes how they approach life, relationships and decision-making.”

Disclaimer: This article contains general information only and does not constitute personalised financial advice. Readers should seek professional advice specific to their individual circumstances before making financial decisions.

The DIY financial planner and more information be found at www.levridge.co.nz