The Tuapeka Times. THURSDAY, JULY 14,1870. "Measures, not Men."

Tuapeka Times, Volume III, Issue 127, 14 July 1870, Page 5

The Tuapeka Times. THURSDAY, JULY 14, 1870. "Measures, not Men."

TFhe Government, some time since, with. a laudable desire to encourage provident habits amongst the community, established ' Post Office Savings Banks throughout the colony, in which the hard-earned savings of the industrial population could, be deposited. These banks have answered their purpose admirably, as is shown by the large sum of £226,860 which appears in the Trust Fund Account as the balance in the hands of the Government on the 31st of March last from Savings Bank deposits. Encouraged l>y the complete success of the Savings Bank, system, our legislators more recently passed a Bill, ■entitled " The Government Annuities, Act, 1869," by which the Government is empowered to grant annuities,, and also to insure the Jives of persons of either sex between the ages of 16 and 60. That Act provides for nearly every description of life assurance and annuities ; and as we have heard some -of our readers remark that they were unacquainted with the working of these annuities, we purpose giving a brief outline of the more prominent features of the Act. The various forms of assurance and annuities, and the modes of payment, are set forth in tables prepared for the purpose, copies of which the Government have furnished to us. Annuities can be -contracted for either by deferred or immediate payments. Deferred Annuities — that is, annuities commencing, say ten years hence, or any number of years more than ten, ■may be granted or contracted for on the following conditions : — First, that the money paid during the years that intervene before the .annuities become paj^able, be reTeturnable ; or, second, that the

money be not returnable. Of course, first condition involves a largeryearly payment than the second. We .shall instance the case of a young man at the age of twentyone, who wishes to secure far himrself an annuity ten years hence — ?the purchase money to be returnable if he should be unable to keep nip the payments, or should give up the idea of the annuity. For such an annuity, a yearly sum of £1 Bs. -4d. would require to be paid for -every £1 he fixed upon as the annuity to fall to him from the expiration of the ten years ; or, if he preferred it, a lump sum of ,£l3 6s. 6d. for every £1, would .secure such an annuity for life, •commencing ten years hence. Supposing he wished to secure an annuity of £50 a year, he would require to pay a lump sum of £6^5 55., or, if in ten yearly payments, the sum of £70 a-year. It must be remembered that the said lump sum or yearly payments will he returned to the applicaat or purchaser if he so desires it before his annuity'commenced, and if he should die before such annnity has been fully purchased, or before the expiration of the ten years, the amount of the- -purchase money deposited with the Government will be paid ■fco his heirs; but should the annuity have commenced, anxl he should die soon after, as a matter of course the purchase money would be forfeited. In cases where the money deposited is not returnable, the yearly payjnent is considerably smaller. With regard to immediate annuities, supposing we take a pers<m at the same &ge } and for the same amount, the ;sum.he would require to pay, as set •down in the tables before us, is £5 2s. 9d. for every £100 of purchase money, or about £1000 for an •annuity of £50 a-year during his lifetime. So much for the annuities. Let us now turn to the Life Assurance tables. We find that these assurances can be contracted for with the Government in as many variety of forms and at even smaller premiums than in ordinary private offices. The annual premium for the whole of life for an assurance of LdQQ effected at the age of twenty-one is LI 11s. Id., which sum, for the. convenience of the insured, may be satisfied by quarterly or half-yearly payments. A single payment of Jj2B 12s. Bd. will secure the same policy, payable at death. If after five years the insured person is unable to continue the yearly premiums, or desirous to •discontinue them, a portion of such premiums will be returned to him. WfiiiejaitflyijeciOiQmfind every work-

ing man, single or married, to allocate a small portion of his earnings to one or more of these provident investments. - > The security is the best that can be had ; the terms are most liberal ; and the good, results must be incalculable.