Save More For your Child's Education with RESP
A Registered Education Saving Plan (RESP) helps you save more and lets you put money aside for your child’s post-secondary education.
How The Process Works
- Put your regular monthly savings for your child into RESP.
- Get Government grants on the savings(upto $7200 lifetime maximum).
- On top of that, you gain a certain interest on the combined amount (savings plus grants).
Advantages
Tax Free
Your Savings grow tax free
Claim previous Years
You can compensate and deposit the savings for previous lost years.
Transfer Benifits
If your child does not pursue post-secondary education for some reason, you may transfer it to another child.
Flexibility of Use
If he or she wants to travel first, you have 35 years to use the funds.
Transfer to Other Plans
You may also withdraw the contributions tax free or transfer it to RRSP (under certain conditions)
Frequently Asked Questions
There is no set limit. You can start as low as $20-$25 per month. But to get the maximum benefits and grants, you should invest at least $208 per month or $2500 a year.
You don’t even have to invest the money from your pocket to get maximum benefits. Under the Canada Child Benefit programme, you can receive up to $6,400 per year for each child under 6 years old, and $5,400 for each child from 6 to 17 years old. You can invest this money into the RESP to get even more returns on you savings.
Apart from the government grant, you get a 15% bonus (up to $2000) which you receive over the years gradually and a 5% interest rate on your total savings.
You can receive up to a maximum of $7200 from government as grant, depending upon the time you started investing and the amount you put in. The earlier you start, the more benefits you can get. You can compensate for previous lost years by depositing the savings amount for previous years altogether once and then start with a monthly investment.
17 years. RESP matures at 18years.
You can register for a minimum of 3 weeks course at any college to be eligible to claim the benefits.
Still Got Questions?
We are here to help
Talk to Gurdev Singh Sajjan, an experienced advisor. We intend to help you out according to your situation.
Hurry! Special Offer Till 31st December
Invest in RESP before 31st December and claim a $500 bonus and gift card immediately.
Fill in the details to register.