A tax-advantaged savings program for a child’s future education, the RESP is supported to some extent by the Canadian government. The federal government pays to the RESP using the Canada Education Savings Grant, and the savings in this account grow tax-free.
● Availability of government grants
● Investing with low risk
● Choice of Universities or Colleges throughout the globe
● Many adaptable plan options make saving easier
Most of the registered education savings plan involves a number of parties, including the subscriber, beneficiary, and promoter.
Subscriber: The individual who creates and funds the RESP account.
Beneficiary: The youngster who will benefit from contributions made to cover educational costs.
Promoter: The entity that offers RESPs, such as a credit union, bank, or provider of group scholarships.
• Better grants are given to your child’s RESP.
• Savings increase tax-free.
• Payments for educational support are not subject to taxes.
• Investment alternatives available to subscribers include mutual funds, ETFs, stocks, GICs, and bonds.
• Your friends and family members can all offer assistance.