The Canada Education Savings Grant (CESG) is a Government of Canada

Government of Canada

The Government of Canada, formally Her Majesty's Government, is the system whereby the federation of Canada is administered by a common authority; in Canadian English, the term can mean either the collective set of institutions or specifically the Queen-in-Council...

 program, administered through Human Resources and Skills Development Canada

Human Resources and Skills Development Canada

The Department of Human Resources and Skills Development , operating under the FIP applied title Human Resources and Skills Development Canada , is the department of the Government of Canada responsible for developing, managing and delivering a variety of social programs and services...

, to assist with savings for Canadian

Canada

Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...

 children's higher education

Higher education in Canada

Higher education in Canada describes the constellation of provincial higher education systems in Canada and their relationships with the federal government, provinces, and territories.-Higher education systems in Canada:...

. Under the CESG program, the government will contribute an amount to a Registered Education Savings Plan

Registered Education Savings Plan

A Registered Education Savings Plan, or RESP, is an investment vehicle used by parents to save for their children's post-secondary education in Canada. The principal advantages of RESPs are the access to the Canada Education Savings Grant and a source of tax-deferred income.-Tax Benefits:An RESP...

(RESP) according to a formula which is dependent on the amount contributed and the income level of the family in which the contributions are made.

Program

The grant payment is at least 20% of the total annual contributions up to $2500 per child. For lower income families, the grant may be up to 40% on the first $500, and 20% on the balance over that amount. The maximum lifetime grant limit is $7200.

External links

• The Canada Education Savings Grant (CESG)
• http://www.canlearn.ca/eng/saving/index.shtml