REGISTERED EDUCATION SAVINGS PLAN (RESP)

20% Guaranteed Return on Contributions!

What is an RESP?

► a special savings plan that will help “you” save for your child's education after high school. (“You”, may be the mother, father, aunt, uncle, grandparent!)

► the RESP is registered with the Government of Canada so that the savings for higher education grow tax-free until required for college or university expenses!

► the Government of Canada will also contribute to the RESP – no strings attached!

Why the need?

► the Government of Canada reports that almost 70% of all new jobs depend on some form of post-secondary education

► with the cost of tuition, room and board, and other related expenses, the cost of a 3- year university education is estimated to be $70,000!

Highlights

► the Government of Canada through the Canada Education Savings Grant (CESG) will contribute an amount equal to 20% of your annual RESP contribution to a maximum of $500 per year per child (to a lifetime maximum of $7,200 per child)

► the ideal way to start saving for a child's education

► parent, grandparent, other relative, or friend, can open an RESP for a child

► contributions and CESGs accumulate and grow tax-free in an RESP until the child needs it for tuition, residence and other educational expenses

► when withdrawn for tuition, only the growth and CESG portion is taxable to the student, who will be in a low tax bracket

► the earlier you start, the larger your child's savings will be

For more detailed information, please contact us at info@pwi-insurance.ca.