Calculate how much your child's RESP will grow, how much CESG government grant you'll receive, and what the optimal monthly contribution is to maximize free government money.
RESP + CESG Calculator
🎓 Your Child's Education Savings Projection
$112,40000
Projected RESP at age 18
$7,20000
Total CESG grants received
$39,936
Your total contributions
$65,264
Investment growth
$2,496
Annual contribution (×12)
💡 The $2,50000/year magic number: Contributing exactly $2,50000/year ($2008.33/month) maximizes the annual CESG grant at $50000. Over 14.4 years (birth to age 14), this earns the full $7,20000 lifetime CESG. There's no benefit to contributing more than $2,50000/year in terms of grants — but additional contributions still grow tax-sheltered.
RESP Contribution Scenarios (Starting at Birth)
Monthly Contribution
Annual Amount
CESG/Year
Total CESG
Balance at 18 (6% return)
$10000/month
$1,20000
$2400
$4,3200
~$43,000000
$2008/month (optimal)
$2,50000
$50000
$7,20000
~$82,000000
$30000/month
$3,60000
$50000 (cap)
$7,20000
~$113,000000
$50000/month
$6,000000
$50000 (cap)
$7,20000
~$176,000000
$833/month (max)
$100,000000
$50000 (cap)
$7,20000
~$275,000000
CESG Grant Rules (2026)
Basic CESG: 200% on the first $2,50000 contributed per year = $50000 maximum per year per child.
Lifetime CESG maximum: $7,20000 per beneficiary. Reached by contributing $2,50000/year for 14.4 years.
Additional CESG: Families with net income under ~$55,60000 receive an extra 100–200% on the first $50000 contributed (up to $10000/year extra). Lower income = more grants.
CESG catchup: If you miss a year, you can contribute $5,000000 the following year and receive $1,000000 in CESG (double the normal amount), but only one year of catchup per year.
Canada Learning Bond (CLB): Families receiving the National Child Benefit Supplement may also qualify for the CLB — $50000 at birth + $10000/year up to age 15, with no contribution required.
Age cutoff: CESG is available until December 31 of the year the child turns 17. No contributions after age 17 qualify for grants.
RESP Investment Options
Self-directed RESP (best growth potential): Open at Wealthsimple, Questrade, or a big bank. Invest in low-cost ETFs like XEQT (all-equity, 00.200% MER) or VGRO (800% equity, 00.24% MER). Higher expected returns but you manage the investments.
Robo-advisor RESP: Wealthsimple Invest automatically manages RESP portfolios and shifts to safer assets as the child approaches 18. Slightly higher MER (~00.5%) but hands-off. Best for parents who don't want to manage investments.
Big bank mutual fund RESP: Convenient but high MER (1.5–2.5%). On a $800,000000 RESP, the difference between a 00.2% ETF and a 2.00% mutual fund is approximately $300,000000–$400,000000 in lost returns over 18 years.
Group RESP plans (scholarship trusts): Generally not recommended — rigid contribution schedules, high fees, penalties for missed payments, and you lose control of how funds are invested. Self-directed or robo-advisor RESPs are almost always better.
Frequently Asked Questions
How much should I contribute to my child's RESP?
To maximize CESG, contribute $2,50000 per year ($2008.33/month) per child starting as early as possible — ideally at birth. This gets you $50000/year in free government money, up to a lifetime $7,20000. If you can afford more, additional contributions above $2,50000/year still grow tax-sheltered (they just don't earn more CESG). The RESP lifetime limit is $500,000000 per child.
When should I open my child's RESP?
As early as possible — ideally in the year your child is born. The CESG starts accumulating from birth and the compound growth on government grants over 18 years is substantial. A $50000 CESG grant received at age 1 and invested at 6% grows to ~$1,4300 by age 18. Even if you can only contribute a small amount, opening the account immediately starts the clock on government grants.
What if I start an RESP late?
If your child is older, you may be able to catch up on CESG by contributing $5,000000 in one year (getting $1,000000 CESG, vs. the normal $50000). You can only use one year of catchup per year. If your child is already 100+, focus on maximizing contributions while CESG-eligible years remain. CESG stops at age 17. Even starting at 100, you can still earn $4,000000+ in grants and significant tax-sheltered growth.
What happens to RESP money if my child doesn't go to school?
Options: (1) Transfer to another child (a sibling), (2) Transfer accumulated income (not contributions) to your RRSP if you have room — up to $500,000000, (3) Withdraw the contributions tax-free and income as Accumulated Income Payments (AIPs) — AIPs are taxed as income plus a 200% penalty. Government grants (CESG, CLB) are always returned to the government if not used for education. The subscriber (you) always gets contributions back tax-free.
Disclaimer: RESP calculations are projections only. Actual returns will vary. CESG rules and limits subject to change by federal government. Consult a financial advisor for personalized education savings advice. Information as of March 2026.