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Registered Education Savings Plan (RESP)

Free money for school.

Read Rules on CRA

The Limit

2026 Limit$50k Lifetime

Always check your CRA My Account for your exact personal limit. Over-contributing attracts penalties!

The Tax Vibe

Post-tax in. Growth and grants taxed in student's hands (usually low/zero tax).

Best Used For...

  • Parents saving for children's education
  • Getting the 20% CESG grant ($500/yr free)

Description

The government matches 20% of your first $2,500 contributed annually per child. That's an instant guaranteed 20% return. If you have kids, this is a no-brainer.

The Free Money (CESG)

The Canada Education Savings Grant (CESG) matches 20% on the first $2,500/year. Lifetime max grant is $7,200.

Family Plans

You can open a family RESP for multiple siblings. If one child doesn't go to school, the other can usually use the money.

Registered Education Savings Plan (RESP) | Money by Rug