Federal budget gives parents 20% instant return on RESPs

[Richard Netherton]

For your information:

 

The 1998 Federal Budget introduces the Canada Education Savings Grant that tops up RESP contributions by a whopping 20% to a maximum of $400.00 per year. At  8% per year growth this translates into an extra $12,000 for children when they enter post-secondary education.

 

This is great news for us parents and grandparents who have been wondering how our children will be able to afford a post secondary education. As the Budget 1998 government press release says:

 

"With the introduction of the Canada Education Savings Grant, RESPs will be among the most attractive savings vehicles available for your children's education. The government believes RESPs come to be considered as essential for future planning as RRSPs are now. With the new Canada Education Savings Grant, RESPs represent one of the best things that parents can do for their children, that uncles and aunts can do for their nephews and nieces, and that grandparents can do for their children."

 

I represent the Heritage Scholarship Trust Plan - a non-profit organization that has been providing tax-sheltered savings programs for Canadians for the last 10 years. We presently have over 60,000 Canadian children enrolled in our program with deposits exceeding $100 million dollars. Our present rate of return is in excess of 8% invested in secure government backed securities.

 

For more information on the Heritage Scholarship Trust Foundation or on Registered Education Savings Plans (RESP) in general, Please call:

 

    Richard Netherton

    Enrollment Representative

    Heritage Scholarship Trust Plan

 

    Phone: (902) 823-2935

    Fax:      (902) 823-1092

    email:   rdn...@kayhay.com