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24-Year-Old’s Practical Guide on How to Be 'No Longer Broke' Is Inspiring Many on TikTok

Hannah earns an average salary like the rest of New Zealand's citizens, but she has found a way to spend and save.
Photo by Tima Miroshnichenko | Pexels
Photo by Tima Miroshnichenko | Pexels

Some people excel at managing their money and effortlessly navigating budgets while others may find it challenging. Fortunately, those who are skilled at budgeting are often willing to share their knowledge with those who may be less experienced. One such individual is Hannah Koumakis, who generously shares budgeting tips to help others avoid financial difficulties.

Hannah Koumakis, a 24-year-old assistant buyer for Mitre 10, a hardware retailer in New Zealand, detailed her approach to budgeting on social media. Despite earning what she describes as an "average salary," which is even below the national average, she has developed a system that works for her. In a TikTok video that garnered over 1.1 million views, Koumakis explained that she divides her monthly salary into 16 different accounts, each designated for specific purposes like rent, entertainment, groceries, and travel expenses. She also allocates a portion of charitable contributions. Hannah's practical approach demonstrates that even with an ordinary income, it is possible to effectively manage expenses and save for various goals.

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A post shared by Terry Koumakis (@terrykoumakis)


In New Zealand, the average monthly salary is around $NZ8200 ($A7580), totaling approximately $NZ97,300 ($A89,680) annually. Koumakis allocates $NZ788 monthly for her "flat money," covering rent, bills, and groceries. Additionally, she earmarks $NZ1100 each month to pay off the mortgage on an investment property, where she does not reside. To manage her finances effectively, Koumakis utilizes 16 accounts, categorizing them as either "accumulating" or not. The accumulating accounts steadily grow each month with a fixed amount. For specific expenses like petrol and food, she sets capped amounts that she replenishes monthly. For petrol, the cap is $NZ280, and for food, it's $NZ250. This structured approach allows her to handle her budget systematically.

Image Source: Photo by Karolina Grabowska | Pexels
Photo by Karolina Grabowska | Pexels

Koumakis manages several accumulating accounts to address various aspects of her life. She allocates $NZ50 for entertainment, $NZ150 for shopping, $30 for her car, $NZ70 for holidays, $NZ95 for insurance, and $NZ80 for other expenses, including her phone bill or any unforeseen costs.

Expressing her desire for a baby grand piano, Koumakis saves $NZ35 monthly for this specific goal, emphasizing the importance of starting to save at a young age. She also sets aside $NZ125 for 'short-term savings,' intended for purchases that are considered depreciating assets. Demonstrating her commitment to her church, Koumakis designates $NZ527 per month to a 'tithe' account and an additional $NZ50 for a 'Blessing' account. Any remaining funds are directed to her EFTPOS account, capped at $NZ50. If there is still surplus money, it is distributed to other accounts or directed to a longer-term savings account which ensures that every aspect of her financial life is accounted for and properly managed.

Image Source: Photo by Pixabay | Pexels
Calculating expenses | Photo by Pixabay | Pexels

“That is what I do when I get my money in every single month, and it’s just second nature and it’s so cool to be able to pay off the things that you need to,” Koumakis said. As part of her "No Longer Broke" series, Koumakis aims to educate her followers on improving their money management skills, enhancing financial literacy, and honing budgeting abilities. In addition to her regular 9-5 job at Mitre 10, she has diversified her endeavors by establishing various businesses. This includes the sale of guided journals, hosting a podcast, founding a non-profit networking group, and running a content creation and social media management agency. While Koumakis imparts insights drawn from her journey, she also takes inspiration provided by financial experts.