As the costs of post-secondary education continue
to rise at a rate of about 5% per year, many parents and grandparents
are looking for ways to maximize savings.
There are many
investment tools available to assist in funding a higher education.
What's right for your situation depends on many factors, including your
net worth, the ages and number of children involved, and whether or not
you want to surrender the right to later take back the principal you
Your chosen strategy can include a Registered
Education Savings Plan (RESP), which shelters from tax the income on
your investments - and provides access to direct contributions from the
federal government through the Canada Education Savings Grant
(CESG). Alternatively, you can decide to establish a formal trust which may offer greater
flexibility in some areas.
You can read more about you options by clicking: Education Planning