WwW rules when you take fr TAKING money out of an RRSP to spend and enjoy is the only reason you contribute in the first place. But make sure you know all the rules to get back as much as possible. Perhaps clip this column to keep with your RRSP papers. The deadline for de-regis- ICBC HAS A TEAM OF LAWYERS, SHOULDN'T YOU? ° All claims have time limits * Documents you sign can be used against you. | Taylor & Blaia @ARRISTERS & SOLICITORS® 4 102-145 Wast 15th St. North Van ita 983-4311 www.taylorandbiair.com Graham Taylor FREE CONSULTATION Kevin Blair ‘Your Complete Mechanical epairs & Service Specialists Summer is almost here, so put your tind at ease with our Special Offers LUBE, Oli, FILTER $9. 455° a Check a flaid fevers and corrast if necessary “includes oi] & filter - ar Summer Super Service = ee . Stet AO ‘Cooling System Service | check belts and basse nee aurea. $9Qs - fcddes BNhtttZ9 2. aces cece ee ee nen ee ee see ‘axas cir pcast ears & Sigh bts} eel Alignment : On the latest 617 Hunter alignment 4 machine providing a compater gensrated before & after report LT fal ed | | al "Pls taxes. Parts otra W required Prices cover most makes anid models 183 Pemberton Ave. TALIS $85-7195 Gre. USINESS tering an RRSP is the end of the vear you turn 69, although you may take out money earlier. your entire RRSP will f added to your income — and taxed — in the following year. Choose one or more of the ways to withdraw your mon cash, annuity, RRIF (eegistered retirement income fund), LIF (life income fund, for a locked- in RRSP), home buvers’ plan, RRSP learning plan. Try to withdraw funds when income is as low as pos- sible. When you get back your RRSP money, you add it to your income that year. Note if home buyers ideniify new homes that are built by licensed residential ance requirements. you pav back money “bor- rowed” from your RRSP tor the home buvers’ or learning plans, vou postpone the tax. Ifyou withdraw cash, up to 30% tax is withheld at source, So take out only up to $5,000 ata time and only 10% tay is withheld — ask your adviser to structure this properly. Just make sure you will have enough money by the follow- ing April 30 to pay the (25- 50%) income tax on the total withdrawn. An annuity is like a p sion. It locks in current inter- est rates and guarantees an income for lite. But you have little or no control over your money. Those who die early finance those who live longer. no RRIF lets you decide how to invest your money and, subject to a minimum withdrawal formula, how much to take out. The rest of the money continues to grow For maximum flexibility, base the RRIF withdrawal minimum on the younger spouse’s age. If you are 65 or older and have no private pension, trans- fer RRSP funds to an RRIF to create income eligible for the $1,000 pension income amount — and save around $250 tax a year. Logo liftoff PROVINCIAL Minister of social development and economic security Jan Puilinger unveiled a new home war- . ranty logo at a recent press conference in North Vancouver. The logo is designed to help B.C. builders and oot. Go.online. Print thern out. And save money at all kinds of stores, services and restaurants in your neighbourhood. RRSP Until age 69, vou may can- cel an RRIF (perhaps you don’t need the income because you sell a home or cash an investment, for exam- ple, or vou remarry and your spouse is still working) by rolling the money back to an RRSP. You may take RRIF with- drawals in kind (if you don’t want to sell stocks or bonds, for example) to mect the mini- mum requirement. Mike Grenby is a columnist and independent _ personal financial adviser; he'll answer questions in this column as space allows but cannot reply personal- ly. Contact him at mike@gren- by.com and see columns at . builders and meet home warranty insur-