In today’s episode I will talk about RESP. A Registered Education Savings Plan is an investment vehicle available to parents in Canada to save for their children’s post-secondary education .
The principal advantages of RESPs are the access they provide to the Canada Education Savings Grant (CESG) and as method of generating tax-deferred income.
Grants on annual contributions between $500 and $2,500 are matched at the rate of 20% as described above. Combined CESG and ACESG lifetime grant maximum of $7,200 per child.
To open an RESP, you need to bring your social insurance card, your child’s social insurance card and your child’s birth certificate or permanent resident card to open an RESP.