The short answer is not much, at least not for the average person. Election or no election, life goes on. People change jobs, move towns, and carry on with their day-to-day living. Those who have to will sell their houses, and those that need to will buy.For investors, however, there’s a bit more at stake.In the past month inquiries from investors have been on the rise in Central. In particular, landlords are looking for entry level homes that will offer a good yield.There’s a perception that property values have levelled off, inflation has stopped rising, and that further interest rates hikes will be unlikely. The banks are also signalling that the peak volatility is behind us, with two- and three-year mortgage rates easing somewhat.These conditions give investors some confidence to return to the market, and just as well as there’s a real shortage of rental properties in the whole Lakes and Central region.Healthy homes and other legislation affecting landlords have had some unintended consequences. Some have opted out of being landlords and others have pivoted to AirBnB or other short-term rentals. In tourist areas like ours that makes a lot of financial sense for the owners – but it also means fewer houses for locals to rent.An increase in migration since the borders opened up post pandemic has also put pressure on housing supplies.This is very noticeable in the seasonal work sector, and it will be interesting to see how our region comes come the new season. Many horticulturalists are having to build or supply accommodation for their workers. These, rightly, must meet certain standards, so the sector is facing increased costs.Land, too, is in demand and sections have come back in value over the last few months. With building costs having risen sharply in the last few years there’s a sense that there’s no point in waiting any longer.Nevertheless, there’s still a cohort of investors waiting quietly in the wings to see how the election turns out. They’ll be hoping to see some policy changes come into effect after October. Some of the political parties are promising to relax Brightline test rules, change some of the tenancy requirements, and rework tax deductibility.It’s unlikely any changes will be immediate, however, so now is as good a time as any if you are considering real estate investment.Come in for a chat if you are thinking of getting into property investment locally.  

Earlier in the year I read an article about Monte Christo Winery. Built in 1871 by Frenchman Jean Desiré Féraud, it is the oldest winery in the South Island. The article provides some fascinating insight into some of the history associated with our region and is well worth a read in its own right, but it's the redevelopment of this winery that is underway I would like to focus on.Dr Stanley Paris and his two sons (one of whom is a Master of Wine) have taken on the lease of the winery. They are in the process of developing a new cellar door and guest villas on site to essentially rejuvenate an incredible piece of history for our region. I can't wait to see the end result, visit, and support such a great initiative.What I love most about this news (apart from the fact there will be another amazing Central Otago wine to sample!) is that it's another example of new capital investment into our great region that will further drive economic prosperity for all. The article states that the Paris family want to “introduce Central Otago and, particularly Alexandra, to the rest of the world.” I can't help but think what a great idea this is. Not only do we see the restoration and preservation of a great bit of local history, but it will also drive new economic activity in the area via tourism and general marketing of our region offshore. I have not had the privilege of meeting the Paris family yet, but when I eventually do (after all we do live is a small town!) I can't wait to thank them for investing in such a great initiative. The more initiatives/investments like this in the Central Otago region then the more tourists we will start to pull through the Kawarau Gorge to further support our local economy.I have the feeling that this is only one of many new capital investments we will see in the coming years for our region as more and more people look to move here and enjoy what our region has to offer. And in terms of driving the economic prosperity of the region, that simply has to be a good thing for all.

Mentioning “performance management” often instantly invokes negative reactions, stress, and thoughts of underperformance. In reality, having regular, proactive, and reciprocal reviews can have a really positive impact on generating open communication within a business. This approach supports employees to succeed, rather than simply addressing matters if they don’t.We work with a diverse range of small to medium enterprises and, often, when we suggest holding Business and Performance Reviews every quarter, the initial response is this seems very time-onerous or “over-kill.” True, it does take time. But once the process is up and running it will normally be pretty painless and far less time-consuming than addressing under-performance. It’s certainly less time-consuming and costly than recruiting a new employee. So how does it work? We suggest making regular reviews a reciprocal process with both the employer and employee sharing plans, ideas, challenges, and successes. That way, if there are challenges (perceived by either party), they are addressed early, giving the employer the chance to help and the employee the best possible opportunity to succeed. Where there is a problem and no platform for raising it early, an issue may escalate into a far greater and more complex problem. Worse still, an employer may be unaware of a problem until the employee resigns.But what if there are performance issues? If an employee is not cutting the mustard and significant issues are present that are impacting on business productivity, then don’t wait for the regular review process. Address it quickly.Often, employers feel there is nothing they can do about an underperforming employee. They perceive that their hands are tied, and they just need to put up with it. This doesn’t need to be the case. Yes, there are processes which must be followed (we can help with that!); however, it does neither your business nor the employee any favours to leave performance issues unresolved. Some employers avoid raising underperformance concerns as they feel it doesn’t fit with their culture of caring for their staff. Again, it does no favours and may generate bad feeling within a work team. You run the risk of losing an excellent employee who gets fed up with someone else getting away with not pulling their weight. Going down a formal performance management route doesn’t need to be seen as a negative process.  In fact – ideally – the reason you are doing so is to support the employee to succeed. There’s a chance you could end up in a situation where their position is no longer tenable, but a well-run performance improvement plan will support an employee who is capable and willing to raise their performance to succeed in doing so.How can we help? At EASI NZ we can tailor our support to your needs – whether that is setting up and running your performance reviews and any performance improvement plans, just getting you set up, or advising and helping you navigate your way through the processes successfully.

Almost everyone buying or selling a house browses Trade Me at some point. The site has become the go to for real estate and as such generates an amazing amount of data.Recently Trade Me reported to agents on the latest trends and insights in real estate nationally and there’s a few things worth sharing.1.     The decline of traditional advertising mediums – the move to digital advertising has been happening for some time but was accelerated by the pandemic. It’s the only medium growing while all others (newspaper, radio etc) are in decline.2.     Changing consumer behaviour – did you know the average person now spends 8 hours a day browsing the internet? Interestingly, many of us are spending more time on our phones and far less on laptops, computers and tablets.3.     The shift to a buyers’ market – this has occurred over a three-year period. In 2021 a house would spend an average of 31 days listed on Trade Me for sale. That increased to 57 in 2022 and is now sitting around 60-67 for 2023. In real estate terms that means the market has moved from “hot” to “cool”.4.     The rise of the regions – better affordability continues to attract people to the regions, with one in five buyers purchasing due to relocating. Otago has been flagged as a region to watch as there has been an increase in average views per property listing.5.     Working from home – every region in NZ had more people searching with the words “home office” and “study”. Positioning your house as remote-work friendly is more important than ever.6.     Buyers are less risk averse since Covid-19 – it used to be unthinkable to buy a house without seeing it in person. Now people are willing to take that chance if they have someone to view on their behalf, there’s high quality photos/video, it’s brand new and/or a comprehensive building report is done.Trade Me’s report offers a national snapshot, but their insights tally with what’s going on locally.Central Otago has had a very busy May/June in residential sales in Alexandra and Cromwell. There’s still a lot of interest coming from outside the region as we remain a desirable lifestyle destination.Stocks are low at the moment, though, as many potential sellers do the traditional thing and wait for the daffodils to bloom before going to market.My advice is not to hold back if you are thinking of selling. There’s less competition and still plenty of buyers around.If you are concerned about the season impacting the desirability of your home, please get in touch for some ideas about winter presentation.

A requirement of holding and maintaining my Chartered Accountancy qualification is ensuring I complete regular, continuing, professional development training to remain current in my profession. As such, I recently attended a tax road show training. I won’t bore you with all the details – avoiding those is why you hire someone like me to help you –but I want to note just how many tax law changes have come into effect in recent years and just how confusing some areas of the tax legislation have become.Over the past seven years I think there have been more changes to the tax legislation than during the rest of my approximately 25-year professional career. Maybe I exaggerate slightly, but there have been a huge number of changes to tax laws in recent years making things increasingly complex.Where am I going with this? Well, based on the course I have just attended I don’t think there has ever been a period where people have needed to seek advice from their accountant more than now.This particularly applies when completing tax returns and when buying or selling property. The bright line property tax law is a classic example of this.Not only is there a bright line test, but there are three iterations of legislation to follow based on the various changes the Government bought in over time. These are, firstly, the two-year test, secondly, the five-year test, and, finally, the 10-year test. Then there is the risk that while a sale may be exempt from the bright line tax, any depreciated property associated with the house may not be. Exemptions are further complicated by scenarios where someone rents out a portion of their personal home, or they don’t live in their personal home for a period of time.I am a big fan of keeping things simple. Simple is good.However, coming away from the tax road show, I can’t help but feel that all the changes to the tax legislation are starting to make everything far too complex – to the point I am not even sure the recent changes are achieving what was initially intended by the Government.It is an election year and so we will soon hear what the various parties want to do with regards to tax legislation. Whatever their agenda/intentions, I hope that some can take a step back and at least look to simplify the system for all involved rather than making it more and more difficult to interpret. In the interim period, you may want to consult with your accountant if you are not sure whether everything is in order. As I just found from my latest training, there is a lot more to take into consideration than you may be aware of! 

Artificial Intelligence (AI) is the talk of the town with at times polarising views expressed about how it’s going to revolutionize our work and take over the world. I must admit I am cautious about its impact but, as I see the potential positives, I am coming round to the fact that it could be a useful tool if used correctly.I emphasise tool because as it stands that is exactly what AI is. At least for now, it is not going to completely replace the work done by us humans, but it could help to streamline things and help us work more efficiently. Will this mean people being replaced? Again, it certainly won’t replace a whole workforce, but it could mean that some more basic work might be AI generated, freeing up time and resources to focus on more knowledge intensive, creative, or nuanced efforts.Writing employment agreements is one of my “bread and butter” tasks – so to test out whether I am likely to be replaced imminently by a robot I asked Chat GPT to draft a fixed term agreement under New Zealand Law, giving it certain parameters to include. I must say, I was rather underwhelmed! There were key areas missing – I thought it might give me an agreement that at least met the minimum requirement for NZ laws, and I accepted that it may not be well tailored to my “mock business” but, unfortunately it fell short of even that. AI is still learning. Over time the information Chat GPT is using will be updated, but key components of what we do require human input. In HR that means ensuring employment paperwork is not only meeting legal requirements, but also that it is used appropriately in the given context and tailored to meet our clients’ business objectives.That said, I do love Chat GPT when I am completely stuck for words or everything I come up with sounds clunky and awkward. I can type in the basics of what I am trying to convey, and it can provide me with numerous suggestions which I might tweak or combine to get the tone I am seeking.   I am certainly only at the beginning of my AI journey; I have recently heard of other AI integrations in apps that we use that could help to streamline work and allow time to be focused on client projects. So, am I worried about AI replacing me? No, at least not yet. I still tread with caution, but used as a tool rather than to replace a person AI could help to support us in achieving excellent results while focussing our energies on the more complex areas of our work.At EASI NZ we can help you to make sure that your employment paperwork (whether it is drafted by us, you, a template or a robot!) is fully compliant with NZ legislation, that you are implementing it correctly in your business, all while ensuring it ties in with achieving your business objectives. 

Currently, houses in Central are taking, on average, more than two months to sell. As a seller, sitting a long time in the market is a frustrating experience. It’s tempting to lay blame at your real estate agent’s feet.However, more often than not, a slow sale reflects both the market and the pricing. Over the years, I’ve seen many people fall into the trap of telling themselves to ask high because “we can always come down in price.” In practice, this works to the detriment of the seller. Savvy buyers won’t engage with sellers when they perceive the asking price as unrealistic. Sellers then end up overpriced in a falling market, their price aspirations getting further away from cold, hard reality. A realistic asking price, in contrast, triggers opportunity. Where potential buyers perceive good value the come looking, engage in negotiation and often end up in competition with others who see the same value. If you genuinely believe price is not the reason for a lack of interest in your property, then you may want to consider changing agents. You typically sign a 90-day contract with an agency. In the old days, this would then roll over automatically into a general listing rather than an exclusive listing.Nowadays, your agent is likely to approach you for a renewal as the 90-day term nears expiry. You can extend with them for a negotiated period or you might look elsewhere.It is acceptable for you to approach another agent or agency prior to your 90-day contract expiring so that you can go from one agent to another without missing a day on the market. Or, you might decide to take the property off the market and rest it for a while before returning with someone new. Most times we see sellers changing agents it is because the relationship has not been great or the seller has found someone with greater expertise in their type of property (e.g. farms or lifestyle blocks). Sometimes, vendors change agents when they find that an out-of-town agency or agent can’t offer them the local advice and access to local buyers that someone based in the area can. Sellers sometimes choose their agent based on prior relationships – a friend of a friend or the person they bought the house off – but find that a slow market needs particular skills found elsewhere. A few years ago, vendors would often consider a general agency (meaning multiple agents from different companies list your property) versus a sole agency. With all properties visible online these days, that no longer makes sense.In fact, at Tall Poppy we believe that it is better to have one agent acting as your single point of contact to take responsibility for the whole process from beginning to end. Of course, our agents will work with others to advantage the seller, but the old concept of a real estate team is not so relevant in the digital world. So, by all means, consider changing your real estate agent if you feel things aren’t working for you. But also make sure that you have pitched your property at a realistic price point. 

If you like the idea of an investment expert working in partnership with you to help ensure your financial security then the answer is probably a resounding yes!People like me – with a close eye on financial markets who thrive on figuring out the best way forward – are passionate about managing investments for the benefit of clients.For most people, looking after, whether growing or keeping, their money with a view to long-term security is a fraught process.Without expertise in the financial field, it can be hard to know what investment vehicles are right for you from the myriad on offer – how do we know what is a solid investment idea versus what is somebody else’s marketing concept?Watching your hard-earned capital grow and shrink as the market expands and contracts can be a nerve-wracking experience. Volatility and uncertainty can be anxiety-inducing if you don’t fully understand market cycles and when to act versus when to ride the peaks and troughs.Often, you are emotionally attached to your money and find it hard to make dispassionate decisions based on calculated risk.Maybe you have a set of unique circumstances due to your family structure or dynamics, or you want to prioritise leaving a legacy of some kind.Maybe you are reluctant to spend after so many years focused on accumulation.That’s where wealth advisors come in. Planning is the key, to helping you relax about your finances.Take my story, for example. I joined the finance industry just before the GFC. It was a great time to learn what works and what doesn’t, what to be wary of and what to avoid when it comes to investing.Working in the corporate investment world, I gained a good understanding of regulations and the full range of investments.I also learned the value of customer service – of building personal relationships, sharing knowledge, listening, and empowering clients to make the best decisions they can.That’s why my business partner Hugh Going and I set up Collinson Wealth Partners. My partner, daughter and I have chosen Central Otago as our home for the lifestyle and due to my family’s historic ties to the area. We love it here and love the connections we are making.But what I’m really passionate about is partnering with people like you to build financial security and peace of mind.So, if your investments are keeping you up at night (or, worse, you don’t have an investment strategy!) then I encourage you to make an appointment with a wealth advisor. While it doesn’t need to be Collinson Wealth, my door is always open.

When, where and how to live in retirement are questions we all face sooner or later. Fortunately, locals’ options are about to improve.When I moved back down south, I set a challenge to myself to leave the area in a more prosperous position than when I arrived. One thing I knew well before I returned was that the Central Otago region desperately needs more health care services for its (growing) communities. This need spans the healthcare spectrum, from primary healthcare and hospital facilities to retirement village and aged care services.My ability to assist in resolving primary and hospital care services is limited – we need to rely on (and likely lobby) central government for these services over time. For the record, the Central Otago/Queenstown Lakes region is now at a size that plans should already be underway for a large fully serviced hospital to be placed in the region; travelling 3 hours to receive acute care for a population of this region’s size (and growing) is simply not acceptable. However, my background in financing retirement village and aged care facilities around the country has allowed me to partner with local investors as a director of the new Aurum on Clutha Lifestyle Village in Clyde.I vividly remember attending a business breakfast meeting about spatial planning soon after arriving in Central.  It turned into a rather heated conversation about where retirement villages and aged care facilities were in this plan. The council can’t be asked to deliver such facilities, which are highly complex and require specialist input, but the meeting highlighted the need for these services in our community.That’s why I am incredibly excited and proud that in a few weeks’ time the first residents of the 128-villa retirement village will be welcomed in. The village will have an amazing array of community facilities for residents, and over time a continuum of care from village to full aged care (including dementia) services. The two main reasons residents enter a retirement village are companionship and security, followed closely by health and downsizing requirements. If these are current concerns for you, or you are looking to plan ahead, then Aurum on Clutha could be an option worth exploring.You can attend the first open home on Saturday 3rd June 2023, by popping into the village on Mutton Town Road.If the village lifestyle appeals, I recommend discussing your finances with your accountant or financial planner to help prepare for the transition.So, when I look back on the challenge I set myself to leave the region in a more prosperous position than when I arrived, developing this community asset for the community is a pretty good start. 

Is Gen Z as lazy as claimed to be? My grandmother used to lament “the younger generation have no idea what hard work is!”  While not looking directly my way, she left no doubt as to who she was talking about - me!Usually, her complaint meant I was not doing what SHE wanted at that moment in time. Of course, she never articulated what she wanted me to do until after the fact. A lack of clarity around the expectations of a job commonly causes a relationship breakdown between employer and employee. Recruitment, when done well, is expensive. It is not just the process itself but the “lost opportunity” of time spent to induct new people. In addition to training, new employees need background on the company, the services, the messaging to customers, suppliers, and the public. But bad recruitment is even more costly! A clear job description (JD) against which you can screen your prospective candidates is a crucial recruitment step. Workplace JDs may be non-existent, incomplete, or no longer reflect the employee’s role. How is a new recruit supposed to know what to do, or even what they signed up for, if the JD is not accurate?Why did I employ a Gen Z? It’s less about the age of the person and more about the job I needed filled. There were applications from incredibly talented individuals; however, most were over-skilled for the job. I needed someone keen to learn, who would enjoy the role for what it is, and who meets our company’s values.Enter my Gen Z applicant, a part-time student on a scholarship that demands a B+ average. That doesn’t sound lazy to me. Do I care that she is young? Not a jot. It’s an advantage in a business where technology rapidly changes, and youth often contribute new skills if you’re willing to embrace them!So, what makes my Gen Z different to other youth who supposedly “don’t know what hard work really is”? Nothing, except I’ve taken the time to be clear about expectations. We are taking time to SHOW what her we want, and know where to go, or who to ask, if she has any questions.I check in daily in the first week to make sure that she is comfortable with the speed she receives information. Next, I’ll check in weekly, then formally at four weeks before slotting into regular quarterly reviews to monitor progress. If things don’t work out with a Gen Z hire, ask yourself honestly if you’ve set them up to fail. Older hires tend to have experience behind them and can often anticipate requirements but it’s all new to Gen Z. So, if it’s not working out, which part of the process have you not completed? For more information and advice on employment and diversity in the workplace, give me a call on 021 665 013 or email [email protected]

It’s been a tough market for people looking to sell their house over the last few months, but there are positive indications of better times ahead, especially here in Central.According to CoreLogic NZ's monthly update, there are signs of stabilization in New Zealand's property market.Those signs include a reduction in price falls, an easing in listing numbers, and lower sales volumes. Although house prices continued to fall last month, the market fundamentals are showing resilience. Together with the stabilisation of mortgage interest rates that indicates a possible end to the country's extended property downturn. Realestate.co.nz data also shows that sellers are being realistic about asking prices. The gap between average asking price and median sale price has remained fairly constant over the past 16 years, suggesting sellers are meeting the market.While uncertainty remains high, confidence is growing that the market's downturn could end in the second half of 2023.  That’s influenced by factors like continued high employment levels, rising net migration, and the possibility of some investors returning to the market. Additionally, it's worth noting that the Central and Lakes areas in New Zealand are continuing to attract buyers from across the country due to their desirable lifestyle. Our regions offer stunning natural landscapes, outdoor recreational opportunities, and a relaxed pace of living, which has made them a popular choice for those seeking a change of scenery. With the property market showing signs of stabilization, it could be an excellent time for buyers to consider investing in these areas to enjoy the perfect lifestyle.I’ll keep you updated on property market trends over the year, but if you have any questions about buying or selling in the meantime, please get in touch.

At the risk of been tagged as a stereotypical accountant, I was fascinated by economics from an early age. What interested me is the economy we operate in is essentially behaviourally driven, determined by the day-to-day choices people make.Currently, interest rates – especially the speed with which they have increased recently – are impacting some people and the choices open to them.Circa 12 months ago, interest rates were less than 3%; now you are lucky if you can lock in a fixed rate at lower than 6.5%. Approximately 50% of fixed loan mortgages are due to refinance in the next 6 months, with most of those mortgage interest rates likely to at least double. For example, a $500,000 mortgage at 3% equates to an annual interest cost of $15,000 per annum, whereas a $500,000 at 6.0% equates to $30,000 per annum. This means the borrower having to pay an additional $1,250 of interest per month ($288 a week). That’s a lot.If you are one of the 50% of fixed mortgage rate holders about to refinance, then you need to be thinking about how you are going to cover such an uplift in interest expense sooner rather than later. If you leave it too late the options tend to be more limited.So, what options exist? I have been working through this with clients recently, with the following options being considered/implemented:1.  Budgeting / Cost Reduction: If you are going to need to pay a further ~$300 a week in interest as per the above example, then now is the time to have a good look at your spending habits and work out what can be cut from your daily spend/budget to bridge this gap. This may require you to make some material sacrifices for a period of time, but the sooner you look at where you can and can’t reduce spending the better prepared you will be for dealing with the increased finance costs.2. Sell Assets to Reduce Debt: If cutting back on day-to-day costs isn’t an option and/or won’t cover the full uplift in interest expense, then you may need to consider selling some ‘luxury’ items around the house or garage to reduce debt and thus the interest expense you need to pay.3. Additional Income: With unemployment at record lows, you may also want to consider picking up additional hours/income to cover any shortfall. 4. Downsizing: An absolute last option, but if after assessing the first two options you still are going to struggle to meet your finance cost obligations, then this may need to be considered.Judging by discussions I have recently had with people, not everyone is aware of the material increase in finance costs they are about to need to service when their fixed mortgage rolls over. If you fit into this bracket, now is the time to carry out a ‘warrant of fitness’ on your financial position and look to put a plan in place. If you need help, contact your accountant or financial adviser who will be able to assist. 

People will always remember how you make them feel!  That’s a good thing to remember when thinking about fostering positive customer interactions. If you're an employer, remember your employees are the face of your company. Treat them well, pay them fairly, and upskill their customer service via some of the many tools available so they can do their job effectively.Working for a company that treats you poorly, pays you poorly, and doesn't give you the tools you need to do your job effectively makes it pretty difficult to provide good customer service. Staff may present as feeling stressed, overworked, and, most importantly, underappreciated. In contrast, working for a company that values you, supports you, and gives you the necessary resources, means you will be happier, motivated, and ready to go the extra mile for customers.As an employer, even when everyone's under the pump, make time to show you value good work. Not being acknowledged is something that pops up time after time for us when talking to candidates about why they have left a role. And let's remember, constructive criticism plays a massive part in bolstering a person's career, skillset, and confidence that they are on the right path and doing the right thing. At EASI NZ, we highly recommend 3-6 monthly reviews with your team. They can iron out any niggles before they become bigger issues that can (we've seen it many times) lead to a resignation.If you're an employee, remember that you're a valuable part of your company. Take pride in your work and do your best to provide great customer service.Even in the best workplaces, poor customer service may occur when staff are challenged with a difficult situation.Identifying strengths and weaknesses of staff when faced with a demanding service scenario is important. For some people, empathy is second nature, and for others, maybe not so much. Confidence and interpersonal skills also play a major part. For people with neurodivergence or learning disabilities, that may add another layer where conversing and comprehension may need support and patience.Now, let's talk about the customers themselves. If you're a customer, it's important to remember that the person on the other end of the phone or behind the counter is a human being. They have feelings, emotions, and their own problems to deal with. No matter how irked you may feel in the moment, try and muster up some self-control and be kind. In situations where you are receiving unacceptable customer service, however, asking where to take your feedback is key. Business owners need to know about these situations to support positive change. In a nutshell, good customer service stems from acting thoughtfully. It doesn't take much effort to say please and thank you, smile, or to ask how someone's day is going. And yet, those small acts of kindness can make a big difference to how someone feels - and what they remember - about your service! 

If you are a property owner in the region, by now you will have received your new Capital Valuation (CV) from the Central Otago District Council (CODC). Your property has almost certainly increased in value, possibly quite significantly from your 2019 CV. What does this actually mean?An increased CV has two impacts on most people: it affects how potential buyers view the value of their property and it affects their rates. Let’s look at the market impact first. There’s a segment of buyers to whom your CV will provide a clear guideline as to what the purchase price of the property should be. These buyers want independent verification of whatever a real estate agent is telling them, so they pay attention to “objective” valuations. However, the CV is not always an accurate reflection of a property’s value on the market. They are a record of value at a snapshot in time – and our new valuations took that snapshot in October 2022 when they market was still firm. Hence, they might seem a bit high compared to what’s going on in sales today.CVs are also only a desktop valuation, worked up from recent sales statistics rather than actual inspections. The council doesn’t know what has gone on in the inside of a house. Home improvements or renovations that have not involved a code of compliance or resource consent will not be accounted for in these values. Which brings us back to rates – if you think your new CV is too high or too low, what impact does it have on you? Obviously, your valuation affects your rates. But that impact might be less than you think – a higher CV doesn’t mean your rates will automatically increase proportionally. Rates also depend on land use, your location, and what services the council offers – like waste management, library services and so on – in your area. Some of these components are independent of your property value.Ultimately, the sale price of your property will be determined by interested buyers, not by your CV. But if you feel that your new CV is way out in terms of value, you can challenge it by filling in this form before 21st April. If you intend selling your property in the next 12 months, and you feel the valuation is low, this might be worthwhile.

Investing is often referred to as a journey – one that became real for a lot of New Zealanders when KiwiSaver was introduced close to 20 years ago.Where we are on that journey will be different for each one of us.That’s because investing is personal. We each have our own goals and objectives, our own tolerance to risk, and our own sets of experiences and biases.At some point, KiwiSaver balances shift from small, to meaningful, to very meaningful. In a lot of cases, KiwiSaver becomes critical to the level of savings we will have when we retire.Our choice as investors is to leave it to chance, or to create a simple method of maintaining regular reviews of our position. Regular reviews give us the best chance of a successful investing journey.What should you consider when reviewing your KiwiSaver?1. Think about what’s important to you in terms of how your money is invested. Does it matter how and where your funds are invested, or are you just focused on the overall returns? Are you looking for lots of options and particular areas to invest your money in or is one diversified fund enough? Are you more comfortable with a large corporate provider or do you prefer the idea of a smaller boutique provider? How important to you is the information they provide and the way they provide it?2. Think about risk and how comfortable you are to see your balance move around. This will be partly determined by what stage of life you are in. Less risk is prudent when considering a first home purchase or if you are close to retirement but is probably not a good idea when you have 40 years of investing ahead of you.3. Choose a fund provider. It’s vital you select an appropriate one, and you get value for your money. In other words, as well as all the considerations above, fees and performance should influence your decision.4. Finally, you should be revisiting this assessment process at least once a year. We believe by measuring, monitoring, and managing your KiwiSaver, you may help your balance become even more meaningful.Clearly there are multiple factors to consider when reviewing your KiwiSaver, but you don’t have to do it alone. We are always happy to answer any questions you may have. Our KiwiSaver Advice service has been set up to enable you to access our experience, and we have put together a process to make this as straightforward as possible.So, get in touch if you want to make the most of your investment journey.

Hi and welcome to my first advice column for The Central App. I’m Tim, a partner at BDO Accounting based in Alexandra (although I service clients across the Central Otago region). A born and bred Southlander, after a decade away overseas ‘continually learning,’ I have returned to my lower South Island roots.I met my wife Kelly – an Aucklander who doesn’t have the box at Eden Park but does drink Speights! – at university. We have two young daughters, Sophie (9) and Emily (7), and I consider myself extremely lucky to raise them in paradise.As an adviser, I’d like to make this column topical, relevant, and useful. I want to avoid accounting ‘jargon’; instead, I would rather comment on topics or areas of interest to you the reader. If there is something you would like me to address, please email me and I will look to cover that topic.This column is primarily about introducing myself to you, but I would also like to make an observation about local conditions. There appears to be a real movement of people occurring at present out of the big cities and into the regions, and Central Otago appears to be a large winner in the people movement trends. NZ statistics confirm that our region is the second fastest region growing in terms population size behind the Selwyn District. While such movement can put pressure on existing local services and housing stock (most likely keeping our local planners awake at night…), I also see it as an incredibly exciting time for the region. Such population growth should continue to drive prosperity in our region over time – I am calling it the new ‘gold rush.’ I am intrigued to see how our region will look in 5 to 10 years’ time based on current forecasted population growth statistics. Furthermore, if the country is to incur some form of recession over the next few years as analysts are predicting, then such population growth should insulate us somewhat. Let’s hope so; now is the time to be cautiously optimistic in my view.Finally, here’s the one bit of accounting speak for this article. As the deadline to file your 2022 tax returns fast approaches, if you haven’t already done so, please contact your accountant. Time is running out to complete yours and avoid any late filing penalties!And in relation to the end of the current financial year (31 March 2023), if your business holds stock >$5,000 please make sure you do a stock take at the end of the year. If you have any bad debtors, please ensure they are written off before 31 March 2023 for them to be deductible in that financial year.  If you have any queries, you can always speak to your accountant, or reach out to me and we will look to resolve!

We currently face a tough market to attract employees, so retaining staff we acquire is crucial. It is important that you cast the net as widely as possible when recruiting. To do so successfully means taking stock of what your current staffing looks like. Consider whether any changes might be needed to ensure your workplace is welcoming to all.Most business owners and managers will be driven to create a workplace that is welcoming. To achieve this, reflect on how you would ensure this is the case for someone who is, in one way oranother, different to the majority of your employees.This could include differences in gender, age, sexuality, ethnicity, family situation, neurodivergence, or disability, to mention a few. While, hopefully, no one would set out to make someone feel uncomfortable or unwelcome, workplace norms that have developed over time may unintentionally have this effect.For example, your workplace might have a majority of single, 20-somethings employees without family commitments. Then, you employ a 35–40-year-old single parent with young children.Everyone is friendly and welcoming and might even be understanding that the new employee requires more flexibility in working hours or location. However, what if all the opportunities for staff to bond take place straight after work or staff functions are held in the evenings? The new employee might find it hard to participate in these events and end up feeling excluded and unable to bond with the rest of the team.So, what to do? Certainly, not everything will suit everyone, but a simple first step is to be aware of staff differences. In this situation, you could let the person know that you are planning a staff function and would love this employee to be involved. Ask them how you can help facilitate that. It might be they have a friend who will help them out if there’s time to plan, or you could contribute to a babysitter, or even arrange a lunch function during work hours so that they are included.Whatever the differences might be, the key is to be aware of diversity but not afraid of it. Our country is diverse and therefore a diverse staff is more likely to be productive and connect with the community and a wider customer base.Take stock of your staff, aim to hire for diversity, but when you do be mindful to ensure you are being actively inclusive. If in doubt, ask them, there’s no need to shy away from it –most likely if they are the only person in the workplace that is a man, gay, from a different ethnicity, religious etc. they will be well aware of it. By opening up the conversation you are showing that you want to make this workplace their place, too, and that you take inclusion seriously and are willing to walk the talk.For more advice on how to actively encourage diversity and inclusion at your workplace, get in contact with the team at EASI NZ.

Two months into the year seems like a good time to look at how the local real estate market is faring. The news for Central Otago is generally positive, with the latest statistics (January 2023) from REINZ supporting the gut feeling of local agents that we are doing better than many other places.The median house value nationally declined 13.3% in January 2023, but that is reduced to a 9.3% decline if we exclude Auckland. While Otago as a whole dropped 11%, in comparison, Queenstown/Lakes area median values declined by only 1.6%.The market in our area has softened, but nowhere near as much as in other parts of NZ. Overall, the figures tell us that NZ has become a land of two markets: urban centres that are experiencing a larger downturn, and rural areas where median values are moving backwards more slowly. That slight softening is having an impact, however.Sales in Central/Otago Lakes were down 15.4% in January 2023 compared to January 2022. Last year 15 houses sold in Alexandra/Clyde in January; this year it was eight. In Cromwell, in January 2022 there were 37 sales compared to nine this year.Nationally, new listings are down 16%, and it now takes 53 days to sell on average, 16 days longer than in January 2022. Otago’s median price for January 2023 had dropped 11.6%, but that includes Dunedin – one of the cities feeling the pinch. Auckland, meanwhile, has seen the median price plummet by 21%.Statistics like these are useful, but they don’t tell the whole story – in part because they lag real world trends by a month or so. On the ground, the feeling here in Central is that while there might be a bit more softening to come, we should be pretty well protected from any major real estate downturn.There are a few reasons for that:Urban flight to this region has remained steady since Covid19 took hold. We expect that to continue, especially with the adverse weather events up north. The Otago economy is holding up well and that attracts people.The job market is still tight. Even as interest rates or mortgage refinancing bites, workers are in such demand here wages will need to compensate to retain people. Demand for holiday homes is still high from our traditional markets of Dunedin and Southland, helped by a beautiful summer.There’s still a heavy demand for rental accommodation in our area, but we have recently heard that a lack of management and cleaning staff has some B&B owners considering reverting back to long term rentals.In February, which we don’t have figures for yet, there was a noticeable increase in viewings and multi-offers and it feels like a bit of momentum is gathering. Good, well-presented homes, especially lifestyle blocks, are in demand.As always, if you see something you love, snap it up – though it will be a distinct advantage if you are a cash buyer. If you want any further information, as a buyer or seller, get in touch with us at Tall Poppy. 

We hope that you’ve had the opportunity to take time out over the summer and spend it with friends and family.Recruiting has been a challenge in recent years, and 2023 has already seen some enormous demands put on employers with the migrant wage due to rise on February 27th from $27.76 an hour to $29.66.Under the new rules, migrants will be required to meet the wage threshold in force at the time they apply for their visa. If the wage threshold increases between the job check being approved and the application for the migrant visa, the remuneration may need to meet a higher threshold than what was approved in the job check pay range.For example: A job check is granted on 15 January 2023 based on the current median wage of $27.76.If a candidate is offered employment and applies for an Accredited Employer work visa before 27 February 2023, the rate must meet at least the median of $27.76 which is the median wage in the immigration system at time of application.If the candidate applies for an Accredited Employer work visa on or after 27 February 2023, the new rate of $29.66 will apply.Unfortunately, this has also put pressure on finding affordable local staff because no one wants to do the same job but earn less money than the person next to them.So, what do we do if we can’t afford to pay everyone in the business at least $29.66 an hour?Fortunately, studies show that job satisfaction is not just all about the money. The top reason for leaving (or staying) with a business or organisation is actually culture. What’s it like to work for you?A strong boss or manager can lead staff while creating an enjoyable place to work and a positive culture through various means:Provide transparency in your business to your employees. Line up jobs with strategic business targets.Clearly identify people’s tasks and responsibilities. Show recognition when someone does a good job and reward them for it.Identify career progression and pay scales.Actively participate in succession planning.Involve the team in business processes such as business continuity planning.Provide training opportunities that meet both your business requirements and their own personal aspirations. These are all essential elements of culture and provide additional reasons why people might want to work for your business.It’s also time to stop offering people jobs and start offering them careers. Opportunity can be a two-way street and businesses generally benefit from investing in their staff, whether growing management and leadership skills or providing access to learning new sets of skills that the business can use going forward.Many businesses in Central Otago can provide workers with opportunity over money. Now is the time to tell people why they should be working for you and what you will do for them.Employment is a partnership.  If a candidate or employee is only interested in the money, ask yourself if they’re really the right fit for the business or whether you are presenting a not attractive enough opportunity.If you’d like a chat about recruitment, linking job descriptions to company strategies, culture, pay-scales, or anything else relating to human resources, please give Cherilyn a call on 021 665 013.