When it comes to planning for your child’s post-secondary education, the RESP is the savings tool you can’t do without.
Imagine receiving a return of between 30% and 60%2 on your investment in your child’s education. That’s exactly what the Quebec and Canadian governments offer families who contribute to education savings!
This unique RESP tax benefit represents up to $12,8001 in grants paid directly into your account, with no additional effort on your part.
What grants are available?
| Grant | Who is eligible? | Maximum lifetime |
| CESG | Canadian families | $7,200 |
| QESI | Quebec families | $3,600 |
| CLB | Financially eligible Canadian families | $2,000 |
| Total | $12,800 |
To maximize your government grants, aim for an annual contribution of $2,500, up to the limit of $36,000 per child. Did you skip some years? Catch-up allows you to recover unused contribution room. And to make your life easier, our team will take care of the grant applications for you!
In addition to government grants, RESPs offer certain tax benefits that should not be overlooked:
As long as the funds remain in the account, capital and investment income grow tax-free. This lets you optimize the effect of compound interest over the long term!
Since it has already been taxed at source, the capital can be withdrawn tax-free by the RESP subscriber. In other words, they can reclaim their contributions and use them as they see fit once the child reaches post-secondary school.
When they are withdrawn in the form of Education Assistance Payments (EAPs), accumulated grants and earnings are added to the student’s income. Since the student’s income is generally modest, the tax payable is often minimal, or even zero.
The beauty of a Registered Education Savings Plan is that it adapts to your reality, not the other way around.
No sales charges, ability to slow down or accelerate your savings according to your financial situation and option to catch up on unused grants from past years: at Kaleido, the RESP adjusts to your needs, even when your plans change.
The funds can be withdrawn as soon as you are able to provide proof of enrolment in an eligible program of study, whether vocational, college or university. They can cover a host of expenses related to post-secondary education, such as tuition, school supplies, rent and groceries.
Your savings are recoverable at any time and can also stay safely in your RESP for 35 years. What if your child chooses a path other than education? No problem! Transfer to another beneficiary3 or to your retirement savings or recover your capital and returns for a family project: there’s no shortage of options.
Estimate the value of your RESP
Find out how much your education savings could be worth by the time your child turns 18.
For over 60 years, Kaleido has specialized in just one area: education savings. We offer a range of simple and flexible individual RESPs, personalized advice when you need it and digital platforms when you prefer to take the reins.
The IDEO+ range of individual RESPs from Kaleido is designed to suit all budgets: no initial contribution required, an adaptive turnkey management strategy that adjusts to your child’s age and the freedom to contribute at your own pace. With IDEO+, securing your family’s future becomes child’s play.
