Budget 2022: Everyday Kiwi, financial mentor react to $350 payment from Government

Many Kiwis are in for a $350 payment from the Government - but is it enough for them? AM asked an everyday Kiwi and a financial mentor.

Everyday Kiwi Scott Harvey told the show he does not think the Government's $350 payment will help low-income families much at all. Harvey had to move back in with his Dad and two teenage sons after rent became too expensive.

He told AM this morning, that with the payment, he could probably afford mince but not cheese."It just means I get to buy a nicer packet of mince and three jars of sauce. still can't afford cheese so it will be bread."

The father also thinks the money should be distributed around Christmas time when families want to celebrate together.

."It's the wrong time of year, why can't we have it at Christmas so we can have a better Christmas?"

Bay Financial Mentors general manager Shirley McCombe told AM the payment will be a temporary fix to a long term problem.

"I think it is going to help but only in the short term."McCombe said it’s  is a "drop in the bucket" and more needs to be done to benefit Kiwis.

"If we still can't stretch their budget far enough to meet their basic needs, then we have a problem," McCombe told AM.

From August 1, roughly $27 per week will be paid out to an estimated 2.1 million Kiwis who earned less than $70,000 in the last tax year and are not eligible for the Winter Energy Payment. The payments total $350 and end after three months.Watch the video above