Unity Credit Union - Education Savings

Will your children be able to afford a post-secondary education? The current cost of four years of post-secondary education is approximately $53,081. In 18 years, this will rise to $107,532 if education costs increase by 4% per year and to $225,081 if costs increase by 8% per year. RESPs are an excellent way to save for your child's education.

A RESP is a tax sheltered government plan that allows you to contribute up to $50,000 for a child’s post-secondary education – whether it’s your child, a grandchild, or a friend's child. Your contributions are eligible to receive incentive grants from the government (subject to limits). Unity Credit Union offers RESP plans as an agent for Concentra Trust, and there are a number of investment options available.

Grow your money – Your grants and earnings will be tax sheltered until withdrawn.
Benefit from the Canada Education Savings Grant – Your contributions are available to receive government grant funds. The Government of Canada offers incentive grants including the Canada Education Savings Grant (CESG) and the Canada Learning Bond (CLB), matching up to 20% of your annual contributions to a maximum of $500 per year per child (lifetime maximum of $7,200).
Less tax when withdrawn – When your child begins to withdraw funds for their education, they will pay tax on the grant and income only. Being taxed in the student's hands will likely result in a lower tax bill.

Anyone can contribute – Niece, nephew, child of a friend or your own child – you can help make their future educational dreams a reality. The beneficiary must be a Canadian citizen with a valid Social Insurance Number. Contributions can be made to the plan for 31 years, and the plan can remain open for 35 years.
Plan options available – You can choose an individual plan (one beneficiary) or a family plan (multiple beneficiaries). Talk to one of our specialists to find out what is best for you.
Competitive interest rates