Weekly Tax Tips
How much can I contribute to a Registered Education Savings Plan (RESP) for my child?
Date: 22 Jul 2011
Prior to 2007, there was an annual contribution limit of $4,000 for each beneficiary. In 2007, the $4,000 limit was eliminated. Lifetime contribution limits do apply and depend on the calendar year in which the contributions are made. For 2007 and subsequent years, the cumulative lifetime contribution limit is $50,000. The limit for 1996 to 2006 was $42,000. These contribution limits apply to all RESPs set up for your child. Although there is no longer an annual contribution limit, there is a limit on the amount of contributions that will be eligible for the Canada Education Savings Grant (CESG) each year.
For more information on RESPs and the CESG, click here to read our tax bulletin RESPs: Saving for Your Child’s Education.
This tax tip is a publication of BDO Canada LLP on developments in the area of taxation. This material is general in nature and should not be relied upon to replace the requirement for specific professional advice. The information in this tax tip is current as of 22 Jul 2011.
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