Unless you have been living under a rock, it's no surprise that New Zealand is in the middle of a cost of living crisis.
Inflation has risen to a huge 7.3 percent and wages aren't matching that increase, putting pressure on Kiwi's finances.
Last week, just how much we are spending to cover our basic expenses was highlighted when an American engineer asked whether a $110,000 salary was enough for a family of four to live comfortably in Auckland - to put it bluntly, it wasn't.
Gone are the days of $5 flat whites and when you didn't have to pay an arm and a leg just to fill up your car.
But just how much does it really cost to live in New Zealand?
Newshub has crunched the numbers for the cost of living in the country's three largest cities.
The calculations are based on a family of four, two adults and two school-aged children, living comfortably in Auckland, Wellington and Christchurch.
Housing
First and foremost is the biggest expense for families - house prices.
"Your number one expense for most households are your mortgages or rental costs and most of those are out of your control, they're pretty much set," Financial Advice NZ CEO Katrina Shanks told Newshub.
Shanks said with interest rates going up as people come off their fixed-term mortgages we are seeing rent go up across the board which represents those increases in costs for landlords.
According to the Government, market rent for a three-bedroom house in central Auckland costs a household an average of $790 per week.
For a three-bedroom apartment in Wellington Central, it costs $845 per week.
And in Christchurch Central, a three-bedroom house will set you back $550 per week.
Food and transport
Shanks said the next biggest cost for households is food and transport.
The IRD's Household Economic Survey 2019, adjusted for the current inflation rate found an urban Auckland couple with two dependent children spent around $417 each week on food and groceries. Wellington was around $396 and Christchurch was $353.8.
Shanks said they are hearing that average families have increased their spending on food by at least 10 percent in the last few months due to the cost of living.
"That is a huge increase for households who are living pay to pay."
The cost of petrol is also more expensive in Auckland due to a 10 cents regional fuel tax on both petrol and diesel sold in the region.
Gaspy found the cheapest 91 octane fuel on Thursday was $2.61 per litre in Auckland, $2.60 in Wellington and $2.48 in Christchurch.
For a family of four, a full tank of petrol for an average 50-litre car will cost around $130.5 per week in Auckland, $130 in Wellington and $124 in Christchurch.
A WOF, basic service and registration costs around $260 per year which is an additional $5 per week.
Bills
Shank said in winter electricity is another big cost for households, especially with the current cold snaps.
A family of four spends on average $100 a week on bills including power, phone, internet and gas.
Entertainment
One trip to the movies and one trip for dinner each month costs an average of $250 per week.
A gym membership for two adults is on average $50 per week, plus $100 per week on clothes.
Savings
Shanks said having an emergency fund is really important so households are able to tap into it when things go wrong rather than going into debt.
The family saves $100 per week for emergencies on top of $200 a week for Christmas and holidays combined.
The family also contributes a minimum of three percent of their income to Kiwisaver.
Results
An average family of four in Auckland would need a combined income of around $111,150 annually after tax and Kiwisaver contributions to live comfortably. Including tax, ACC and a three percent contribution to Kiwisaver, the family would need to earn around $162,600 annually.
In Wellington, the cost of living for the family costs after tax around $112,892 annually, which is around $165,320 before tax and Kiwisaver contributions.
Christchurch came out the cheapest with the average family of four spending around $95,045.6 after tax each year to live comfortably. This is around $137,440 before taxes and Kiwisaver contributions.
Stats NZ's average weekly earnings (including overtime) for full-time equivalent employees (FTEs) at the end of June 2022 went up 5.7 percent to $1438 per week which equals just over $55,840 annually after tax and a three percent contribution to KiwiSaver.
According to these calculations, for the average family of four to live comfortably in the main cities would need to be well over the country's average income or both parents would need to be earning just over the average income.
Make your money work harder
Shanks said while inflation is high there are still ways Kiwis can keep costs down without missing out on their quality of life.
She said it is important for families to analyse their everyday expenditure and go through line by line to see how they can tighten things.
Shanks said one way to cut down on unnecessary spending is to understand if you have any money costing you money, for example missing credit card payments and paying high-interest rates.
She said getting in control of your debt is important to keep costs down if you are able to.
In terms of everyday spending, Shanks said making your own lunch or 'home takeaways' instead of buying out is a good way to save money.
She also advises people to look at their mobile plans, power companies and online streaming services to make sure they are on the right plans and getting the most bang for their buck.
"This tightening doesn't mean you lose a standard of living it just means you're making your money work harder for yourself than previously," Shank said.
"We work hard to get our income, it's really important that we make it work hard for us when we spend it as well."
