fbpx

Smoking is a difficult habit to quit.  There are many services that can help you, the most commonly known is Quitline, and each person will quit for different reasons.  For some it will be that they want to live a healthier life.  Others will quit because they want to be a role model for their family.

The financial cost of smoking

Some people end up quitting because of the huge day-to-day cost of smoking.  Cigarettes are expensive and getting more so every year as the government adds taxes on.  For some people, the realisation of how much they are spending on cigarettes in a month is enough to make them quit immediately.

If you think you might be that type of person, we’ve created a little calculator below for you.  The only information you need is:

  • your mortgage amount and interest rate and,
  • how many cigarettes you smoke per day

The form will show you how much you can save on a 30 year mortgage if you quit smoking and put that money onto your mortgage payments.  The field you should be most interested in is the last one.  That will be how much extra interest you have saved – how much money you now have for retirement – by quitting.

This form is not about shame.  Smoking is a hard habit to quit.  It is about finding the one thing that gives a smoker the resolve to quit.  If it is the potential to save money and retire earlier, this is the form for you.



One further financial benefit from quitting smoking

Remember, if you were a smoker when you started your life insurance, contact your Life and Health Insurance Adviser once you have stopped for 12 months.  You’ll save even more on your insurance premiums!  The Mortgage Lab don’t provide advice on Life and Health insurance but we work with some fantastic insurance advisers.  If you don’t know who your Adviser is, get in touch and we’ll point you in the right direction.

Latest Posts

OCR announcement - 13/11/19

No reduction of the OCR Despite the diversity of opinions of whether to cut or not to cut the Official Cash Rate to 0.25%, the Reserve Bank unexpectedly held interest…

Read More

The Official Cash Rate (OCR) explained

What is the OCR? The OCR is an interest rate set by the Reserve Bank of New Zealand which defines the wholesale price of borrowed money. This directly affects the…

Read More

Deposits: How much do you need for your first home?

If you have less than 20% deposit, you are referred to (by the banks) as a Low Equity (or Deposit) Borrower.  You are required to meet a different set of…

Read More

First Home Grants and KiwiSaver

First home buyers can often get tangled up in the pile of new concepts to learn.  In this article, we explore the basics of withdrawing your KiwiSaver and meeting the…

Read More

Read previous post:
Cooking the Books podcast: The tricks to negotiating the best mortgage
Cooking the Books podcast: The tricks to negotiating the best mortgage

Each week the NZ Herald and Newstalk ZB's Cooking The Books podcast tackles a different money problem. Today, it's why...

Close