RESP Registered Education Savings Plan

[Tech_gurl]

When you open an RESP for your child/children, Human Resources and Skills Development Canada (HRSDC) will provide an incentive of up to an additional $2,000 to help you start saving early for your child(ren)’s higher education (after high school). Canada Learning Bond (CLB) will deposit that money directly into the RESP.
However, the CLB is not a universal benefit for all Canadian families. You must apply for it, and it can only be obtained if your family meets the following criteria:
1. Your child was born after December 31, 2003
2. Your family net income is less than $37,885 per year

Also, the National Child Benefit (NCB), a joint initiative of the federal, provincial, and territorial governments, is designed to:
- help prevent and reduce child poverty
- ensure that families will always be better off if parents are working
- reduce overlap and duplication of government programs and services

The NCB is paid monthly to low income families with children under the age of 18.
The benefit will provide an initial $500 for your child’s RESP. To help reduce the cost of opening an RESP (if you have to pay), HRSDC will pay an extra $25 with the first $500 bond. After that, the CLB will also pay $100 each year for up to 15 years each year the family is entitled to the NCB supplement.

And, for the first $500 you save every year in your child’s RESP, the Canada Education Savings Grant will give you:
- up to $200, if your net family income is $39,065 or less
- up to $150, if your net family income is between $39,065 and $78,130
- up to $100, if your net family income is more than $78,130

If you save more than $500 each year, the Canada Education Savings Grant could total up to $400 on the next $2,000. Important: the family income amounts are updated each year, so be sure to check to see what they are. The maximum amount of grant per child is $7,200. It’s free money for your child’s education! Why not take advantage of it??

Summary:Open an RESP for your child/children and put in any amount to start. The government will then deposit $500 immediately: what a deal! For the first $500 annually that you put into the RESP, you can get more money–up to $200. When you save more than $500 annually, you can get a maximum of $400 more on the next $2,000. In the end, you can get up to $7,200 for your child’s education—all for free!

If you think you can’t afford an RESP, try to find a way. Cut out the extra, unnecessary expenditures and do whatever you need to do to save money. Even if you can only afford $25 a month, you’ll be starting somewhere. You can always add more later. Turning down free money—that would be insane!
Click here to read more about RESPs and their great benefits.

[CouponDude]

If anyone has any questions about RESP's for their kids please send me a PM. My sister is a rep and can help you with your questions.