MAD HATER PAGE .6

Personal finance

In the interests of greed, avarice and
_ future.financial ease, it is time for
us to plan our RRSP contribution for
1980. In fact, if you have a self-ad-
ministered plan, you are well aware of
the need for constant surveillance, as
stock market prices tend to advance. at
this particular time of year with the
massive infusion of new RRSP money in
to the market.

For the 'normal' RRSP, i.e. fixed in-
come type, you should act now for the
1980 tax year, the deadline being
february 28, 1981. Remember that
financial institutions have little
time for any personal consultation
the nearer the deadline.

I am aware of no significant changes
that have occured in the RRSP rules.
Your 1980 contribution to the Douglas
Pension Plan is indicated on the final
pay stub issued by the College in 1980.
Below is a brief summary of the current
RRSP rules. Good luck.

- CONTRIBUTION AMOUNT

Uo to 20% of earned income to $5,500 if
you do not have a pension plan, or if
you do, the maximum is the lesser of
$3,500 or 20% of earned income, less
your pension plan payments.

EARNED INCOME

Earned income includes net employment
income, net rental income, super-
annuation or pension benefits, alimony
payments and retirement allowances and
net business profits. It does not in-
clude investment income.

SPOUSAL PLANS .
The high income spouse can make
ribution to the RRSP of the lower income
spouse. The contribution limits des-
cribed above apply to the contributor.
The advantage of a spousal plan is that
the tax deduction applies to the spouse
with the higher tax rate while the ul-
timate taxable benefits accrue to the
spouse with the lower tax rate.

BORROWING
Interest on RRSP loans is tax deductible
except for spousal contributions.

acont=

WITHDR&S ALS

Withdrawals can be made at any time, but

are subject to tax in that taxation

year. RRSP's must be wound up at the

end of the year the beneficiary reaches

age 71. Tax vay be paid then, or the in-

vestor may:

1. transfer to an annuity payable for

_ life, or for the lives of both spouses,

2. purchase an annuity with payments ex-
tending to age ninety, or age ninety
of the spouse if the spouse is younger.

3. transfer the proceeds to a Registered
Retirement Income Fund from which in-
come is withdrawn over the remaining
years of his or her spouse to age
ninety.

. MURRAY LESLIE
Business Division

FACULTY AND STAFF BASKETBALL
If you enjoy the thrill of competition

 

’ and the roar of the crowd... go to a hockey

game. If on the other hand you want some
laughs and a good workout, join the Douglas

, Thirty-Plus(*) basketball team in the
Winslow Gym Thursday nights from 8:99 to

10:09 p.m.

Ne need lots of new players so come and
bring your friends. Previous experience
in this league is definitely not required.
For more information call Bob Brown, New
Westminster, local 211.

CONTINUED FROM PAGE 5
will keep your score on hand and you
will not have to re-write this test
again for the designated threshold
testing.

Any of the preparatory reading work will
make you less anxious, more able and
more wise - all factors which should
increase your achievement for the
threshold requirement.

For any further test or course
information, call one of our Reading/
Study Skills Consultants:

Sandra Carpenter - (S) Loc. 258
Sherry Ladbrook -(NW) Loc. 243
Tan McCaughey # (RY ioc. 4h