Registered Education Savings Planning
It's may be tempting to buy another colourful toy or adorable outfit for your baby, but saving for their education is a wiser choice. Even though it may be difficult to save for your child’s education due to other financial commitments, it’s a worthwhile investment given the rising costs of education.
Most sleep-deprived new parents find it hard to think beyond their baby's next feeding, but if you start early and build some education savings into your living-expense budget you will be amazed at how much you can save up.
The most common way of saving for a child's education is through RESPs.
RESPs offer two advantages. The first is that the money in the account can grow without the government taxing the returns each year. When the money is used to pay for a college or university education, it's the child who will report the income, not the parents. Since the child’s income will most likely be low, the tax bill will be small.
The second draw is the financial contribution the government will make to a child's education. Depending on the family income, the Canada Education Savings Grant will pay out between 20 and 40 per cent of the first $500 the parents save each year for their child's RESP There will be an additional grant of as much as $400 annually on the next $2,000 worth of contributions. That’s a guaranteed return on investment of 20 per cent!
The hard part is deciding how and where to invest the RESP. Talking to an expert in financial planning and RESPs is the best way to wade through the many different options.
In Kelowna there are many Financial Planners & RESP experts:
Here are a few that would love to help guide you through all of your options.
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Colby Kramer, B.Mgnt
Consultant, Investors Group Financial Services Inc.
(250) 762-3329 ext 353, Cell: (250) 864-9867
Email Colby.Kramer@InvestorsGroup.com
“My business is built on client referrals from people like you, and I would really appreciate your assistance!”
http://www.investorsgroup.ca/consult/colby.kramer/english/default.htm
You want the best for your children, and that includes all the advantages a post-secondary education brings. When your youngster is ready for college or university will you be ready to pay for their education? By that time, the total bill for a four-year degree could easily exceed six figures. You can make the financial grade with the right education savings strategy – if you begin now.
We all wish the same things for the children we love. Health and happiness, or course. And, as their lives unfold, every opportunity to make the most of their talents and ambition, to see their dreams reach fullest bloom. That’s where a post-secondary education comes in – for many youngsters it’s a vital step toward achieving their career and life goals.
Don’t limit your child’s opportunities. By being prepared and starting now, you can help your children avoid the burden of thousands of dollars of debt. Wouldn’t it be nice if neither you nor your children had to suffer financially just so they could pursue a post-secondary education? With free government grants to get you started, why wait any longer. Call Colby Kramer now.
Colby can also help with: Life insurance, Tax planning, Estate planning, Mortgages, Cash management and Banking.
Joanne (Jody) Johnson Ed.D.
Sales Representative
C.S.T. Consultants Inc
250-542-0742
joanne.johnson@cstresp.com
The Canadian Scholarship Trust Foundation is one of Canada’s largest and most experienced group RESP providers. Founded in 1960 by a small group of educators worried about the rising cost of post-secondary education, the Foundation has been dedicated to bringing higher education within reach for Canadian families ever since. The Canadian Scholarship Trust Foundation is a non-profit organization. Every year since 1960 the CST Foundation has donated back a share of its surplus revenue to enhance CST beneficiaries’ education payments. Since 1987, the Foundation has donated over $51 million, including $6.1 million in 2010.
The Canada Education Savings Grant (CESG) and other incentives help you save more by matching some of the money you contribute. Your principal is protected by lower-risk investment strategies, so it can be returned to you. In over fifty years, plan-holders have never lost a dollar of their principal.
With 70% of all new jobs in Canada expected to require post-secondary education, whether it’s academic or technical training, your child will need more than just a high school diploma to qualify for many jobs. C.S.T. plans can be used almost anywhere! Institutions that range from community colleges and universities to vocational, technical, trade and religious schools are recognized in Canada and abroad. Distance learning and correspondence courses are eligible too.
Jody promotes CST RESPs because she feels strongly about the value of education and the importance of parents and grandparents saving, so that no eligible Canadian child is denied post-secondary education due to lack of financial resources.
The Canadian Scholarship Trust Foundation is one of the most experienced and reliable RESP providers in the country. The investment policies and return targets for their plans are set with two goals in mind: to protect your principal and to deliver a positive return on your investment.
It will be Jody’s pleasure to assist you in setting up a CST education savings plan for your child.
FOR MORE DETAILS OR TO ARRANGE A MEETING WITH JODY TO DISCUSS YOUR RESP STRATEGY PLEASE CALL HER AT
250-542-0742 OR EMAIL HER AT JOANNE.JOHNSON@CSTRESP.COM
