Registered Education Savings Plan

A great investment

By investing in a Registered Education Savings Plan (RESP) you are giving a child an invaluable gift by opening the door to higher education.

Advantages

• Government grants (Canada Education Savings Grant, Canada Learning Bond, Québec Education Savings Incentive)



• Tax-sheltered savings: Accumulated earnings are tax-free until the sums are paid to the beneficiary.



• Transfer the earnings from your RESP to your RRSP if the beneficiary decides not to pursue postsecondary studies. 1



• Tax savings: Once the beneficiary is registered for postsecondary education, he or she will begin to receive financial assistance in the form of payments from the revenue generated by your plan, the Canada Education Savings Grant, and the Québec Education Savings Incentive. Payments received by the student will be considered taxable income.



• Flexibility:
• You choose the amount and frequency of your contributions and you can change that amount and frequency at any time.
  
• You can choose to keep your contributions or give them to the beneficiary.
  
• Since an RESP is an individual plan, the beneficiary does not have to be a member of the subscriber’s family.