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PAGE 14, ITY FREE PRESS, WEDNESAY,,MAy 271992 RRIF: -Retirement icomeoptio Refflatered Retirement Savingmi Plans are agreat way to gaeIr- your old age. But you cant lbave. money there forever. .By the. end of the. year*,in which yen. turn 71, you must cash in, your.RSP ' '- aud psy taxon the, ful amount * or continue the téx shelter by convertin - te oa Registered Retirepient Iconie Fund or annuityi. What in a' RIF It is realy, an RRSP iu reverse. Instead of putting in a certain. ameunt of money each year, you muet take 'out a cçrtain amount'.' That meney i. taxed wbile the rest s90ligrows tax-fre.. You do net contribute te an RRIP the way yen do te an RRSP. Instead, RRIFs -get theïr money when yen transfer in funds from an RRSP or another RRIF. Once an BRIF is set up, the issuer may net a]low anetlier transfer ite that!ýone. But yen can have more thanone ERIF. How does an RRTF work? Ottawa devised a formula te ensure yeur RRIF rus eut by age 90. Each year's ninbum withdrawal is baued on a faction -- the difference between 90 and yeur current age. At age 71, yen would take eut 1/19; at age 72, it's 1/8, and se, on. if your speuse 18 younger ou can use bis or her age.Ta extends the tax shelter. If yen need more nioney, yen can take it. There is ne upper limit but the more you take, the sooner the RRIF us eut. What are the. advsntages of an RRIF The big advantage is flexibility. Yen have the sanie range of investinent options as with auRRSP.- Yen can, set, up multiple BRIFs te meet concerns about inflation, cha nging iuterest rates, stock market fluctuations and .se on. Beyond the minimum required withdrawal, yeu caný vary your inçeet etyu needa. Set1 e ou If yen die before thé. BRIF ru sout, aIl meney left goes te your.beneflciary or estate. It even stàys, tai-siholtered if the beniefiiryý is yeur speuso or a- dependent chld .Orsudchild b. relled inte a0f.annuity that pays incoene fer as long sa ye live. Thoseeexpecting te livepat 90 often consfider that in ther early or mid-80s. 0f those new 65, nearly on. in four mon and on. in three women cau, expeet te, b. alive at ago 90. What types of RRJPs are thore?instsby Mauy BRIF netr bu depoits that guaraute. intoreat rates for flxed termes, often five or ton years. At maturity, they renew at rates thon in effect. Longer-terin guarauteed deposits -« for exanipie, 20 years - are aise available. Although the RRIF, requires that periedic payments be made, ail remaining funds can remain tax-séheltered and continue te oarn compound interest. Some 1111F hoiders aise buy investmont funds that offer higiier potential returns but carry greater risk --* returns are net guarauteed. There are aise self-directed RRIFs where yeu niake yeur own investment decisions. Are RREFs insurod? Depending on whero and how yormonoy i. invested, it may b. mnsured by the Canadian IAfe and Health Insurance omensation Cerp:, Canada %eposit inurance rdor.p DICé Quebe couuterpart the brokerage industry's Canadien Investor Protection Fund& or a provincia credtuionproection plan. Ask your adviser. The. Lfe Underwriters Association of Canada provides a prOgrani of training and education leading tte award of the tities Chsrtered Iàfe Uuderwriter (CLU) aud Chartered FInauciai Consultant' (CH.F.C.). If yen have queston about RRIFs or wouldhk imoe information, contact the Life Underwriters Association of Canada, 41 Lesmilil Rd., Don Mills, -Ont. M3B 2T3, or yeur local life underwriters assecation (Mark Cribari at 686-8472). NEXT EDJTION: 'Anrndtiea prouide steady income.' McDonald's raises money for charity. Wednesday, June 3 is McHappy Day lX -a special one-day fuudraising event at al McDonald's restaurants acros Canada. The * goal is te maise, nationally, $1 million. For the ninth time since 1977, McDonald's Restaurants of~ Canada Limited will work with ail segments of the communi te t raise money for Canadian clldren's charities. Since 1977, this national fundraising prograini las raised more than $6 million for varions Canadian children's charities, including' Ronald McDonald Houses and camps for physicaily and emotionally disabled chlfdren. 1Entertainers, sports figures, peliticiassand business have lent their support by worir side-by-side with McDonaldé crews, .mi the restaurants, on MffHappy Day. -udaie atSh The ShelI gas station at Thick- son Rd. S.,sud Dundas St. E. in Whitby is holding a fundraising event on Friday, May 29, 7 a.m. tô 7 p.m. Sheil wili donate two cents for- every litre of gas sold te. the Hospital fer Sick Children in Toronto. The hospital's annual telethon begins Saturday The gas station, tha=;ste con- tributions* by area businesses, will aise, have ppchips -and hot doraswoli as flwers sud baf ponss for al visitors. Dona- tions will be accepted. . I-,I ý Rooeiving accurate phone mes- sages eau mesu the. difference betwoen successuad fadlure. A roliable pager is the. best way of receiving correct messages every time. Telecater DurhamlunWhiMtby eau provide a pager for as little as $15.00 per month sud carnies a full lino for sale or rent, froni the econemical Bravo Tone Pager,(which alerta yen te, a message waiting, te be retrieved from the service),- or the Keynote Voice Pager (which delivers a crystal clear voice message) that wili hold up te, twe, stored messages if 'yen are unable te respond te, theni at the time they are transmitted. Debbie Sabourin, manager of Telecater Durhiam is availablo froni 9:00 a.m. te 5:00 p.m. te, provide Whitby sud Durhami Region clients free servicing, sanie day replacement, 24 heur answering service and custom dispatching for after heurs. Small businesses who do not have a receptionist, eau mako excellent use of a pager, sud the. answering service 153 ýBrock St.N. Unit 29 Wh itby 430-PAGE e 430-7243 Telecator Durham specialize-s in quality message reception at erecnmclrates. Whbother adtvertisin f eone i tere te answer the phone. Telecator specializes in the needs of 'TReal Estate Agents" who depend on their pager as they are always on the meve and must keep in cloe contact with the office. A new keybeard oeiled a "Quickpager" allows messages te, be' sent much faster. Special features of the new Advisor Alphanumeric includes: - alarm te remind you of an appointment. - choice of beep volume - lock - delete - reminder chirp, for unread messages (especially good fer ladies whe, carry the pager ini 'their purse). - Alpgr alert you te a ol with either a- beep or a gentie vibration. Telecator Durham is located at 153 Brock St. N., Unit 2, Whitby, Phone 430-PAGE (7243). Reach your, business market with. VFMYFREEPF?MS News, commentarin»es'and information aimedathusi*nesses coming the last Wednesday of every month The Free Press reaches 99% of the homes in Whitby No w Witbys #1 NE WSpaper -reaches ail the businesses as wvell in addition to our weekly deliveries to the major retail concentrations, we now deliver the Free Press to the industrial1 sections of Town by mail on the last wekof eacl month is.designed to reach the business nmarket ofWhiutby better than any othe'rpublication, better than the mail Whitby Free Press Business wi reaches *1500 active businesses hundreds of home businesses thousands of business owners and executives' who live in Whitby but work in neighbouring communities For flyer delivery or a dvertising cal] the Whitby Free Press 668-6111 Toronto lime 427-1834 Fax 668-0594 bi.inssnews q b