“Saving for a Child's Education” Video
Text Transcript
Music: Themed audio intro
Voice:
It's never too early to open a special savings account for your child's post-secondary education.
This video tells you about money available from the Government of Canada to get you started, and it describes three easy steps.
The special savings account for your child's education after high school is called an RESP, or a Registered Education Savings Plan. It is special because any money that you, your family or friends put into the RESP is allowed to grow tax-free.
Your child could get a $500 Canada Learning Bond from the Government of Canada to help you start saving, if you receive the National Child Benefit Supplement. Your child could get an extra $100 each year up to age 15, as long as you continue to receive the supplement. That's up to $2,000 that will grow over time in your child's RESP. And, you don't have to put in any of your own money to get this bond.
The Government will also pay to help cover the cost of opening the RESP.
You could also get the Canada Education Saving Grant. Depending on your income, the Government of Canada will top up your RESP contribution by 20 to 40 percent. This means you could get up to $600 per year in grant money if you contribute $2,500.
Sounds too good? Not at all
So how do you open an RESP and get money from the Government of Canada?
Step 1 - Get informed. There are a number of things to consider when opening an RESP - And you've already started by watching this video!
- Students with financial need could be eligible for government grants and bursaries. There are a number of them, so look at the CanLearn loan and grant estimators to learn more.
- Learn about the three types of plans available, so that you choose one that meets your family's needs and situation.
- Check out the 'Choosing an RESP' section, and the checklist in the 'Consumer Information' section, both on CanLearn.ca. Also, take a look at the 'Frequently Asked Questions' about RESPs.
- Or call 1 800 O-Canada to ask for an RESP brochure.
Step 2 - Get a Social Insurance Number for your child. Call 1 800 O-Canada or visit a Service Canada Centre near you.
- Your child needs to have a Social Insurance Number to open an RESP. There is no fee, but certain documents are required, such as a birth certificate. You can apply for a Social Insurance Number for your baby, and it will be useful throughout your child's life.
Step 3 - Speak with a financial advisor to open an RESP.
- You can open an RESP through a financial institution, such as a bank or credit union, through a certified financial planner, or through a group plan dealer.
- A financial advisor will take you through the process and help you apply for the Canada Learning Bond or the Canada Education Saving Grant.
With an RESP, every dollar counts. Even a small amount invested will help your child pursue post-secondary education, whether in an apprenticeship program, trade school, college or university.
Get the most money you can from the Government of Canada by opening an RESP right away. Don't wait.
Remember, an education is the greatest gift you can offer! Start saving now!
Music: Themed audio extra
Closed Captioning
If you require closed captioning, select one of the available formats to download the appropriate file:
For QuickTime and RealPlayer:
Note: Both files listed below are required to successfully enable closed captioning in QuickTime and RealPlayer.
- SMIL Format (4 kb)
- TXT Format (4 kb)
For Windows Media Player:
- SMI Format (20 kb)
Instructions for Downloading:
- Right-click on the link
- Select Save Target As or Save Link As
- Save the file to your computer
