ExampleChild age 2 · $2,500/yr contribution · 6% return · $95,000 family income · Ontario
Estimates only. CESG: 20% match on first $2,500/yr ($500 max/yr, $7,200 lifetime). Additional CESG income thresholds are approximate 2026 values. Investment returns are not guaranteed. Not financial advice.
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An RESP (Registered Education Savings Plan) in Canada earns a 20% federal grant on contributions - up to $500/year and $7,200 lifetime per child. This calculator projects your child's education fund with CESG matching, optional Additional CESG for lower-income families, and the Canada Learning Bond - and shows the right annual contribution to capture every dollar of free government money.
Basic CESG = 20% × annual contribution, capped at $500/year ($2,500 contribution) and $7,200 lifetime. Additional CESG adds 10–20% on the first $500 for families with AFNI below the phase-in threshold. The Canada Learning Bond adds up to $2,000 for children in families receiving the full CCB. Unused CESG room carries forward, but only $1,000 of catch-up CESG can be claimed per year.
Starting at birth and contributing $2,500/year captures the full $7,200 CESG by age 14. Starting at age 9 or later means you'll miss grant dollars that can't be recovered. RESP growth (but not CESG) can be withdrawn as EAP during school, taxed in the student's hands - usually at a near-zero rate.
The basic CESG matches 20% of annual RESP contributions up to $2,500 per year (maximum $500/year, $7,200 lifetime). Lower-income families may qualify for Additional CESG of 10–20% on the first $500 contributed. The Canada Learning Bond (CLB) provides up to $2,000 for eligible low-income families with no contribution required.
The earlier the better. Starting at birth maximizes grant accumulation (up to $7,200 lifetime CESG) and allows maximum compound growth. You can also carry forward unused CESG room from previous years, but only $1,000 per year in matching can be claimed through catch-up contributions.
If the child does not pursue post-secondary education, CESG and CLB grants must be repaid to the government. The remaining investment growth can be transferred to your RRSP (up to $50,000 if you have contribution room) or withdrawn as income (triggering tax plus a 20% penalty on the growth portion).
Long-form explainers that pair with this calculator.