Whitby Free Press, Wednesday, July 27, 1994, Page il businssmnwsi h14 <4K TY«OON R($IALIkANT IN<. Celebrating 20 Years inaBusiness 1974-1994 ~4~ $~s4Thank you Nn.l. r An to ail our .... ....past and .present Watc Forit!patrons. Bank governor at 4Oth The Governor of the Bank cf Canada, Gordon G. Thiessen, will ho the guest speaker at the 4th anniversary dinner of the Durhami Region' Real Estate Board (formnerly the Oshawa & District Real Estate Board) on Sept. 8. The 4th anniversary dinner will ho held- at the Picker'n iCecreation Complex on Valley Farm Rond in Pickering. The niembers cf the board will attend an education seminar in the afternoon from 1 te 4 p.m. as well as a trade fair. This will lie followed by cocktails at 6 p.m. and dinner will commence at 7 p.m. Ail local realtors, inayors, information, counselling services, training programns, employment assistance and outreach, ucemployment insurance, special programs for youth, natives, disabled persons and visible niinorities, work sharing and industrial adjustment assistance). Your Financial Health Derek Dutka The "living estate"f and the "death estate" In my financial planning practice, 1 conentrate on the basics. One of the mot cornmon commenta 1 hear from clients ie "I wish we had metyu 20 yeareago That got me to tinking. I took macy business courses in uciversity, and 1I taught business courses in high school for three years. None of the course seemed te teach the basice of building a sound inancial future for the individuel - -the were more the theory of economics or aoeounting pricciples. ThRis je the greateet country in the world and everyne i it, whether they be labourers, bueiness people or professionals, can build themeelves icenciai security. There are meny aspects te financial planning, but in thie column I will concentrete on two basics.- planning for a "living estate" and a "death estate." The "living estate" je te ensure thet if you ive te a normal age, and hopefully into retirement, that y ou have the aseets te live those "fretiremrent" years in comfort and with the licenciai ability toe enjy life, travel end ail the other amnenities that come with freedors of time. The "death estate" is te ensure that if an untimely death were te occur, that you would have sufflciect 111e insurance te provide for your faniily for the future.' These two estates are the corneretenes of acy ficaccial plan. And I think 1 know the beet way of iccorporating those two estates for virtually everyone. We shouldpan aead for hfving." That mearis we should save a part of eveything we ean. No matter what the circumetances, we ehould alweys live on lees than we earc, acd save the differecce. It je a very. simple concept, but one that is hard te make a habit with the rampant comnmercialismi and "keeping up witb the Joncs" mectality that seeme ste pervade our eociety today. 1 recently heard the vice-president of one of Cancda's larqest banke put it this wey: 'Many of us are spending money we don i have; on things we don't want; tDdngto impreapeople we don'teren liket' Take a person who is a ge 21, earcing juat $1,250 per month. If he/she decided te savejust four percenet per montb, that would be $50 (or $1.66 a day). If it were eaved regularly each mnth until age 65 at a 12 pecent return (macy equity-based investment funde bave achieved higher returna over the long terni), that person would have a 'ivicg estate" of $814,338. If it were $100 per moth, the living estate wouli be more then $1.6 million et age 65. The problem. je, most cf us do't start saving et age 21. We're tee buey buying cars, going out on dates, "enjoyvicg" life now that we have sterted workcing (or when we do) teav. Lie le for specding, we say. But if we wait te start seving that $50 nthlzy uctil we are.age 30, inetead of having $814,338 et age 65, we'dh ave $290,078. That's $524 260 lese than tarting nine years carlier. What did we really save'l Twelve menthe times $50 imes cie yeears equals $5,400. Did you get $500,000 worth cf enjoyment eut of that $5,400 when you were young? That's what it really cost yvou. Fortunately, my parente taught «me te save a littIe cf everything I earned. I amn tiying te pees that on te my cliente. I have three boys, aged 7, 9 and 11. Anytime they receive mocetary gifts, I inveet a r> rtion of whet they have in a good quality equity-besed investmnect n d. Although their eccoucits are very emeil right now, they are learning the habit cf building their living estate.I have helped meny Clients set up accounts for their childrec in much the sanie way. You ten prevent a lot cf future grief by teaching your children somne financial besice. The "death estate" should be terni insurence. Although it gets more expeneive as you geL dloser te retiremnent, if you bave buit the living estate, do you really need life insurance? (You mey, depending on estate taxes, etc., but that's going beyond the besice.) Derak Dutica is an independent financial planner with Financiai Conoept Gzvup in Osha wa. Effective July 28, the Oshawa Income Security Program client service centre and the Oshawa Canada Employment Centre will work together at 78 Richmond St. W. in Oshawa. The new Human Resources Development Canada office will offer clients the same progranis and services which were previously availeble including income security programs (old age security pension, guaranteed income supplement, spouse's allowance, Canada Pension Plan, division cf pension honefits, child tax honefit and recip- rocal/international pension agreements) and Canada empîcmentprograrns (apliatinsfor social insurance cumbers. labour market Advertlsement Feature your business here FREE! Once a month Barter World announces the most recent business produ ct and service ta becomne available in Whitby, ta over 300 business owners tram Ottawa to Londan! Thruway Muffler & Brake Centre has received new business immediately upon jaining- Barter Warld. tram new customers that have travelled from Bowmanville and Oshawa in order to have their automotive exhaust systems replaced. With the "trade dollars" earned from these new sales, Thruway is now able to reduce their cash expenditures by using their "trade dollars" ta purchase business supplies such as, printing, mat rentaIs, welding gases, janitarial supplies, flyer distribution, advertising, photocopiers, fax machines, and cellular telephones, as weIl as over 1000 additional different products and services. Barter Warld's first member started trading almost three1 years aga, and taday th ousands of dallars in products and services are traded daily without cash. If your bu siness is in. the pasition to increase sales, reduce cash expenditures and eliminate callection problems, cail BARTER WORLD today at 905-723-4923 for an infarmatian Video package ta evaluate withaut any obligation. Martin Agnew (L) formerly with Goodyear &. Attersley Autoare hasiainhedi RicardHolfoter(R)asBarter WorIdb newest Whitby member. Cail"hrwy Richer &Bak Centre" for ail yur automotive repairs. 905-430-16331 2 centres 110W in oflC office BRIGADIER SPECIAL F21 5X60RX14 RWL -$75 nII P 21 5X65RX1 5 RWL-$84 When you think tires NotexactIyasItIustratod, Cali Van Hemmen Trires 317 Hopkins St. Whitby.e 666-2121 -f qmýF ý 1 i politicians and business members of commwiities in Durham Region will be invited te attend the 4th anniversary dinner. The price of tickets for non-members will be $35. This event will aloo, be the kickoff for the board's Ontario Home Week 'Openi House Sweepstakôs.' The members of' Durham RegiLon* Ral Estate Board will bhosing open houses during the nionth'of ISeptember. >An y potential purchasers attenicg these open houses wil lie eligible te enter a ballot for a draw that will tale place during Ontario Homne Week, Se pt. 26, and the winner of the sweepstakes will receive a cash prize tewards the down payment of a home as well as rnany other prizes related te purchasing a home. For further information on the din ner tickets, caUl the board office at (905) 723-8184 or president Anita Witty et (905) 683-8661.