Bape?
te
|

}

S

| «Business

You certainly are hungry for
information to help you improve
your personal financial situation.

Qver the past six months, you
and your fellow readers have writ-
ten and phoned for more than
12,000 newsletters, graphs, finan-
cial strategies and planning exer-
cises offered through this column.
Among the more popular items:

— An offer of a free copy of
Taxation Today, a Winnipeg-based
newsletter, drew 4,166 requests.

— About 4,000 people asked for

@ another newsletter, The Canadian

@

Taxpayer, by Ottawa tax lawyer and
author Arthur Drache.

— Vancouver financial planner
Don Pooley has received 2,707
letters with self-addressed enve-
lopes so far in the latest offer: a
do-it-yourself financial planning
questionnaire and two graphs
showing what incomes various
RRSP totals will produce at vari-
ous ages. “Canada Post now deliv-
ers my mail in large canvas bags,”
said Pooley after a 462-letter day.

— An offer to provide five free
personal financial plans from the
Canadian Association of Financial
Planners, Pacific Chapter, attracted

@ ‘4 entries, most of which
~ involved hours of preparation and

a

often ran to several pages.

— Deciding whether to pay up
an RRSP or pay down a mortgage
was a concer for the 850 people
who called DirecTrust for a one-
page guideline and comparison of
the two approaches —“‘a far
greater response than we
expected,” said Kathleen Richard-
son, marketing manager of the
Toronto-based company:

While the preceding offers have
now expired, I will continue to
watch for other helpful material
and arrange to make it available to
readers.

Knowledge is power — the
power to invest more successfully,
to retire sooner, to pay less tax, to
enjoy your money more. Just
remember: you need to apply that
W@rowledge, to exercise that power,
if you want to see those results.

* * *
Ottawa finally raised the rate on
all Canada Savings Bonds, to 11.5

from 10.5 per cent effective June
Ol through October 31.

That news should prompt you to
review your interest-bearing inv-
estments (non-RRSP and RRSP),
to make sure you are earning the
maximum return. A few minutes
could easily increase your income
by several hundred dollars.

When Finance Minister Michael
Wilson announced the increase,
you could have been eaming more
than 13 per cent on your funds
through T-bills (which is one of
the reasons he did raise the CSB
Tate).

Had you moved $50,000 from
CSBs to a six-month T-bill on
May 1, for example, you would be
on your way to more than $500
extra interest.

Shopping around — or using a
company which shops for the best
rates for you (usually without
charge) — can certainly pay.

‘Recently, rates offered for a
one-year deposit varied from 12
per cent to 13.35 per cent. That
meant your $50,000 could earn
$6,675 rather than $6,000 — a
$675 or 11.25-per-cent improve-
ment.

Perhaps you can’t always have
your funds with the most competi-
tive company. But earning even an
extra one per cent — say 11
instead of 10 per cent — on annual
RRSP contributions of $5,000 for
25 years will increase your return
by almost 20 per cent to produce
an extra $104,085.

* * ok

Do you have trouble getting
accurate and consistent informa-
tion from financial institutions
about RRSPs, RRIFs and RESPs
(registered retirement and educa-

New greeenhouses energy efficient

A Central Saanich flower farm
that produces flowers for major
North American markets is reduc-
ing its energy costs by 20 to 30 per
cent due to a new energy conserva-
tion program designed by B.C
Hydro.

The implementation of Power
Smart high-efficiency motors, an
energy curtain imported from Hol-
land and computerized technology
has also allowed flower production
to increase, Jan Vantreight, general
manager of G.A. Vantreight and
Sons Farms said.

“Now we will be offering lilies,
gladioli, freesias, Star of Bethle-
hem and even kiwi fruit. We now
will also be able to use our
greenhouses year round, which
was not possible with the old
ones,” he said.

He said the Dutch energy cur-
tain is made from foil and glass
fiber and acts like an insulating
blanket over the greenhouses, cov-
ering it at night to conserve heat.

Previously, daffodil bulbs were
sprouted outside under sawdust,
Vantreight said.

STRAIGHT TALK
ABOUT
YOUR MONEY.

tl

i=

fot

qs=====
} eee
i

1

it if

jp ERUA Cer EET Tor
wan Feo (Va [For May Uso Lov ¥

and straight talk call Gurney S

Getting the most for your investment dollar is as easy as
talking to the right people. For eeu, a higher rate of return
mit

& Asssociates today.

GURNEY SMITH & ASSOCIATES LTD.

FINANCIAL CONSULTANTS « LIFE UNDERWRITERS

SUITE 6 - 9843 2nd St, SIDNEY (In Marina Court) 656-2411
1205 C Verdier Ave, (Brentwood Bay Shopping Centre) 652-1482

= Overwhelming response from readers

tion savings plans, and registered
retirement income funds?)

It’s a challenge. Not only are the
tax laws complex and always
changing, but relatively few people
at the institutions stay focused on
these plans year around.

Revenue Canada, Taxation,
would provide a useful service if it
could produce a reference guide
for the banks, trust companies,
credit unions, investment firms,
insurance companies and others
dealing in RRSPs, RRIFs and
RESPs.

Meetings are now being held
across Canada at which account-
ants and Revenue Canada person-
nel review the 1989 tax filing
season — in particular, the T1 and
other tax forms. Some suggestions:

— Provide information on the
altemative minimum tax (AMT)
in the capital gains and RRSP
guides. Some people who think
they pay no tax because of the
capital gains exemption or an
RRSP rollover can be unpleasantly
surprised when they get an AMT
bill.

— Explain the procedure for
catching up it you have not been
declaring the interest on com-
pound Canada Savings Bonds
annually or every three years.

— Make it clear the dozen
supplementary guides provide
only additional information and
forms, and do not include the T1
form.

If you have criticisms or sugges-
tions, write to Tax Forms Director-
ate, Revenue Canada Taxation, 875
Heron Road, Ottawa, Ontario KIA
OL8.

Mike Grenby is a Vancouver-
based columnist and independent
personal financial adviser; he
will answer your questions as
space allows in his column —
write to him clo The Review, P.O.
Box 2070, Sidney, B.C. V8L 3C5

TheReview Wednesday, June 13, 1990 =

Al7

Shopping around — or using a
company which shops for the besi.
rates for you (usually without

charge) — can certainly pay’ -

CS} CAPITAL CONSULTANTS LTD.
is Personal « Corporaie

\S INVESTMENT ADVISORS
> FINANCIAL PLANNING PAYS —

Complete Investors Service

Including RRSP’S, RRIF’S
Educational & Monthly
Savings Plans

Lee Ann Weigold

Financial Planning

384-8844

or 655-4105 Res.

Centennial Rose
Sale

95

per dozen

DOLMAR

always a cut ahead

THE PERFECT FATHER’S DAY GIFT

FREE BONUS KIT* with any Sachs-Dolmar
chainsaw purchased between June 14th-16th

SACHS-DOLMAR Til

The low-priced lightweight

all round chainsaw

WE DELIV]

CALL TODAY!
652-3908

e 51 ce motor
e Automatic oiler

} e Vibration damping
” e Chain brake
e Electronic ignition

*Bonus Kit Contains:

e Spare chain

¢ One gallon fuel container

e Sachs-Dolmar hat

e Sachs-Dolmar gloves

e File and file handle

e Approx. $75.00 value
(Available while quantities last)

aK Le

2 ol SERVICE,

6777 KIRKPATRICK CRESCENT
(OFF KEATING X ROAD)

= =e = % eS SS

ae

a En
Pe aie

TS aan ee eee