RESP – Registered education savings plan

Are you a parent, grandparent, uncle, aunt or godparent who wants to help a child with their future? This plan makes it possible to accumulate funds with the sole objective of financing postsecondary education for your little one.

The funds accumulated in an RESP can cover tuition fees and education-related expenses (housing, school supplies, food, transportation fees, etc.).

Advantages of an RESP

RESPs are to education what RRSPs are to retirement: your investments are sheltered from tax until withdrawal. Be aware that RESP contributions are not, however, deductible from your taxable income. An RESP allows you to:

  • Plan and finance a child’s education
  • Grow your savings on a tax-sheltered basis
  • Access government funding (federal and provincial) to enhance your savings based on your income