Author: SRK Insurance

As a parent or grandparent, you want to see your children achieve their dreams. From the moment your child is born, their journey of learning begins. Whether your child’s path includes university, college or vocational training, financial planning is crucial to set them for success. Sooner you start, further ahead you will be when it comes to building a strong foundation for them to succeed.

How much will your child’s education cost?

You may often wonder how much you need to save for your child’s post-secondary education. Knowing the answer is the first step in developing a savings strategy. Our RESP Expert advice / tip would be to ask yourself

• How long before your children go for post secondary education
• What type of program your children would be enrolled in?
• Will they study abroad or within Canada?
• Besides tuition, what other costs will they incur?
• Will they live with you or in residence?
• Will they qualify for provincial assistance or student loans?

Mapping the right course

Once you have determined the costs associated with post secondary education, you would then need to review the strategies to answer important questions like

• What education saving options are available?
• How could you grow savings for your child’s education?
• What strategy or combination would be best approach?

RESPs are most are one of the most chosen strategies as it does provide incentives from Canadian Government, including Canada Education Savings Grants (CESG) – 20% of annual RESP contributions (up to $500), Canada Learning Bond (lifetime limit $2000 per beneficiary). The lifetime RESP contribution limit is $50,000 per beneficiary.

RESP Key Benefits

Tax Savings – your investment is tax-sheltered while in the RESP. It is taxed in the child’s hands, who may pay little or no tax on that income.

Government Contributions – Federal or Provincial governments may provide grants and incentives to help your RESP savings grow faster.

Education Flexibility – RESP savings can be used towards a variety of post-secondary education paths (e.g. University, college, trade school and apprenticeship).

Investment choice – Based on your saving goals you could select individual plan or group plans.

With a view to maximize growth of your savings for your children post secondary education, you could must consider proven RESP strategy:

Contribute – start saving early in RESP and take advantage of generous govt. grants.
Accumulate –Your contributions and grants grow tax free under RESP.
Benefit – You receive your contributions to fund your child’s education and your child receives grants and interest/growth from RESP.

If you have already used maximum RESP contribution limit, you could also choose to invest in TFSA and have your savings grow tax free. This way you could plan and help your children realize their dream or true potential.

To know more or to discuss your specific goals, contact our RESP Expert today!

Written by Sunil Arora (Sunny) – MBA, RIBO, CAIB

Well the answer is – Can you really afford not to have it?
Simply ask yourself, who depends on your income?

Life insurance provides financial protection and peace of mind knowing your family and loved ones would get the financial support they need.

Having a life insurance policy in place is one of the most important investments you would ever make. From covering mortgage payments, debts, covering final expenses and taxes. Life insurance is one of the most crucial financial planning tools for you and your loved ones. A good way to start is to do a needs analysis to find out how much coverage you need and for how long. Accordingly, you could have an insurance policy to cover a term period, whole life or customized plan for your unique situation.

You must choose a licensed Financial Advisor to assist you with designing of an insurance policy that would suit both your needs and budget. During these unprecedented times it is even more important to stay informed and be responsible both for your personal and business needs.

Most insurance companies have updated their eligibility criteria and you could be approved for up to $1,000,000 of life insurance without medical based on your personal situation. Leading insurance providers like CPP, offer a true No Medical Insurance coverage which means that no doctors’ visits or needles are necessary. Once you qualify the screening questions you could be approved for both life and critical illness insurance coverage within no time.

At times you may have fear and uncertainty surrounding these times if life insurance would cover death from global health crisis like COVID 19?

Yes, once you have your life insurance policy in place and based on your honest and accurate answers on the application, your insurance policy will pay out for all types of death – including and related to complications from COVID 19 or any other disease.

At Insurepedia | SRK Insurance Services Inc, we continue to ensure ease of doing business with our expertise and best in class service. We offer no-obligation quotes to your specific insurance needs and are fully equipped to provide you insurance policy using latest technology in non-face-to face environment. Contact us today to discuss your personal needs and we will do the rest.