RESPs – Ottawa, Ontario
Registered Education Savings Plans are investment plans designed to allow Canadians to accumulate funding for post-secondary education.
RESP contributions are made by a subscriber on behalf of one or more beneficiaries (future students). An RESP contribution is not tax deductible, the growth is tax deferred until the beneficiary withdrawal when they commence their educational program.
Government grants are available which may supplement an RESP. For example, the Canada Education Savings Grant (CESG) pays 20% of annual contributions to all RESPs to a maximum of $500 to each beneficiary. Students may also benefit from a Canada Learning Bond and/or provincial savings programs.