RESP

You want your children to have every opportunity in the future. Now is the time to ensure that. Securing your children's future can be a daunting prospect. But if you start saving now, by the time your children are finished high school those opportunities will be waiting for them. Open a Registered Education Savings Plan (RESP); RESP's are tax-sheltered savings plans that help you accumulate money for your children's post-secondary education. There is no income-tax deduction for contributions made to an RESP, but earnings accumulate within the plan on a tax-sheltered basis until they are withdrawn by the children. In addition, through the Canadian Education Savings Grant (CESG), the Canadian government will contribute 20% of the annual amount contributed to a RESP, up to a maximum of $4000 per year. Up to $4,000 per child can be contributed each year to a lifetime maximum of $42,000. The beneficiary can have more than one plan set up and there can be more than one subscriber, or contributor, to the plan. There is no carry forward of unused amounts of the $4,000 contribution entitlement. Please contact me for more information about this exciting opportunity that became available in 1998.