“The reason I pursued post-secondary education is because I had an RESP. I was able to focus on my studies – and I graduated debt-free. I got a head start to life.”
Children fill our lives with joy, wonder, and, yes, a few challenges too. So it’s natural to feel a mix of emotions – from overwhelming love to occasional worry about the future.
These days, one of the most common concerns for parents is how to provide the best possible future for the next generation, especially when it comes to education.
With forward thinking and a little help from family, friends, and financial professionals, it’s possible to set your child up for a bright future while still balancing your budget.
If current trends continue, the cost of an undergraduate degree could rise by 30% by 2043.*
But here's the good news: with early planning and saving strategies, like opening and contributing to an RESP, these costs are manageable.
With family financial planning, the truth is that every little bit helps, and starting early can make a big difference over time. Here are a few things to think about.
While saving for the future is important, don't forget to enjoy the present. Find a balance that allows you to build an emergency fund and save for education while still creating beautiful memories with your child.
Think of life insurance as a way to help support your child’s financial future. Investing in a policy for yourself, with your child as the beneficiary, can offer peace of mind and help protect your family’s financial security.
Budgeting might not sound exciting, but you can think of it as a way to invest in your family's health and happiness. Include essentials like housing, food and education, but don't forget to budget for joy, connection and overall well-being. Dedicated family time – like a monthly outing – cultivates mental wellness, strengthens bonds, and creates lasting memories.
Critical illness insurance and disability insurance can be a key part of your family's safety net. Critical illness insurance alleviates financial worries so you can focus on what truly matters: recovery, and the well-being of your loved ones. Disability insurance can protect the family’s income if you or your partner can’t work due to a serious illness or injury.
Parenthood is an adventure, and like all great adventures, it's better with good company and expert guides. Involve your “village” at every opportunity – even when it comes to RESP contributions.
For grandparents and close friends, you could explain: RESP contributions may not be as colourful as the latest toy, but they can make a real difference to the child’s future by one day helping them achieve their education goals. So these contributions are a great gift for baby showers, birthdays and other holidays.
A Sun Life advisor can also be your trusted partner, helping you navigate the exciting terrain of parenthood while keeping your family's financial future bright.
Every family's journey is unique, and there's no one-size-fits-all approach. The most important thing is that you're taking proactive steps to invest in your child's future by seeking out information and planning ahead. That alone is a tremendous act of love.
“We started contributing to Franny’s RESP a few months after she was born,” says Paul, proud father of Franny, who graduated debt-free in fall 2024. “It was the smartest decision her mother and I made, regarding her education.”
Franny’s parents contributed an average of $170 per month for almost 17 years.
They also received $7,200 in grant money from the Canadian government, which generated a further $5,000 in income.
Add that to the income earned on the principle – a sizeable $21,000 – and the grant money, and Franny’s RESP grew by $33,200.
“When you set up automatic withdrawals from your bank account into an RESP, you don’t think about that money,” Paul says. “But you’ll be pleasantly surprised at how those contributions add up and increase with interest.”
In short: Franny’s parents invested $34,000 of their own money and ended up with an RESP valued at $67,200.
This free-to-use budget calculator can help make RESP savings effortless.
The best part? It takes five minutes – same as brewing a cup of coffee. You'll get:
The benefits of an RESP include:
It's a big question. There are other RESP options if your child decides not to pursue university, college, vocational training or apprenticeships.
* Source: Canadian undergraduate tuition fees by field of study (current dollars) (Statistics Canada, 2025)
