Quantcast
RESP targets - Page 2 - Beyond.ca - Car Forums
Page 2 of 8 FirstFirst 1 2 3 ... LastLast
Results 21 to 40 of 141

Thread: RESP targets

  1. #21
    Join Date
    Sep 2012
    Location
    Calgary, AB
    Posts
    1,655
    Rep Power
    89

    Default

    Quote Originally Posted by killramos View Post
    This quote is hidden because you are ignoring this member. Show Quote
    I mean if you want your kid to go through school eating Tendies instead of Ramen...
    You need to teach your kids to go big or go home.

  2. #22
    Join Date
    Jun 2007
    Location
    Calgary, AB
    My Ride
    R50
    Posts
    549
    Rep Power
    18

    Default

    https://www.canada.ca/en/revenue-age...rant-cesg.html

    Who qualifies for the basic CESG
    No matter what your family income is, ESDC pays an amount of Canada Education Savings Grant (basic CESG) of 20% of annual contributions you make to all eligible RESPs for a qualifying beneficiary to a maximum CESG of $500 in respect of each beneficiary ($1,000 in CESG if there is unused grant room from a previous year), and a lifetime limit of $7,200.

    Who qualifies for the additional CESG
    ESDC will also pay an additional amount of Canada Education Savings Grant (additional CESG) for each qualifying beneficiary. The additional amount is based on the adjusted income and can change over time as the adjusted income changes.

    The following chart gives you a brief overview of how the CESG is calculated depending on the adjusted income:
    Plan is to roll the dice and bet with the kids'/government's money early on:
    1. Go hard and max out contributions to get the full 20% grant on each of the first 14 years
    2. Invest the $42k in long holds during this time
    3. May the stock gods be with me
    4. In year 15-18, exit from long and replace with low risk investments or keep as cash

  3. #23
    Join Date
    May 2008
    Location
    Wildflower Ranch
    My Ride
    Neo-Liberal Anarchist Mobile
    Posts
    2,245
    Rep Power
    39

    Default

    Quote Originally Posted by suntan View Post
    This quote is hidden because you are ignoring this member. Show Quote
    You need to teach your kids to go big or go home.
    Ma said that you don't want to teach your kids to go home. No siree.

  4. #24
    Join Date
    Jan 2004
    Location
    Calgary, Alberta
    My Ride
    Bicycle
    Posts
    9,457
    Rep Power
    53

    Default

    Do you guys include potential inflation depends on when your kids goes to uni?

    Tuition tripled from 1990 to 2016. If the trend continues and you have a 3 year old today, expect it would cost $$20-25K/yr in tuition alone by 2035 instead of today's $12K/yr.

    And that's based on current government funding (50% of tuition) and foreign student enrollment rate. Both may change in the future probably to the wrong direction = higher cost.
    Last edited by Xtrema; 10-22-2020 at 02:59 PM.

  5. #25
    Join Date
    Jul 2010
    Location
    Homeless
    My Ride
    Blue Dabadee
    Posts
    10,134
    Rep Power
    100

    Default

    What about factoring in socialist trends towards further subsidizing educations?

    20 years from now going to school will probably be free, and TrudeauBot 3000 will have confiscated our RESP’s
    Originally posted by Thales of Miletus

    If you think I have been trying to present myself as intellectually superior, then you truly are a dimwit.
    Originally posted by Toma
    fact.
    Quote Originally Posted by Yolobimmer View Post
    This quote is hidden because you are ignoring this member. Show Quote

    guessing who I might be, psychologizing me with your non existent degree.

  6. #26
    Join Date
    Jan 2004
    Location
    Calgary, Alberta
    My Ride
    Bicycle
    Posts
    9,457
    Rep Power
    53

    Default

    Quote Originally Posted by killramos View Post
    This quote is hidden because you are ignoring this member. Show Quote
    What about factoring in socialist trends towards further subsidizing educations?

    20 years from now going to school will probably be free, and TrudeauBot 3000 will have confiscated our RESP’s
    Hmmm, and get UBI on top. I guess I know what I'm doing when I retired. I'll be that old know it all guy that annoys the everyone by asking too many irrelevant questions in class.

  7. #27
    Join Date
    Jul 2010
    Location
    Homeless
    My Ride
    Blue Dabadee
    Posts
    10,134
    Rep Power
    100

    Default

    Quote Originally Posted by Xtrema View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Hmmm, and get UBI on top. I guess I know what I'm doing when I retired. I'll be that old know it all guy that annoys the everyone by asking too many irrelevant questions in class.
    Dude, there won’t be any retirement. You will get the needle when you turn 65.

    This is the way
    Originally posted by Thales of Miletus

    If you think I have been trying to present myself as intellectually superior, then you truly are a dimwit.
    Originally posted by Toma
    fact.
    Quote Originally Posted by Yolobimmer View Post
    This quote is hidden because you are ignoring this member. Show Quote

    guessing who I might be, psychologizing me with your non existent degree.

  8. #28
    Join Date
    Mar 2006
    Location
    Calgary
    My Ride
    X7 40i, 335i Cab
    Posts
    811
    Rep Power
    21

    Default

    We just started a RESP for our first kid and it didn't even cross our mind that it should be enough to cover tuition AND living expenses like rent and stuff. We just thought as long as it covers her 4 year of tuition + books we have done our part, and if she wants to go out of city, that's on her (and we will partially help) to find ways to do that.. working part time.. student loan.. etc..

  9. #29
    Join Date
    Jul 2010
    Location
    Homeless
    My Ride
    Blue Dabadee
    Posts
    10,134
    Rep Power
    100

    Default

    There is nothing stopping you from supplementing outside of RESP if you need/want to... it’s not that great of a program such that you are very far behind if you don’t shelter everything inside it... ( it’s not like you get tax credits today for contributing a la RRSP)
    Originally posted by Thales of Miletus

    If you think I have been trying to present myself as intellectually superior, then you truly are a dimwit.
    Originally posted by Toma
    fact.
    Quote Originally Posted by Yolobimmer View Post
    This quote is hidden because you are ignoring this member. Show Quote

    guessing who I might be, psychologizing me with your non existent degree.

  10. #30
    Join Date
    Jun 2004
    Location
    Calgary, Alberta
    My Ride
    2018 Lexus IS350 AWD F-Sport 3
    Posts
    350
    Rep Power
    22

    Default

    https://www.univcan.ca/universities/...by-university/

    Good source here. Keep in mind if the kids go to University somewhere else, multiple flights per year, likely including your own and what not. Also, Inflation + 3% would be a reasonable assumption for tuition increases when projecting out the cost.

    An RESP, maxed out to receive the grant money, with growth factored in, should have no problem funding an undergrad degree in Calgary.
    These opinions are entirely my own and do not represent any other person or organization.

  11. #31
    Join Date
    Jan 2008
    Location
    Upstairs
    My Ride
    Natural Gas.
    Posts
    14,039
    Rep Power
    100

    Default

    I don't think you can use RESP money for flights, can you?
    Quote Originally Posted by JRSC00LUDE View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Pizza preferences are more polarizing than politics.

  12. #32
    Join Date
    Jun 2004
    Location
    Calgary, Alberta
    My Ride
    2018 Lexus IS350 AWD F-Sport 3
    Posts
    350
    Rep Power
    22

    Default

    Quote Originally Posted by ExtraSlow View Post
    This quote is hidden because you are ignoring this member. Show Quote
    I don't think you can use RESP money for flights, can you?
    Absolutely you can. All that is required is proof of enrolment to facilitate an RESP withdrawal. Those could go for anything really as long as it is considered “reasonable” education expenses. Transportation would for sure be included in that.
    Last edited by dezmarez; 10-22-2020 at 08:55 PM.
    These opinions are entirely my own and do not represent any other person or organization.

  13. #33
    Join Date
    Jul 2010
    Location
    Homeless
    My Ride
    Blue Dabadee
    Posts
    10,134
    Rep Power
    100

    Default

    Does Vegas have any good schools?
    Originally posted by Thales of Miletus

    If you think I have been trying to present myself as intellectually superior, then you truly are a dimwit.
    Originally posted by Toma
    fact.
    Quote Originally Posted by Yolobimmer View Post
    This quote is hidden because you are ignoring this member. Show Quote

    guessing who I might be, psychologizing me with your non existent degree.

  14. #34
    Join Date
    Jun 2004
    Location
    Calgary, Alberta
    My Ride
    2018 Lexus IS350 AWD F-Sport 3
    Posts
    350
    Rep Power
    22

    Default

    Quote Originally Posted by killramos View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Does Vegas have any good schools?
    Haha right? The thing is there is no actual list saying funds need to go towards tuition. If you can make the argument the expense was done for education purposes it should be fine. Food, board, books, transportation, laptop, desks etc.
    These opinions are entirely my own and do not represent any other person or organization.

  15. #35
    Join Date
    Jan 2008
    Location
    Upstairs
    My Ride
    Natural Gas.
    Posts
    14,039
    Rep Power
    100

    Default

    Neat. I thought restrictions were tighter than that. Neato. Don't think any of my kids are going to med school, but maybe welding school.
    Quote Originally Posted by JRSC00LUDE View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Pizza preferences are more polarizing than politics.

  16. #36
    Join Date
    May 2006
    Location
    Only 15min from Aspen!
    My Ride
    Nothing interesting anymore
    Posts
    8,522
    Rep Power
    100

    Default

    Quote Originally Posted by Xtrema View Post
    This quote is hidden because you are ignoring this member. Show Quote


    And that's based on current government funding (50% of tuition) and foreign student enrollment rate. Both may change in the future probably to the wrong direction = higher cost.
    There will be far more foreign students in the future, not less. Post secondary loves foreign students because they pay in full. The government subsidies for domestic student are doled out a portion at a time.

    So if a foreign student drops out, 100% of the tuition is still paid, if a domestic drops out, the subsidy is gone, as well as that seat for the rest of the year.

  17. #37
    Join Date
    May 2015
    Location
    Calgary
    My Ride
    B16 Spec V, 97 SC400, 15 Caravan
    Posts
    136
    Rep Power
    0

    Default

    Don't think it was mentioned but lifetime grant money is $7200, you can get a maximum of $500 per year of that, so it maxes out around age 15 if you start from birth. Your maximum lifetime contribution limit in an RESP is $50k. So if you do the math the max contribution to ensure max grant money is approximately $3334 per year for 15 years, then you are maxed out and got all of the grant that you could get.

    The money is taxed at the student's rate when they are in school, so if it's going to primarily education there should be no tax impact.

  18. #38
    Join Date
    May 2002
    Location
    Okotoks North
    Posts
    3,857
    Rep Power
    101

    Default

    Quote Originally Posted by Cagare View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Don't think it was mentioned but lifetime grant money is $7200, you can get a maximum of $500 per year of that, so it maxes out around age 15 if you start from birth. Your maximum lifetime contribution limit in an RESP is $50k. So if you do the math the max contribution to ensure max grant money is approximately $3334 per year for 15 years, then you are maxed out and got all of the grant that you could get.

    The money is taxed at the student's rate when they are in school, so if it's going to primarily education there should be no tax impact.
    If you just want to max the grant money it's just $2500/year since its 20% grant ($500).

    If you want to hit max lifetime contribution, get all the grant money and have max potential growth for RESP you should invest $15000 when opening it, then $2500/year for the next 14 years.
    ---

  19. #39
    Join Date
    Jun 2004
    Location
    Calgary, Alberta
    My Ride
    2018 Lexus IS350 AWD F-Sport 3
    Posts
    350
    Rep Power
    22

    Default

    Quote Originally Posted by kenny View Post
    This quote is hidden because you are ignoring this member. Show Quote
    If you just want to max the grant money it's just $2500/year since its 20% grant ($500).

    If you want to hit max lifetime contribution, get all the grant money and have max potential growth for RESP you should invest $15000 when opening it, then $2500/year for the next 14 years.

    ^^^this is the correct strategy, if you have the means to do it of course.
    These opinions are entirely my own and do not represent any other person or organization.

  20. #40
    Join Date
    Jun 2007
    Location
    Calgary, AB
    My Ride
    R50
    Posts
    549
    Rep Power
    18

    Default

    Quote Originally Posted by kenny View Post
    This quote is hidden because you are ignoring this member. Show Quote
    If you just want to max the grant money it's just $2500/year since its 20% grant ($500).

    If you want to hit max lifetime contribution, get all the grant money and have max potential growth for RESP you should invest $15000 when opening it, then $2500/year for the next 14 years.
    Nice, didn't think about topping it up year 1 to max growth.

    Quote Originally Posted by dezmarez View Post
    This quote is hidden because you are ignoring this member. Show Quote
    ^^^this is the correct strategy, if you have the means to do it of course.
    Exactly why I wouldn't have thought of it... lol

Page 2 of 8 FirstFirst 1 2 3 ... LastLast

Similar Threads

  1. Taking $ out of RESP early

    By bigbadboss101 in forum Real Estate / Finance
    Replies: 7
    Latest Threads: 09-03-2020, 08:13 PM
  2. RESP question

    By arcticcat522 in forum Real Estate / Finance
    Replies: 25
    Latest Threads: 11-20-2019, 12:44 AM
  3. RESP or RSP or Others

    By desmond in forum Real Estate / Finance
    Replies: 10
    Latest Threads: 03-30-2015, 02:25 PM
  4. RESP's

    By Gurpy in forum Campus Chat
    Replies: 8
    Latest Threads: 11-19-2008, 08:56 PM
  5. RESP's for kids....

    By Nufy in forum Real Estate / Finance
    Replies: 25
    Latest Threads: 01-10-2008, 05:17 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •