RESP Calculator Canada
Enter your monthly contribution, your child's age and expected return to project the RESP — including free CESG government grants.
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Important note
Projects RESP growth to age 17 with the basic CESG grant: 20% on the first $2,500 contributed per year, up to $7,200 lifetime per child.
How this RESP calculator works
Each year until the child turns 17, the calculator simulates 12 months of contributions growing at your expected return, then adds that year's CESG grant: 20% of contributions up to $2,500 per year ($500 maximum per year), capped at $7,200 lifetime per beneficiary. The grant money itself then compounds for the remaining years, which is why contributing early enough to capture the full grant each year matters so much. Unused CESG room can be carried forward one year, a nuance this simplified model does not include.
A worked example
Contribute $200 a month from birth to age 17 at a 5% return. Your contributions total $40,800 ($200 × 204 months). Because $2,400 a year is under the $2,500 CESG threshold, you collect the full 20% every year — $480 annually — hitting the $7,200 lifetime cap. Compounding turns it all into about $74,844.96, of which roughly $26,844.96 is investment growth. In other words, the free government money plus growth nearly doubles what you put in. Try starting at age 5 instead of 0 above and watch how much grant money and compounding you leave behind.
Three tips for using this tool well
- Contribute at least $2,500 a year per child. That is the threshold that captures the full $500 annual CESG — leaving it on the table is turning down a guaranteed 20% return.
- Open the RESP early. You need the child's SIN to register it, and every year you wait is a year of compounding and grant room you cannot get back.
- Lower-income families should check the extras. The Additional CESG (extra 10–20% on the first $500) and the Canada Learning Bond (up to $2,000, no contributions required) are not in this calculator but can add thousands more.
Frequently asked questions
What is the CESG?
The Canada Education Savings Grant: the federal government adds 20% on the first $2,500 you contribute to a child's RESP each year ($500/year max), up to a $7,200 lifetime maximum per child. It is free money for contributing.
What is the lifetime contribution limit?
$50,000 per beneficiary across all RESPs, set by the CRA. Contributions beyond that are penalized. This calculator does not enforce the cap, so keep an eye on it with large contributions.
What happens if my child does not go to school?
Grants must be returned to the government, but your contributions come back to you tax-free and growth can be rolled into your RRSP (up to $50,000) if you have room. The RESP is not use-it-or-lose-it for your own money.
Does this include the Canada Learning Bond?
No. The CLB (up to $2,000 for eligible lower-income families, no contributions needed) and the Additional CESG are excluded — this model covers only the basic 20% CESG.
When should I start?
As early as possible. The worked example shows starting at birth versus age 5: the lost years cost you both grant money and the compounding on it, and neither can be recovered later.
Is an RESP better than a TFSA for education savings?
For education specifically, usually yes while CESG is available — the 20% grant beats any return difference. Once the grants are maxed, some families split extra savings into a TFSA for flexibility.