Winnipeg Free Press

Winnipeg Free Press (Newspaper) - October 29, 1989, Winnipeg, Manitoba Go paperless pay your Bills by 9479300 a division of com chef services limited Winnipeg free press october 1989 pages 920 Philip business editor y la y in u my managing my your Money simple keystrokes work financial magic by Paul Samyn for Many of balancing a Cheque Book is about the extent of our arithmetic a without a financial expert there to catch few would Ever contemplate the daring move of trying to figure out How much mortgage they can How changes in interest rates affect a variable loan pay ment or what the percentage gain or loss is on an investment you dont need to have an mba or a High tech computer to master this higher Money a few simple keystrokes on a Finan Cia function calculator will do the trick and answer these and other personal finance the calculations can be done very very reas sures Denzil a chartered and registered financial once youve youll find out that you cant make a decision without the first ingredient required to work this mathematical magic is an understanding of the simple concept that a Dollar today will be Worth More than a Buck somewhere Down the which eats away at your Money and leaves you with less and less As time is what makes this Maxim its these concepts of time and Money where the calculator comes says Gerry a chartered and registered financial the of is the Cal now dont go thinking that buying this modern Day Abacus is going to end up breaking the for the examples in this the free press turned to Matte and his hew let Packard hp12c which costs about Feinberg uses a Sharp Al which Sells for about while All the extra whistles and Bells on these types of calculators enable you to perform High flying personal financial five keys do the Brunt of the work the n key represents usually months or years involved in a for it might represent the number of years a mortgage is the i key equals the interest rate on a loan for instance or the rate of pm is the key for the present value of a sum you currently a payment made or received Over time is designated by the pm future is the amount you will need or receive in the debt trouble Matte says the calculators come with Good instructions to walk you through the computations and familiarize you with the thought process Lisa Sibalis of the Community financial counselling services spends a great Deal of time advis ing people who Are in debt Trou she says a big part of the problem for Many is that they dont fully understand what something really i think that what happens is that when they for that there is no interest and no payments for six they dont take the time to see if they can afford these Small payments or what it will Cost Over the Long Matte adds that a contributing Factor to debt woes is the tendency of people to shy away from the math but Matte says people can rely on the calculator to do the there by reducing the possibility of Deci Sions based on having a better understanding of time and Money is helpful in calculating a 1 financial Success How to become a millionaire in 30 years How much would you have to save annually to become a millionaire in 30 years assume an annual compound interest rate of 10 per cent and that you have no saving at Tho present time Steps million Dollar goal of a of years to reach goal n interest rate i current savings pm the amount you must save at the end of each year to have is financial calculator Steps enter line press Fenter line press n enter line press i enter line push pm and then press 30 10 note if you want to reach your million goal in 35 the annual requirement drops to making everyday decisions about Money and for he says people Are often unaware of what the real costs Are for a 20or 30year mortgage and therefore cant make an informed and rational if you know the real costs of maybe it will water Down some of the emotions that people often base their buying Deci sons Feinberg says calculators Are great for making interesting inter est for someone with 000 to invest might be having Trou ble determining if he should lock his Money into a Gic for one year at 11 per cent or opt for a Canada savings Bond which can be easily liquidated but pays 10 per by turning to the he says you can easily discover that after one the Gic would leave you with and the cab with with that Feinberg says you can decide if the Price the cab charges you to have ready Access to your Money is Worth Matte adds you can also have some fun with the How much will a annuity pay what will a annuity pay out Over a number of assume interest rate of 10 compounded annually and that the first payout begins at the end of the first the Steps annuity sum pm of payout years n projected interest rate i amount left at end Flthe amount of Money you will receive annually for five years from a annuity is financial calculator Steps enter line press pm enter line press n enter line press i enter line push Fevand then press for you example 5 10 note Over 15 you would receive annually Over 30 it would be wondering How much your monthly grocery Bill will grow to in 25 years if inflation continues at five per expect to pay at the checkout stand in the year Matte cautions that the answers the calculators provide Arent etched in the rate of inflation or the return on your Sav Ings will mean you have to update your solutions both Matte and Feinberg say they turn to their calculators daily when advising in Feinberg says a financial planner without a calculator is like a doctor without a buyer advised to oppose top charge of for cars delivery d i ear Phil i just bought a Hyundai sonata and was charged for the pred Eli very inspection and transportation i live in Bra Malea and the car is made in surely it Doest Cost to ship the car and prepare it for what gives add dear there is no rhyme nor reason for a you have to pay this Cost to get delivery of your next negotiate the Cost before signing the sales i dont feel the dealer should be paid anything for trans port or these expenses Are built into the Selling Price of the to be fair to All Auto dealers try to charge the maximum they can get away its up to you to see they dont get away with Leonaid Phil Edmonston Odd dear Phil i own a 1971 pm half ton custom 10 pickup with Miles on the do you know How much its will it a collectors item Odd dear your 1971 pm step equipped with a 307 engine and with Low is Worth Between and depending upon whether its in very Good or Excel Lent this pickup is not much in so i Sug Gest you invest a lot of Money in its dear Phil in the second owner of a Toyota be Van that has a defective fuel my dealer tells me that he needs to change the pump and that he has to go into the Gas tank to get is it True the pump is located inside the fuel tank How much would this repair Cost me is this a common problem with Toyota vans Glace Nan dear your dealers the fuel pump is located inside the Gas it costs and takes about two hours labor to you can buy a used pump for half Price from Independent jobbers and get the pump installed by an inde pendent garage for much less than what a dealer would Toyota fuel pumps usually last a minimum of four dear Phil what is your rating of the pm what can it be compared with in the Ford or Chrysler line does the car have any problems related to our harsh win ters Swan Odd dear the 1990 sprint and firefly Are relatively unchanged this they Are excellent City and com Muter cars fit into the tiniest of parking spaces and nip through narrow City these cars also have been Canadas fuel Economy champs since they were this is attributable to the unusual aluminium three Cylinder which is a Little rough around the edges but gets the Job done efficiently or 50 these cars Are not great Highway or Long distance the sprint and firefly have been depreciating More quickly than under Hood servicing is and Only the electronic Carburettor would present the average Mechanic with any the older has maintained an excellent repair rec but it goes Back Only two parts and service Are easy to come and maintenance is made simple by an uncluttered Underwood Riverside air bags Are Standard on the 1990 some of the problems reported by owners concern the tiny Radiator which cant stand up to the Rigours of the Canadian if not checked the Cooling system will fail causing considerable damage to the aluminium the brakes Are often and the front discs Warp there have also been some minor com plaints concerning paint premature rusting and Sloppy body the 1989 models Are Selling for about and to dealer discounts Are other Simi Lar cars you should consider Are the Chrysler Ford Mer Cury Subaru Justy and Suzuki readers May Send inquiries to Phil Box place do h2w map investing plan and stick with it Reader objects to being charged a fee to have his new sonata shipped to by Ron Hore How do you maximize your rate of return and avoid getting caught Fol lowing the wrong experts advice make a plan for your total invest ment portfolio and stick with it in the Long run you will be much fur ther for by always going for three or five year and by following this each you will always have funds maturing and you will come out ahead of the investor who Waits in Short term hoping to lock up at the and usually missing by spreading out your portfolio to mature in different a percent age of your funds will always the Peak of a rate and you will 30 Days 180 Days 1 year 3 years 5 years High Low never be caught investing All of your funds when rates Are at the Bot How else can you make certain you obtain the Best available rates most financial institutions have appetites for funds at a certain times of the then drop their rates so that they do not take in excess funds that they cannot place at a it would be rare for any one institution to always have leading rates in the Market in All to illustrate the ing table shows the highest and lower Gic rates available from a Survey of 59 companies taken octo Ber to give you an idea of the variety that no single company is represented either by All of the High figures or All of the Low Fig How do you maximize your rate of return first you set up a strategy to your investment then you make certain you obtain the highest rates Ron Hore is assistant vice pres ident of financial services with the Rice financial group in Winni ;