The Rural Voice, 1990-07, Page 18AGRICULTURAL
EMPLOYMENT
SERVICES
Provide employment planning
assistance to the agricultural
industry
Recruit workers for agricultural
employment
Assist worker orientation and
transportation
Promote good employment
standards
Provide information about
government employment
programs
OWEN SOUND WALKERTON
371-9522 881-3671
Would you like
a financial
Review?
PROFESSIONAL INSURANCE
REPRESENTATIVES
WATKINS, DAUGHERTY
& ASSOCIATES
LICENSED INTERMEDIARIES
FOR
sus
IMPERIAL UFE
Estate Planning, Business
Insurance, Group Benefits.
RRSPs, RRIFs, Annuities,
Disability Insurance,
Retirement Planning,
Equity Funds
The Imperial Life Assurance Company
of Canada
305 King Street West, Suite 609
Kitchener, Ontario N2G 1 B9
LUCKNOW:
LISTOWEL:
KITCHENER:
528-3514
291-5040
744-5281
4 THE RURAL VOICE
WISE MOVES
Financial Strategies for Farmers
Bob Watkins
"Wise Moves" isa series of articlesprovided by
Watkins, Daugherty & Associates. Taking as a
case study the farm of "Martin Wise," financial
experts Richard Daugherty and Bob Watkins
outline various ways that farmers can enhance
their financial planning and security.
Your questions and comments are wel-
come: telephone Bob in Lucknow 528-3514,
Richard in Listowel 291-5040, or Kitchener
(Imperial Life regional office) 744-5281.0
WISE REVIEWS
Mary and I had our insurance
representative here recently for our
annual review. Last year at this time
we had very little savings, almost no
protection against Lost income, and no
clear idea of where we were going
financially. We have accomplished
so much in the past year and have
an excellent program in place.
..............
Richard Daugherty
Our savings are now building outside
of the farm business in a diversity of
guaranteed investments and equity
funds.
The guaranteed investments
provide us with the security we need.
The equity funds give us better
growth over the long term, as well
as more favourable tax treatment.
The fact that we have investments growing outside of the
farming business will give greater flexibility when it comes
time to retire and pass the farm on to our children.
First of all, we set up a plan that
would provide continuing income to
the farm if I became sick or had an
accident. It was evident that if I was
unable to work for either of these
reasons, the farm and our future
would be in jeopardy. Mary would
have to cope with increased medical
bills, hiring someone to do my work,
and taking on more chores herself.
The solution was a policy that
would protect us 24 hours a day,
both on and off the farm.
The next thing we did was teach
ourselves how to save money. It was
not that we couldn't do it before, but
we lacked the self-discipline. We
implemented a system for paying
ourselves first and saving ten
per cent of everything we earned.
We also established a financial
portfolio using the investment triangle.
The fact that we have investments
growing outside of the farming
business will give greater flexibility
when it comes time to retire and pass
the farm on to our children.
Saving for the education of our
two children was a goal of ours.
We discovered just how expensive
a university education is these days.
However, by projecting these costs
and the return on our money over
the next few years, we were able to
figure out how much we needed to
save each month in order to have the
funds available.
We also found out that there are
specialized plans available for educa-
tional saving but that there are limita-
tions on the future use of money saved
in these plans.
Income tax was a concern as
well. We have come to understand