A WIN-WIN opportunity for families looking to invest in their children’s education

The cost of raising kids to age 18 is crazy expensive. In fact, a recent report stated that the estimate is around a quarter of a million dollars per kid. The really crazy part is that amount doesn’t include any post secondary education costs.

To keep up in today’s competitive environment, obtaining post-secondary education is a must! Depending on where you live and the program in which your children choose to enroll, parents might be looking at spending many thousands per year. However, most Canadian families can’t afford this cost, especially since University costs are expected to rise 13% over the next four years.  It’s no wonder that applications for student loans continue to rise. Students requiring a Canada Student Loan now graduate with an average debt of over $28,000. High levels of student debt has a significant negative impact on graduates and our economy as a whole.

However, as a parent, you can help ease that financial burden by contributing to your children’s Registered Education Savings Plan (RESP). When you make contributions, the government will match a certain percentage and your children can withdraw from it tax free when they apply it towards their post-secondary tuition costs.

Canada Learning Bond

What most Canadians don’t know about saving for their children’s post-secondary education is that they can receive up to $2,000 from the Canadian government to be put into an RESP of their choosing.  Through the Canada Learning Bond, when you open an RESP, the Government will deposit $500 right away and could deposit up to $1,500 more by the time your child is 15, even if you don’t contribute any money yourself. That’s up to $2,000 for your child’s education after high school.

Throughout the month of December there’s an added bonus! Families that apply for their child’s Canada Learning Bond through SmartSAVER.org before December 31, 2015 will also have the chance to win one of nine $1,000 weekly cash prizes. There are no costs or minimum contributions required to open an RESP, and families can choose to open their account with one of six participating banks or credit unions.

SmartSAVER is a nonprofit working with communities to make it easier for lower-income families to save for their kids’ future education using RESPs & the Canada Learning Bond.

Disclosure: I received certain perks in exchange for this writing this post. However, the stories and opinions are my own and I’m so excited to be able to spread awareness about such an amazing program.