10 - Wednesday, December 26, 1984 - North Shore News Gi business Early bird gets RRSP bonus OW THAT we are approaching the New Year, most taxpayers are working Out their RRSP deadline of March 1, contributions for 1985. 1984 betore the However, we recom- mend you also consider making your 1985 con- tribution now instead of waiting until March 1} 1986. Here 1s why A contribution made on January | of 1985 instead ot March 1, 1986 will have 14 months of tax-sheltered in- terest growing inside the RRSP. A similar investment outside the RRSP would be taxable. The following is an ex- treme example, but it makes the point quite dramatically If you are in a SO% tax bracket and make an annual contribuuon of $5,500 at an , By BLRI WICKHAM interest rate of 12 per cent, then you will earn a total of $770 interest over 14 months The tax deducted from such earnings outside an RRSP would be $385. So, you will have an additional $385 in your RRSP at the end of the 14 months. Assuming a 12 per cent return over 20 years, this single item will have grown to over $3,700. If vou did wt every year for 20 years then you would have nearly $31,000 more in your RRSP than if you had left the same money invested outside your RRSP On the other hand, if you did nol invest this money separately, then the addi- tional funds in your RRSP resulting from early contribu- trons would result in you hav- ing $55,000 more at the end of the 20 years than you would by always leaving it to the last moment. At today's annuity rates, such a sum would provide ad- ditional pension income in excess of $600 a month! This 1s quite a bonus for being an early bird! As this will be our last arti- cle on Returement Planning Innovative job creation “If we want to create new yobs then we have to be more innovative, said Jim Matkin, president and chief executive officer of the Business Council of British Columbia 1n a speech to the Canadian Union of Public Employees in Richmond. ‘*Innovation is not restricted to just technological advances but to how we market our products, how we organize our workplaces and how we determine what kinds of products are needed,’’ he said. Referring to the role of government in job creation, Matkin said ‘Government must create a climate in which individuals and business Organizations afe encouraged to make long term plans about thetr business activities (He rovernments lo that Strhuay tures called oon emsure their tar WOIG ANSUST UT coonomin desehopment and not deterring tmivestment The president alsa warned ap airs t Bower dimerts becoming foo comfortable PREPARE YOURSELF FOR A CAREER IN REAL ESTATE *PRELICENSING COURSES *POSTLICENSING COURSES “ONGOING TRAINING apres co Omidcre Lead toy foalt tienes eoJcre cataree a! core bey cnt batygrere Pe Vhaowoo, nv A. FE. LEPAGE REAL ESTATE GER bs Veagieityg ‘ Mathers, caeoecent bag Voor cate? with using deficits as a method of carrying out national or provincial policies. ‘If we rely too heavily on that type of funding we may be placing those government services at risk in the future when access to funds becomes prohibitive, said the president. “‘We cannot fall into a false sense of security about our deficit problems ’ In his speech, the president noted that the relaxation in American capital gains taxes was one reason for the rise in the number of new businesses and jobs in the United States. The need for co-operation was identified in the telationship between management and = labor “Management and labor have to do more shoulder rubbing and less head bashing. sand Jim Mathin The president felt that more opportunitics stould be cteated tor dabeor and Mra Maremcnt bos theet aN IS done mnoofher places un North Nitichis a “YP othink places like New erp Art ove Wheaten y erriteg Treshd re Sec ve ot to 1 1 York’s Arden House, Ontano’s Niagara Institute and the yearly Couchiching conference are helpful in for 1984, we would like to thank all our readers for their kind comments and sugges- tions and also wish everyone a Happy New Year of Retire- ment Planning. Starting next week we will have a series of articles on how to choose an RRSP which will cover all the various ways of investing your RRSP funds The choice 1s wide and you can choose from banks, credit unions, trust companies and life insurance companies as well as have your own self- directed plans. So, over the next few weeks we will be ex- amining them all in detail in order to assist yOu in making the best use of your money as you plan for your retirement. needed bringing people from varied backgrounds together to discuss problems and to build relationships,’’ said Matkin. JUST ANOTHER ANSWERING SERVICE More people rely on Wes-Tel’s superior answering service than any other — because courteous, efficient operators who keep vou in touch up to 24 hours a day. 7 days a week are only the beginning. We've found a way of “personalizing” our answering service to meet your needs for business or residence. References are gladly provided. Wes-Tel gives you more without costing you more. That's why we're Number One, and preud of it! wes[1 TEL 980-3611 MON.-FRI. 9 to 9 p.m. SAT. & SUN. 9 to 6 p.m. iTRUCKLOAD SALE! ° NEW FASHION FLOOR « PRESTIGE « SPRING « FLOREVER «- VALUEFLOR 6’ & 12’ PACEMAKER II | HIGHLIGHT 12’ | Pacemaker: tl viny! Goormg wtth ine exctuaive Cnromabond tornmnuta The emctusive € mromataond formule gives Pacenrahka: tl! five ir Or tee uD wan fame © Glaw: Resistant tc etaine - Lategetty caprenetans Mildew Heamaians o + L meting Ouse toitity - Five om A levvenemer Frorts mre Wer mcity REG. *17’" sa vo DUTCH BERBER PRESTIGE 12’ The Congoteum petented embossing FUN Vleyt Merri wih ie Proces gives the Prestige design the MOM Gloee ms wan weer impo: Mohnese, definitton, texture and resitem of brasvides yeare ul eaay came the finest nature! matertats re STaNT tae tae Geren Pe vieey? the pepe ten tee, ‘v ee ‘ trey A Minimum of care te a neceeeity w heep v seem Tar ty ee ag mene the lumUurtoue high gloes no wer fnten ava dame entan gre tale locking the best e s oe REG *25°* Reg. °42 SQ. vo 95|S94q495 “dle poerr yan cooothiprattyy Tatoos, AREA RUGS | 100% PURE WOOL “IMPORTED BELGIUM” WOVEN ORIENTAL STYLE Seared med cat a ite: BURLINGTON ANTRON PLUSH MULTI TONED SCuUt PTURE or rrr Nerprertacds cytes atly con ee bore ge 100% WOOL 4NATURAL COLOURS SALE PRICE “Suen oAte Bian & _ AS | 5 REG "S99 $O 5, O85 ati? sa.vo |SALE 95 815 TERMINAL AVE. 3). sQ YO. 687-5888 RUBBERBACK 30 DAY GUARANTEE MEDIUM 99 LOWEST PRICES IN $—79 Ba vo Qe B .c. ee FREE IN-HOME ESTIMATES y ae eats bay wether fev cgay Tia! Seta tage map ee vee Poitey 4 Sit ayes tena toapttane twee Aim 2. allele 64 6 Hise . Ppiver yey Thee pert eral yes AL em poe wine ye rc roads caffe ce wall fe ott apad oy Ww Eth ey tone Bd4 Oh en vt rs pee cgedty cyt Coticae th Maitre rede] Preadtatywe (oye Noorthh Vaarie curve REQ S800 eq yu S722 wre 1200.