Education
RESP Calculator
Calculate RESP growth with Canada Education Savings Grant (CESG) over 18 years.
The Registered Education Savings Plan (RESP) is one of Canada's best government programs. The CESG adds 20% on the first $2,500 contributed per year (up to $500/year, $7,200 lifetime) — that's guaranteed 20% return on every dollar, before investment growth.
Projected RESP Value at 18
$76259
- total Cesg
- $7200 in CESG grants
- total Contributions
- $38400
- years Left
- 16 years to grow
Formula and method
FV = Contributions FV + CESG FV (monthly compounding)
CESG = 20% on first $2,500/year (max $500/year, $7,200 lifetime). Additional CESG available for lower income families. Calculation does not include provincial grants (Saskatchewan, BC, Quebec have additional plans).
Worked examples
Start at birth, $200/mo
- Monthly Contribution ($):
- 200
- Child's Current Age:
- 0
- Expected Annual Return (%):
- 6
Projected RESP Value at 18: $90382
Late start at 10
- Monthly Contribution ($):
- 400
- Child's Current Age:
- 10
- Expected Annual Return (%):
- 6
Projected RESP Value at 18: $54249
Assumptions and limits
- Federal CESG only (no provincial grants)
- Monthly compounding
- Constant return rate
This tool provides an educational estimate. Rules, rates and personal circumstances can change the answer. Review the assumptions before relying on a result. Report a correction.
Common mistakes to avoid
- Contributing a large lump sum without using the monthly structure to maximize annual CESG.
- Waiting until high school to start — every year of compound growth on the CESG is significant.
- Withdrawing for non-educational purposes — education assistance payments (EAPs) must be used for qualified education, or the CESG must be repaid.
Frequently asked questions
How do I maximize the CESG?
Contribute at least $2,500 per year ($208.33/month) to get the maximum annual CESG of $500. Start early — each year missed is a $500 CESG grant you can never recover.
What happens if my child doesn't go to university?
The grants (CESG) must be repaid to the government. Your original contributions come back tax-free. The investment growth becomes an "accumulated income payment" — taxable to the subscriber at their marginal rate plus a 20% penalty tax.