Financial capability — the knowledge, skills, attitudes, and behaviours that enable people to manage money well — is fundamental to wellbeing. Poor financial capability leads to debt, stress, poor health outcomes, and reduced life opportunities. In New Zealand, a well-developed funding ecosystem supports financial capability work — from government agencies to community organisations to philanthropic trusts.
Financial capability programmes help people to:
- Understand their income, expenses, and cash flow
- Manage budgets and make financial plans
- Access financial products and services appropriate to their needs
- Navigate debt and develop debt repayment plans
- Build savings and financial resilience
- Understand financial rights and protections
- Access government entitlements and benefits
Programmes range from one-off financial literacy workshops to intensive financial mentoring relationships lasting months or years.
The Commission for Financial Capability (now renamed the Retirement Commission) is the government entity responsible for improving New Zealanders' financial capability. It:
Manages the FinCap network
FinCap is the national network of financial mentoring and budgeting services in New Zealand — comprising approximately 180 budgeting services and financial mentors across the country. The Commission funds this network and sets quality standards.
Funds financial capability initiatives
The Commission administers grants for community financial capability initiatives:
- Financial capability education programmes
- Community money management support
- Digital financial literacy tools
- Research and evaluation
Manages the New Zealand Financial Capability Strategy
The national strategy coordinates financial capability work across government, NGOs, and the financial sector.
The FinCap network includes:
- Community budgeting services (helping people with budgets and debt)
- Financial mentors (trained volunteers and paid workers providing one-on-one support)
- Regional and national coordination through the FinCap network
These services receive government funding through the Commission and supplementary funding through:
- Gaming trusts
- Community foundations
- Local government
- United Way and similar charities
Commission for Financial Capability
The Commission is the primary government funder for community financial capability. Its grant rounds and contracted services cover:
- Financial mentoring programmes
- Financial capability education
- Specific community initiatives (retirement savings, first home, debt reduction)
Ministry of Social Development
MSD funds some financial capability work through:
- Community groups delivering financial mentoring alongside other social services
- Budget Advisory Services through its Community Grants
Banks and financial institutions
Major banks have financial capability commitments — Westpac's KiwiSaver and financial wellbeing programmes, ANZ's financial wellbeing initiatives, ASB's financial capability support. These often involve both direct services and grant funding to community organisations.
Gaming trusts
Gaming trusts fund financial capability initiatives:
- Community budgeting service operational costs
- Financial capability programme delivery
- Digital financial literacy tools
Community foundations
Some community foundations have funded financial capability as part of community wellbeing investment — particularly for communities with high financial stress (low-income communities, refugee and migrant communities).
The Todd Foundation and similar trusts
Some private foundations have funded financial capability as part of broader social investment.
Effective financial capability funders identify target populations where need is greatest:
- Low-income households facing financial stress
- Young people leaving care or starting independent life
- People in debt or at risk of hardship
- Recent migrants and refugees navigating the NZ financial system
- People with gambling addiction or financial impacts of gambling harm
- Retirees managing retirement income and KiwiSaver drawdown
- Māori and Pacific communities with specific financial contexts
- People experiencing family violence (where financial abuse is common)
Research on financial capability programme effectiveness shows:
- One-on-one mentoring is more effective than group financial literacy education for changing behaviour
- Just-in-time learning — when people are motivated by a specific financial need — works better than general education
- Addressing barriers beyond knowledge — income adequacy, access to appropriate financial products, mental health — is essential
- Cultural responsiveness — financial capability delivered within cultural frameworks works better for Māori and Pacific communities
- Integration with other services — combining financial mentoring with social work, housing support, or legal services addresses the full complexity of financial hardship
Strong financial capability grant applications:
- Demonstrate community need: financial hardship data for the target community, referral demand, waitlist for existing services
- Show programme model and evidence: what approach are you using, and what evidence supports its effectiveness?
- Articulate outcomes: what will change for participants? (Reduced debt, increased savings, improved budgeting practices — be specific)
- Demonstrate relationships: financial capability works best embedded in community — show your community relationships and referral networks
- Address cultural responsiveness: how does your programme serve Māori, Pacific, and other communities appropriately?
Tahua's grants management platform supports financial capability funders and the organisations they fund — with participant outcome tracking, programme management, multi-funder coordination, and the reporting tools that help financial capability organisations demonstrate the impact of their work on community financial wellbeing.