Kiwis pay packets should be boosted by the Government's tax cuts this week. Photo / File
Kiwis pay packets should be boosted by the Government's tax cuts this week. Photo / File
Editorial
EDITORIAL
Data revealed to the Herald by KiwiHarvest, a national food rescue organisation that collects surplus and donated food and distributes it throughout New Zealand, paints a grim picture of the struggles hard working families are enduring to make ends meet.
No one takes pleasure in asking forhelp, whether it be for food or rent.
That’s why on the same day (July 31) the Government trumpeted its tax relief was kicking in, KiwiHarvest released the details on the new working poor - these are double-income families with children as well as grandparents who are becoming more dependent on food banks.
The pay increase through the tax cuts would see a single person with no children receive enough to buy two coffees a week.
But it’s the mum and dads of New Zealand that are of more concern, those who both work and are struggling to cope with the rising food costs, mortgage rates, child care costs and out-of-control council rates.
“From July 2014 to March 2023, the price of sugary, processed foods and drinks increased by around 14%, while the price of some fruits and vegetables increased by around 45%, making healthy food less affordable and accessible for many households,” KiwiHarvest said.
Rising living costs have greater consequences for those in the bottom half of the wealth hierarchy. Photo / 123RF
As New Zealanders live longer, elderly who did not buy their quarter acre dream home are forced into rental accommodation paying market rates, though they can be subsidised by the Ministry of Social Development. Many elderly are now working well into their 70s, some because they want to, but many do it out of necessity.
An issue many of our parents and grandparents face is coming from frugal and thrifty eras, where spending was wasteful and debt was frowned upon. They would prefer to sit in a cold room with a blanket shivering, rather than run the heat pump and waste money.
It is a stark contrast to the attitudes of some from younger generations, who believe debt is just another four letter word.
We must stop stigmatising and shaming fellow New Zealanders who need a hand up, whether it be from food banks or the Ministry of Social Development, regardless of their background.
Prime Minister Christopher Luxon and Finance Minister Nicola Willis.
The Government talks about the squeezed middle, who are the working poor.
They say the pay packets of those Kiwis from this week will tell a much bigger and brighter story.
With a combination of tax cuts, tax credits and the FamilyBoost programme, a small number of families will enjoy that $252 per fortnight.
This is Luxon’s “squeezed middle” – couples with multiple young kids.
Let’s wait and see how many people are smiling after pay day.
