RESPs—Give Your Child a Head Start, One Small Step at a Time

RESPs—Give Your Child a Head Start, One Small Step at a Time

As a parent, you want to give your kids every opportunity to thrive - especially when it comes to their education. But with tuition and living costs rising steadily, many families in Southern Ontario worry about how they’ll afford it all.

That’s where the Registered Education Savings Plan (RESP) comes in. It’s one of the most powerful tools available to help you save for your child’s post-secondary future - and the sooner you start, the more it can do.

What Is an RESP? An RESP is a special type of investment account designed to help you save for a child’s education after high school. Whether they choose college, university, or trade school, the money you put aside can help cover tuition, books, and other expenses.

Why Start Now? You don’t need to put in hundreds each month. Even small, consistent contributions - say, $25 a week - can grow meaningfully over time thanks to compounding interest. When you give your savings time to grow, the results can surprise you!

And you’re not doing it alone. Through the Canada Education Savings Grant (CESG), the government will match 20% of your contributions - up to $500 per year, per child. That’s free money added directly to your child’s future. Families with lower income may qualify for additional grants and bonds, making it even easier to start… even if your budget is tight.

A Flexible Way to Save RESPs are tax-sheltered, meaning your investment growth isn’t taxed while it’s in the plan. And when your child withdraws the money later, they’re usually in a low tax bracket - so the tax hit is minimal.

Even better, you remain in control of the plan. If your child doesn’t pursue post-secondary studies, you have options for what to do with the money (including transferring to another child or your RRSP, or even taking the cash with some conditions).

Start with What You Can Many parents put off starting an RESP because they think they need to contribute large sums - but that’s not true. The most important thing is to start early and stay consistent. Your effort, combined with government grants and investment growth, does more than you think.

Let’s Make It Easy At Brewitt Financial, we help families across Southern Ontario set up RESP plans that are simple, flexible, and aligned with your goals. We’ll explain your options clearly - no jargon, no pressure.

Whether you’re just getting started or want to make the most of what you’ve already saved, we’re here to help.

Let’s build something great- for your child’s future, and your peace of mind.