House Prices

Nostalgia for 50s just dreaming

Q: I wonder if you could tell us just what we are getting when we have a term deposit.

We are given an annual interest rate, but what is the actual after-tax rate and how much does that become at the end of the year?

It would be good to have a chart that showed, for $5000 for one year at different interest rates, the after-tax rate and dollar amount of interest for

Monday, September 27th 2004

those paying 19.5 per cent tax, 33 per cent tax and 39 per cent tax.

A: Rather than showing you for just $5000, I'll give you some formulae that you can use on any amount of money and any interest rate.

The way the tax system works, it's more accurate to say those with taxable income of less than $38,000 are in the 21 per cent tax bracket, rather than 19.5 per cent.

Read More - Opens in a new window

Most Read

Unity First Home Buyer special 3.99
SBS FirstHome Combo 3.99
ICBC 4.25
Co-operative Bank - First Home Special 4.39
TSB Special 4.49
ANZ Special 4.49
ASB Bank 4.49
SBS Bank Special 4.49
Unity Special 4.49
Westpac Special 4.49
Kiwibank Special 4.49
TSB Special 4.00
Kainga Ora 4.49
Kiwibank Special 4.49
ICBC 4.59
Unity Special 4.65
Nelson Building Society 4.67
ANZ Special 4.69
SBS Bank Special 4.69
BNZ - Std 4.69
AIA - Go Home Loans 4.75
ASB Bank 4.75
ICBC 4.99
Kainga Ora 5.15
SBS Bank Special 5.29
Kiwibank Special 5.39
TSB Special 5.39
Westpac Special 5.49
Co-operative Bank - Owner Occ 5.49
BNZ - Classic 5.59
BNZ - Std 5.69
ASB Bank 5.69
AIA - Go Home Loans 5.69
SBS FirstHome Combo 3.29
AIA - Back My Build 3.34
SBS Construction lending for FHB 3.74
CFML 321 Loans 3.95
Co-operative Bank - Owner Occ 4.99
Co-operative Bank - Standard 4.99
Heartland Bank - Online 5.30
ICBC 5.39
Kiwibank - Offset 5.65
Kiwibank 5.65
Kainga Ora 5.69

More Stories

Wednesday, January 07th 2026

Queenstown not off the radar for first home buyers

First home buyers are not being deterred by Queenstown’s soaring house prices.

Record levels of first home buyers taking out low deposit loans

Tuesday, December 23rd 2025

Record levels of first home buyers taking out low deposit loans

About half of all first home buyer lending has been done at a less than 20% deposit in recent months.

Buyers sitting on the sidelines in best time to buy in a decade

Thursday, December 04th 2025

Buyers sitting on the sidelines in best time to buy in a decade

Stable house prices, low interest rates and plenty of houses to choose from are still not enticing buyers.

Differing views on 50-year mortgage

Tuesday, December 02nd 2025

Differing views on 50-year mortgage

US president Donald Trump recently raised the idea of 50 year mortgages; but New Zealand advisers say such long loans won’t take off in New Zealand.