The RESP is one of Canada's most generous savings vehicles because of the government grants attached to it — essentially free money for your child's education.
Canada Education Savings Grant (CESG)
The federal government contributes 20% of contributions up to $2,500/year — maximum $500 CESG annually. Lifetime limit: $7,200 per beneficiary. Enhanced CESG available for lower-income families (extra 10–20% on first $500).
Quebec Education Savings Incentive (QESI)
Quebec adds 10% on the first $2,500 contributed (max $250/year, $3,600 lifetime). Quebec families receive 30% in government matching on the first $2,500 annually — administered automatically via Revenu Québec.
💡 Maximize Early: Contributing $2,500/year from birth collects maximum $7,200 CESG + $3,600 QESI = $10,800 in free government money. Invested at 6% return, this grows to ~$48,000 by age 18.
Key Rules
- No annual limit (lifetime max $50,000 per beneficiary)
- CESG earned until beneficiary turns 17
- Family RESP allows multiple children as beneficiaries — the better choice for most families