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    Save for Your Child's Education
    Tax-Free Growth and Government Grants

    Give your child a strong start with an RESP from Punjab Insurance. Grow your education savings tax-free, earn valuable government grants, and enjoy flexible options for post-secondary planning.

    Sikh family outside school, showing phone

    What Is an RESP?

    A Registered Education Savings Plan (RESP) is a government-registered account designed to help Canadian families save for a child's post-secondary education. Contributions grow tax-free, and you can receive up to $7,200 in government grants per child. Withdrawals for education are taxed in the student's hands-usually at a much lower rate.

    • Tax-free investment growth
    • Up to 40% in federal and provincial grants
    • Lifetime contribution limit of $50,000 per beneficiary
    • No annual contribution limit: contribute at your own pace
    • Anyone can contribute: parents, grandparents, friends

    Registered Education Savings Plan (RESP)

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    Types of RESP Plans

    Individual RESP
    Individual RESP

    For one child; anyone can open and contribute

    Family RESP
    Family RESP

    For multiple children in one family; ideal for families with more than one child

    Group or Scholarship Plans
    Group or Scholarship Plans

    Pooled with other families, with set contribution schedules (ask your advisor for pros and cons)

    Self-Directed RESP
    Self-Directed RESP

    You choose and manage your own investments

    How Does RESP Work?

    Open an account
    Open an account

    Parent, guardian, or anyone can open an RESP for a child with a valid SIN

    Contribute
    Contribute

    Add funds up to $50,000 per beneficiary (no annual max)

    Earn grants
    Earn grants

    Receive the Canada Education Savings Grant (CESG)-20% on contributions up to $500/year (lifetime max $7,200), plus possible provincial grants or the Canada Learning Bond for lower-income families

    Grow tax-free
    Grow tax-free

    Investments inside the RESP grow tax-free

    Withdraw for education
    Withdraw for education

    When your child attends college, university, or trade school, funds are withdrawn and taxed in their (likely lower) income bracket

    Why Choose an RESP Over a Regular Savings Account?

    • Tax-free growth on all investments
    • Government grants boost your savings
    • Withdrawals taxed at the student's low rate
    • Flexible investment options: GICs, mutual funds, ETFs, and more
    • Unused contribution room carries forward

    RESP Rules & Tips

    • Contribution limit: $50,000 per beneficiary (lifetime)
    • No annual contribution limit since 2007
    • Plan must close by the 35th anniversary
    • Unused grants may be transferred to a sibling or returned to the government if not used
    • Overcontributions may be subject to a 1% monthly tax until removed

    FREQUENTLY ASKED QUESTIONS

    Frequently Asked Questions about
    RESP

    How much can I contribute to an RESP?
    Up to $50,000 per beneficiary, with no annual limit.
    What if my child doesn't pursue post-secondary education?
    You can transfer funds to another sibling's RESP, or withdraw your contributions (subject to rules on grants and tax).
    Can RESP funds be used for studies abroad?
    Yes-many international programs qualify.
    What happens to unused grant money?
    Unused grants may be transferred or returned to the government; ask your advisor for details.
    How do I get started?
    Get a free quote or schedule a call with a licensed Punjab Insurance advisor for personalized help.
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    GOOGLE REVIEWS

    Why Families & Businesses Choose Punjab Insurance

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    Save confidently for your child's education with tax-free growth and valuable government grants. An RESP from Punjab Insurance helps you build education savings flexibly while preparing for post-secondary costs-so your child can focus on learning, not finances.
    Disclaimer: Information on this page is for general guidance only and not a substitute for professional advice. Please consult a licensed Punjab Insurance advisor for personalized recommendations.