Lotto, WOF and charity: How Kiwis are spending their cost of living payments

The first portion of the Government's cost of living payment is hitting people's bank accounts today and Kiwis are wasting no time spending it. 

The payment of $116.67 is the first of three, with the second and third portions coming on the first business days of September and October. It works out at $350 and will go to Kiwis who earn $70,000 or less, aren't entitled to the Winter Energy Payment and meet several other criteria - roughly 2.1 million New Zealanders. 

The payment is aimed to help support Kiwis as the cost of essentials soars.

It comes after inflation increased a whopping 7.3 percent, the largest jump in 32 years, in the June 2022 quarter. 

Most eligible Kiwis will get their payments today but even if it's not in their accounts, people are already revealing how they plan to spend it online. 

One social media user said they were planning to spend their entire payment on Lotto. 

"First cost of living payment came through," they posted on social media website Reddit, alongside a picture from the Lotto app showing they were topping up their account by $116.67.

Meanwhile, other Kiwis were taking a less risky approach with one person revealing they were giving it to charity because they didn't feel they needed it. 

Another joked they were going to buy six blocks of cheese with their payment due to the rising cost of food while another said they were going to pick up $116.67 of lollies. 

Another revealed they were using their payment to buy Damp Rid sticks to dry out their house as the mid-winter weather takes effect. 

"As soon as my cost of living payment hits I am going to buy so many Damp Rids to stick around this house," they said. 

Additionally, one person said they would use it to get a warrant of fitness and service for their car. 

Meanwhile, one social media user revealed they would be giving their payment to Auckland Action Against Poverty. 

"Pledging my $350 cost-of-living payment to @_AAAP_ to fight for systems change so the people who most need financial support are the ones who get it first - and on a *regular* adequate basis," they said. 

Another man revealed he was giving his payment to his children who were on the benefit because they were the ones that actually needed it but weren't eligible. 

Most beneficiaries not being able to receive the payment has been a point of contention with many Kiwis pointing out they were the ones that needed it most. 

"Lol, I'm too poor to receive it," one person lamented online. 

To be eligible for the payment you must have earned $70,000 or less in the period 1 April 2021 to 31 March 2022, not be entitled to receive the Winter Energy Payment because you get NZ Super or a qualifying benefit from the Ministry of Social Development (MSD), be aged 18 or older, be both a New Zealand tax resident and live in the country and not be in prison.

The payment has already come under scrutiny after it was revealed several ex-pats and foreigners had received the payment despite not living in the country.