Next to saving for retirement, the biggest financial challenge is probably saving for your childs’ college education.
We are aware of our clients’ Education Planning concerns:
- How much should I save?
- How much should I contribute each year?
- How much will a college education cost when my child turns 18?
- What if my child gets a scholarship?
- What if my child decides to tour Europe instead of going to college?
- Can I cash out the account and take a dream vacation?
We empathize with these concerns and incorporate them into your overall financial plan. One way we implement education planning into your financial portfolio is assisting you in setting up a Registered Retirement Education Savings Plan. These plans are a simple way to save money for your childs’ education and the following benefits are tremendous:
- You pay no taxes on the accounts earnings.
- The child does not have control or access to the account – you do.
- If the child does not want to go to college, there are provisions to roll-over to your RRSP
- The Canadian Education Savings Grant (CESG) contributes 20% on every deposit (up to a max.)