RESP/GCWCC


Registered Education Savings Plan (RESP)                                                                                                             

  • Helps save for a child’s education
  • The Government of Canada provides a cash grant of 20% of contributions, up to $500/year per child until age 17
  • The grant room is cumulative to a total of $1,000 in any one year
  • Income and gains grow tax-deferred, and withdrawals are favorably taxed to the student
  • The annual combination of a $2,500 contribution and a $500 Canada Education Savings Grant, compounding at 8%, can grow to $43,460 over 10 years:
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Government of Canada Workplace Charitable Campaign (GCWCC)                                                          

  • Enrollment is quick and easy!
  • Tradex donates an amount matching 5% of your RESP contributions made through this program to the GCWCC. Your contributions are deposited in deferred sales charge funds with a 6 year hold period. This produces a 5% commission, which we donate in your name and you receive the tax receipt.
  • Contributions can be made monthly, bi-weekly or in a lump sum
  • RESP’s are invested in Ethical family of funds, a leader in socially responsible investing
  • Donations help programs in your community, such as those that assist children to acquire the basic skills they need to succeed in school
  • Here’s how it works! Example of a $2,500 RESP investment:

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Federal Grants for RESPs

The Canada Education Savings Grant (CESG) will match up to 20% of your contribution, up to a maximum of $500/year per beneficiary. The CESG has a lifetime limit of $7,200.

The Canada Learning Bond (CLB) provides up to $2,000 per child for families with a modest income. The child must be born after December 31, 2003 to qualify.

Provincial Grants for RESPs

Several provincial governments offer added incentives to encourage early savings for educational purposes. The province is determined by the residency of the parent/guardian.

Revenu Québec introduced the Québec Education Savings Incentive (QESI) as a tax measure for eligible beneficiaries who reside in Québec. An RESP account can receive an amount equal to 10% of the net contributions paid into it over the course of a year, up to a maximum of $250 per year. For low-income families, an increase of up to $50 per year, calculated on the basis of family income, may be added to the basic amount. In addition, since 2008, up to $250 of unused benefits accrued during previous years can be added to the basic amount. A beneficiary cannot be granted a cumulative amount of more than $3,600 for all of the RESPs for which he or she is the beneficiary.

When a B.C. resident child turns six years old, the Province of British Columbia will add $1,200 to the child’s RESP.

The Government of Saskatchewan provides an RESP grant at a rate of 10% of the subscriber’s annual contributions, up to a maximum of $250 per year per beneficiary.

Our No-Fee RESP Providers

AGF

Fidelity

Manulife

BMO Guardian

Franklin Templeton

National Bank

CIBC Asset Management (Renaissance)

Invesco

Northwest Ethical Funds

CI Mutual Funds

Mackenzie

TD Mutual Funds*

*Does not qualify for the Canada Learning Bond or additional Canada Education Savings Grants.

Ethical Family of Funds
  • Canada’s leader in socially responsible investing

 

  • Most comprehensive family of socially responsible mutual funds in Canada
  • Canada’s largest in-house team of socially responsible investment analysts
  • Multiple award-winning funds

We have a wealth of information to share with you on RESPs and the GCWCC! Get in touch with a Tradex advisor to learn more: 

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