Are you a big spender?

HOW DO your spending patterns compare with those of

*taverage”

Canadians who live the same way as you?

-Especially when times are tough, it helps to know whether
_ your living expenses are in or out of line.

People rarely talk to each other
about their spending habits. 1!
review — in confidence — the
personal financial details of hun-
dreds of individuals and families
who have completed a financial
questionnaire when they come to
see me for advice. One of the
most common questions they ask
is how they compare with others.

There are uo firm guidelines on
the “right”? amount of money to
spend on food, clothes, cars and
so on. What works for one indi-
vidual or family might be totally
inappropriate for another.

But to give you an indication of
spending habits, I approached
Wilson Baker, president of Tetrad
Computer Applications Ltd., for
some information. In 1988, Tetrad
developed two programs, PCensus
and PSearch, to combine census
and general Statistics Canada
data.

“We can tell Toyota which
postal code areas are most likely

to contain potential Lexus buyers,.

for example,’’ Baker said.

“"“We have developed
demographic software and data
bases which allow organizations to
look at their markets, to beiter
understand the people they are

-serving and to reach people they

hope will buy their products and

services.
“Put another way, where you
live determines the kind of junk
. mail you get.”
Tetrad, which has been in
. business in Canada for 24 years, is
about to launch a similar com-
puter software service in the U.S.
I. asked Baker to run some
spending details on a sampling of
the 47 different groups defined in
' Tetrad’s Mesaique software —
‘ . like “‘Old Money and Establish-
ment Wealth,’’ ‘‘Young Profes-
sional Families in Transitien,’’
“Singles and Couples with Mod-
erate. Incomes,’’ ‘‘Maturing and
Empty Nest Homeowners’’ and
**Pensioners.”’
For each group Baker provided
details for a cross-section of the
-dozens of spending categories: (a)
“personal” income _ tax, (6) food

Michael
Grenby

DOLLARS AND SENSE

from stores, (c) food from restau-
rants, (d) operating car/truck, (e)
women’s wear, (f) men’s wear, (g)
home entertainment equipment
and service, (h) alcohol and (i) in-
terest on personal loans. .

44 Where you
live determines
the kind of junk
mail you get. 99

Some interesting trends emerge.
For example, in general as people
get older, women spend increas-
ingly more on clothing than men.
~ You might like not only to find
the category that most closely
describes you but also to compare
your spending habits with those of
people in other categories.
Remember, these figures are
averages. .

@ Old Money and Establishment

SEE YOU AT THE SHOW

Wealth. These are the wealthiest
consumers; 85% own their own
homes and only about 30% move
in a five-year period (compared
with the national
44%).

Most are English-speaking fam-
ilies; many are ir the latter stages

of child-rearing with teenagers in,

high school. They buy six times as
many luxury cars as-the national

average. They like expensive trav- -

el, entertainment and other feisure
products and services.

Annual spending amounts: (a)

$17,321; (b) $4,705; (c) $2,329; (d)
$3,436; (e) $2,024; (f) $1,185; (2)
$690: (h) $1,107; (i) $590.
@ Affluence and Achievement.
These famities have very high in-
comes, but unlike the previous
group, they didn’t inherit any of
their money.

Family heads are in mid- to late
career with children in primazy
and secondary schools. More than
half the families have two or more
children. They buy new cars at
twice the average rate.

(a) $13,398; (6) $4,610; (c)

$2,101; (d) $3,311; (e) $1,677; (f
$1,001; (g) $650; (h) $2,057; (i)
$561.
@ Upscale with Immigrant Roots.
Family size is well above average,
and the children tend to he in
primary school. Relatively large
mortgages restrict discretionary
spending. Two-income families
are common; the principal wage-
earner usually hasn’t reached his
or her peak earning years.

Large family size makes vans,
four-wheel drive vehicles and
home electronic products popular.
An Asian heritage is common,
followed by Italian roots.

(a) $10,848; (b) $4,432; (c}
$1,871; (d) $3,148; (e} $1,446; (f)
ar (g) $599; (h) $1,002; (i)

Next Week: How Young Pro-’

fessionals, Affluent. Retirees,

Maturing/Empty Nest Homeown-

ers and others spend.
Mike .Grenby

dependent financial adviser’ who

works with -individuals; he will _

answer your questions as space
allows — write to him c/o The
North Shore News, 1139 Lonsdale
Ave., North Vancouver V7M
2H4, . .

. Mail the coupon or phone today for your FREE one hour consultation.
Vicki Thornberg

654-1409

Fax: 654-1191

McDermid Se. Lawrence Chisholm Ltd.

Atten.: Thornberg / Mediand

10th Floor, 601 West Hastings Street

Vancouver, B.C. V6B SE2

Gord Medland

654-1145

average of

is a North,
Shore-based columnist and ‘in-.

Wednesday, January 29, 1992 — North Shore News - 54

MONEY MATTERS
RS. 2:

“How do _
they manage
to do it?”

TRIMARK
MUTUAL FUNDS
WE MANAGE, -

TO OUTPERFORM.

Initial
$10,000

Investment

This chart represents the performance of Trimark Canadian Fund’s 10 year average annual compound rate
of rsturn to December 31, 1991 of 13.8%. The latest 1, 3 and 5 year returns are 20.2%, 7.9% and 9.8%
repectively. These rates of retum reflect distributions reinvested, exclude sales charges and RRSP administra-
tion fees and have been audited by Emst & Young, Chartered Accountants. All resuls are baned on past
performance and are not indicative of future results. Funds are offered by prospectus only.

CALL ME TODAY

GREG GIRDLER |
(604) 669-1143 — 987-2082

GREAT PACIFIC MANAGEMENT co. LTD.
300 - 1190 Hornby St.
Vancouver, B.C. V6Z 2K5

strategic planning group itd.

. These days, it is difficult to achieve financial
wealth and security without devising a
Strategy.

Our brokers assist you in deciding ‘which.
strategies are best for your situation.
Our brokers specialize in:
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