Start small, save big.
A RESP is one of the GREATEST GIFTS a child can receive!
Whether you are a parent, grandparent, legal guardian, friend or family member, you can open an RESP for a child.
A Registered Education Savings Plan is registered with the Government of Canada, so the money saved can grow in a tax shelter until the ‘beneficiary’ (child) is ready to enroll in post-secondary school. The government also provides several grants to help your child’s educational plan grow faster!
The lifetime RESP contribution limit is $50,000
The maximum annual amount of the basic CESG Grant that can be paid in any year is $500.
The lifetime CESG (Canada Education Savings Grant) for each child is $7,200.
AVAILABLE GRANTS
Canadian Education Savings Grant (CESG)
A 20% grant paid by the Government of Canada goes directly into a beneficiary’s Registered Education Savings Plan (RESP) every month.
Additional Canadian Education Savings Grant (Additional CESG)
Additional grants are available to low-middle income families. Families who fall within this category can receive an EXTRA 10% -20% of the first $500 deposited each month.
Canada Learning Bond (CLB)
A Canada Learning Bond (CLB) is a Government of Canada grant to help modest-income families start saving for their child’s education after high school. Recipients of the CLB can expect a $25 grant to help cover the initial administrative costs of the RESP, $500 for opening the RESP & a $100 annual deposit until the beneficiary turns 15yrs.
Capital Guarantee!
An unparalleled benefit of purchasing your children’s RESP from an insurance provider is that any RESP deposits made contain an “insurance policy”. This “insurance policy” states that all principle monies invested into the child’s RESP is guaranteed up to 100% (subject to limitations). Please speak to your advisor about the Segregated Funds Guarantee for more information.
HOW TO BEGIN
Implementing an RESP is easy. In order to begin the application, the beneficiary (child) must have a SIN number.
At Simplified Life Plan Inc. we offer two types of RESP’s through Industrial Alliance.
My Education
No minimum monthly contribution required
A variety of investment choices available for you to choose from
Diploma
Offers up to 15% bonus on all contributions when beneficiary turns 17!
Minimum of $25.00 / month is required