Investing in your child’s education is one of the greatest gifts you can provide, laying the foundation for their success and independence. With the cost of education rising, early planning is crucial. Thankfully, there are tailored savings solutions like Registered Education Savings Plans (RESPs), Coverdell ESAs, and innovative options like Million-Dollar-Baby plans that make saving for education more accessible and effective.
Explore Education Savings Options
Registered Education Savings Plans (RESPs): RESPs are a Canadian government-supported, tax-advantaged savings option designed to help families save for their children’s post-secondary education including Government Grants: The Canada Education Savings Grant (CESG) adds 20% to contributions up to a certain limit, boosting your savings.
Coverdell Education Savings Accounts (ESAs): While similar to 529 plans, Coverdell ESAs offer added flexibility, allowing funds to be used for both K-12 and college expenses. The annual contribution limit is lower, but these accounts may be ideal for families with younger children attending private or specialized K-12 institutions.
Million-Dollar-Baby Plans: This unique approach to college savings combines education savings with a life insurance policy that grows in cash value. Million-Dollar-Baby plans allow parents to provide for education while simultaneously securing their child’s future with an insurance component.
How Veracity LD Can Help
Selecting the best savings plan depends on your family’s education goals, financial situation, and tax considerations. Our advisors at Veracity LD offer personalized consultations to help families navigate 529 plans, Coverdell ESAs, and other options. We’ll work with you to create a strategy that secures your child’s educational future.
