Your child’s education is one of the most important things to think about when he or she is young. The cost of tuition is escalating every year. However, high tuition cost is not a reason to deny a child’s college or university education.
According to the 2014 Statistics Canada report, graduates’ debts loads grew 76 percent in the last decade. Canada Student Loan debt now passed the 13 billion mark and continues to climb. Since this number does not even include provincial or private debt, the actual debt is considerably higher.
The high cost of education is a significant barrier for many seeking post-secondary education. More students are taking on jobs while going to school in order to make ends meet and often still face enormous debt loan when they graduate. High levels of debt often take years to pay back and impact students long after they graduate.
“As a student, I’m facing between $75,000 to $100,000 worth of student loans, personal debt, family loans, etc. I barely have the time to work, feed, manage my family and go to school. I do not want my son to face this kind of debt in the future…” Cindy L
This is not the kind of response you like to hear from your child. What can you do today to avoid huge financial burden on your child who pursue post-secondary education?
One of the best strategies is to apply the principle of ‘pay yourself first’. Practice putting away savings for you and your family in areas like education and long term savings. Get a head start by saving money for your child’s education at an early age.
Establishing a Registered Education Savings Plan – RESP Calgary and making disciplined monthly contributions is the most convenient and tax effective way to ensure you will have funds available for your child’s post-secondary education. You will have peace of mind knowing that your contributions helps make your child’s dream a reality.