5 Ways RESPs Can Benefit Your Child
As the mom of 5 inquisitive young children, my husband and I believe that education is important, and in turn we invest in 5 RESPs for each of the kids monthly. Paying for an education over 17 years is definitely easier than fronting the money for 5 educations all at once! Below, I have compiled 5 ways that RESPs benefit our children:
- Planning for the Future We have told our kids from an early age, that we have been putting aside money for their future education, in the form of RESPs. As a result, it empowers our children to plan for their futures. Not only do we discuss together what the kids want to become when they’re older, but we also explore which subjects will be needed in order to realize their goals (e.g. math, science, English, etc). Then we challenge our children to try their very best in these areas.
- Peace of Mind No matter what career paths our kids choose, they can pursue their dreams with confidence, knowing that they will receive much-needed funding towards their post-secondary education. Take a big eraser and wipe out all the “what ifs”— that’s what RESPs do for peace of mind.
- Pre-Paid RESPs create a scenario whereby our children will receive a pre-paid post-secondary education, without money worries looming overhead. With an RESP, my husband and I can effectively guarantee that our children will never have to take on a student loan — and with it, the lifelong burden that it sometimes grows to be.
- Prosperous Our kids can dream big, knowing that we’ve got their educations covered. My 9-year-old wants to be a scientist, which would normally make for a very expensive undertaking. However, our son’s dream will prosper with his RESP in place; all he has to bring to the table is enthusiasm, hard-work, dedication, and problem-solving skills.
- Priorities We believe paying into RESPs teaches our kids that getting an education is a priority. As a child, I heard this same message from my parents, but had a rude awakening when I had to put myself through four years of university. How naïve I was then, not realizing (until my first tuition bill arrived) that university would not be free like high school had been! While I’m not lamenting, because I was able to pay my own way by means of summer jobs, a boost would have been appreciated — and would have reinforced the “priority” message.
Find out more about how and RESP can help you minimize the financial burden on your child, while they strive to achieve their dreams. Cost of Education is on the rise, and why not leverage the potential government grants available, and provincial grants, where applicable, to help you maximize your savings! Download our free RESP guide today for more information.