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The RESP Book – Review and Giveaway
For parents, there is probably one expense in particular that can send them into panic mode…and that is post secondary education. With all the media covering how expensive college/university is becoming and how it’s outpacing inflation by a large margin, it’s no wonder that parents worry about how their kids will pay for school.
While some parents believe that the child should pay for 100% of post secondary education, there are parents who want to help out. I’m in the helping out camp – I’ll pay for tuition and books, but the student needs to pay for any extras. For our family, we decided to go the RESP route to take advantage of the 20% contribution matching that the federal government offers. That is, up to $2500 in annual contributions will be result in a grant of $500 deposited right into the account. So that’s exactly what we do, we contribute $2500 per year invested in a diversified low cost mutual fund portfolio for the RESP.
Ok, enough about me, this post is about a new book that a blogger colleague, Mike Holman of Money Smarts Blog, has written titled “The RESP Book” (Amazon link). This book is a comprehensive guide to the RESP program in Canada and is a must read for any parent considering or even using the RESP.
About the Author:
From the back of the book:
Mike Holman has worked in the Canadian financial industry for almost two decades. He runs the popular personal finance website MoneySmartsBlog.com which was nominated by the Globe and Mail as one of the Best Money Blogs in Canada. MoneySmartsBlog.com has also been featured in several newspapers across the country. A husband with two young children, Mike set up a family plan RESP for his kids.
About the Book
As previously mentioned, this book is a comprehensive guide to RESPs that spans from explaining how an RESP works, to opening an account, the to the types of investments to consider holding within the RESP. This book reads more like a manual and is jam packed with details. For example, when withdrawing from an RESP for a child attending post secondary schooling, did you know that you need to indicate how much of the withdrawal is from contributions (non-taxable) and how much is from accumulated income (taxable)? This presents some interesting tax optimization strategies depending on the income of the student during the specific school year.
Perhaps one thing I would have liked to see more details on are the group/pooled RESP plans. From my initial inspection of these heavily promoted plans, they seem quite expensive.
The topic areas covered in the book include:
- Introduction to RESPs
- RESP Account Rules
- RESP Contribution and Grants (for lower and higher income families)
- RESP Withdrawal Rules
- Alberta Centennial Education Savings and Quebec RESP Grants
- Canadian Residency, Part-Time Studies RESP Rules
- How to Start an RESP Account and Basic Investing Information
Final Thoughts
Even though I already have an RESP started, I learned quite a bit from reading this book and I would recommend it to any parent considering or even using the RESP.
Want a Free Copy?
The author is offering Million Dollar Journey readers the chance to win a free copy of the book. The details are below:
- Follow our new Facebook page by clicking “Like” on the top of this page. (+1 entry)
- Leave a comment in this post. (+1 entry)
- Only one comment entry per person (valid email addresses only please – privacy policy).
- Only those with a North American mailing address may enter.
- Contest will end Fri 5pm EST Oct 22, 2010 and the winner, drawn randomly from all entries, contacted shortly after!
122 Comments, Comment or Ping
1. M
I like the province-specific sections.
October 18th, 2010 at 9:16 am
2. Mike Holman (the author)
Hey FT, thank you so much for the great review.
I really appreciate it.
October 18th, 2010 at 9:19 am
3. Nisha J
Sounds like a great read. Looking for more info on RESP right now so this may help…
October 18th, 2010 at 9:42 am
4. cbez
Looks like it would be informative…
October 18th, 2010 at 9:51 am
5. Emily
Made a mistake in choosing my first RRSP…went with CST and huge enrollment fees, need to do my research before starting one for little one #2.
October 18th, 2010 at 9:54 am
6. Doug
great timing – i have a 3 week year old and was just starting to look into RESP’s!
October 18th, 2010 at 10:26 am
7. Echo
Good review FT, and nice work Mike!
October 18th, 2010 at 10:42 am
8. Jason R
Thanks to blogs like this I avoided CTS etc, but I still don’t feel like I know much about RESPs. Might just have to pickup this book.
Cheers,
Jason
October 18th, 2010 at 10:43 am
9. Mike
sounds interesting
October 18th, 2010 at 10:47 am
10. Dilbert789
As the father of a 4mth old currently looking into RESP plans I could really use this book!
October 18th, 2010 at 10:48 am
11. Sampson
Even if you I don’t win the book, it would be great buy!
October 18th, 2010 at 10:50 am
12. Jared
Seems like a good book for a new parent like me
October 18th, 2010 at 10:51 am
13. Ben
If I don’t win the book, I will buy it. But, I’d prefer to win it!
October 18th, 2010 at 10:54 am
14. RI
I got 2 kids going to schools so this book would be a must-read. Thanks.
October 18th, 2010 at 10:58 am
15. Returns Reaper
Sound like an interesting book.
October 18th, 2010 at 11:02 am
16. JME
I have 3 kids… and would like to see if I am handling their education funds the way I should be.
October 18th, 2010 at 11:15 am
17. Millionaireby45
It sounds like a great book.
October 18th, 2010 at 11:21 am
18. dnaman
Have a 2-month old, looks like a great read!
October 18th, 2010 at 11:24 am
19. Rod
Sounds interesting. Sign me up.
October 18th, 2010 at 11:26 am
20. Jason
Count me in, I would love to have a read of this book.
October 18th, 2010 at 11:27 am
21. LB
I believe it was Confucius, that said “By nature all men are alike, but by education very different.”
Confucius never mentioned anything about how to pay for that education :)
October 18th, 2010 at 11:28 am
22. Daryl
Looks like a good book, just starting a RESP myself
October 18th, 2010 at 11:49 am
23. Dagusia
Looking forward to reading this book!
October 18th, 2010 at 12:05 pm
24. Naveen
Seems like a good read
October 18th, 2010 at 12:06 pm
25. Chloe
I would love to win this book as we are expecting our first child at the moment!!
Chloe
October 18th, 2010 at 12:08 pm
26. Mark
Finally a book about RESPs. . I’ve been saving for the kids but have yet to open one because I can’t decide which type, where, or what investments to include. Looking forward to reading it. (free copy wouldn’t be bad either;)
October 18th, 2010 at 12:11 pm
27. frugaluser
I would love to win this book !
seems like I could learn a few things from it
October 18th, 2010 at 12:25 pm
28. Matthew Denos
RESP sounds like a good deal. And the 20% contribution is not bad at all!
October 18th, 2010 at 12:30 pm
29. Marypat
As the mother of 5 kids, 2 currently in university, I would love to read this book to see if we are making the best use of our RESP’s.
October 18th, 2010 at 12:57 pm
30. steve
Just looking into family vs. individual RESP’s for my two…so far the family plan wins so I can save the $50/year on self-directed administration fee. Both plans are fairly flexible so I don’t really see any differences.
S.
October 18th, 2010 at 1:08 pm
31. Alex C
I’d love a chance at a copy. Thanks
October 18th, 2010 at 1:12 pm
32. BL
Just saw this book online and was looking for a review – what luck! We are still awaiting the arrival of our first child which makes the timing of this even better.. looking forward to reading the book!
October 18th, 2010 at 1:22 pm
33. James
Thanks for the review. Just about to become a parent for the first time so I’m newly interested in RESPs. From the review, this seems like it would be a good resource for research.
October 18th, 2010 at 1:23 pm
34. Heather
I consider it high-praise that you learned something from this book!
Thanks for running the giveaway!
October 18th, 2010 at 1:26 pm
35. Michelle
Looking forward to reading this one!
October 18th, 2010 at 1:28 pm
36. Patricia
I plan on setting up an RESP for my grandchildren by the end of this year. My husband and I will be the subscribers, as for various reasons it is not a good idea right now to have the plans in the parents’ names. In other words, Grandparents should be reading this book too!
October 18th, 2010 at 1:35 pm
37. Chris
We started an RESP for our little one. It would be nice to get more information before we have our second child. We have built up five figures in the first two and half year so far in the RESP.
October 18th, 2010 at 1:36 pm
38. andrewbpaterson
Sounds like an awesome book!
October 18th, 2010 at 1:38 pm
39. Chet
Count me in as based on contents should be informative.
October 18th, 2010 at 1:48 pm
40. tom venner
Good idea, more info will help.
October 18th, 2010 at 1:55 pm
41. Jungle
I’m in, I also pressed liked on facebook.
October 18th, 2010 at 1:57 pm
42. Big E
Sounds like a worthwhile read. Thanks.
October 18th, 2010 at 2:16 pm
43. Drew R
I’d be interested to see what is in this book that isn’t generally available information on the web. RESP’s don’t seem to be all that complicated, so I’m curious.
October 18th, 2010 at 2:21 pm
44. dad
Looking forward to reading this book!
October 18th, 2010 at 2:26 pm
45. Daniel
I’d love a copy of that book, if not by winning I’ll go a buy it.
October 18th, 2010 at 2:37 pm
46. Rob
Great info! I don’t want to think of the cost of university in 15 yrs….
October 18th, 2010 at 2:41 pm
47. DBL
Just found out we will be having our first child in a few months so the timing of this is excellent. Looking forward to having a good read..
October 18th, 2010 at 2:53 pm
48. BadCaleb
Great idea. I’m in.
October 18th, 2010 at 3:02 pm
49. InstruMike
I started an RESP a couple of years ago. Love the 20% GG. sign me up
October 18th, 2010 at 3:05 pm
50. Michael
Sounds like a good read.
October 18th, 2010 at 3:08 pm
51. jane
already working for one of major RESP company and still glad I never signed up with them!
October 18th, 2010 at 3:21 pm
52. Michael
Count me in! I would get a better handle on the RESP!
October 18th, 2010 at 3:24 pm
53. Blitzkrieg
I need to read this book.
October 18th, 2010 at 3:47 pm
54. Brandon
I would love a copy of this book. Thanks!
October 18th, 2010 at 4:03 pm
55. Alison Kippan
Just set up a Mutual Fund RESP through TD (waiting for the conversion to e-funds right now.)
Would love to learn more about the program, not only for myself-but to help out all the other new moms in my hometown!
October 18th, 2010 at 4:16 pm
56. DW
This is a great topic!
October 18th, 2010 at 4:20 pm
57. sneeker
I would love this book! Thanks!
October 18th, 2010 at 4:53 pm
58. Jerry Hung
Don’t know if we are in Canada long enough to take advantage of RESP withdrawl :) but winning is good nevertheless! Thanks
October 18th, 2010 at 5:00 pm
59. dustin
wouldn’t mind a copy to read..
October 18th, 2010 at 5:23 pm
60. Sergei
Looking forward to reading this book, too bad it’s not available in ebook format, otherwise I would purchase it already.
October 18th, 2010 at 5:38 pm
61. Neeraj
Seems like an interesting read.
October 18th, 2010 at 5:46 pm
62. Adrienne
Looks like a good read. Thanks for the chance to win.
October 18th, 2010 at 7:20 pm
63. Traciatim
Count me in on the give away. Also in reposnse to “Perhaps one thing I would have liked to see more details on are the group/pooled RESP plans.” . . . He probebly gave them way more credit than I would have. I would sum them up in one sentance: Groups RESPs, they are for suckers; stay away!.
October 18th, 2010 at 7:24 pm
64. Terri
Sounds like a must read!
October 18th, 2010 at 8:23 pm
65. Daria
I’m so grateful someone wrote such a book. We have an RESP but weren’t aware exactly what we were getting into (the group plan) so I’ll be eager to see what’s in here. Thanks so much!
October 18th, 2010 at 9:15 pm
66. EDWARD
RESP R NOT FOR EVERYONE, IF I HAD MY WAY, I WOULD HAVE NOT SETUP ONE, INSTEAD GO FOR FORGIVEABLE STUDENTS LOANS THAT ARE AVAILABLE.
MY WIFE’S IMMIGRANT FRIENDS R USING THE FORGIVEABLE LOANS & GRANTS THAT NONRESP HOLDERS CAN APPLY FOR…..
October 18th, 2010 at 9:20 pm
67. Michel Laflamme
I would really like to win this book because I am now retired after 38 years and decided to help others in insurance and investments, including RESP which I have had some experience on 2 of the three types with my own children and understand all three types. I know that there are still many things to be discovered, learned by me in order to share with others.
October 18th, 2010 at 10:10 pm
68. Dutchie
I’m interested in learning about RESP
October 18th, 2010 at 11:02 pm
69. FrugalGreenie
Always up for more info. Any info on ‘over contributing’ to the RESP as a contribution strategy?
October 18th, 2010 at 11:19 pm
70. cheffe
Did I miss it or was there no link to anywhere I can buy the book? (I’m assuming it’s available on Amazon…just seems like it’d be handy to have a link.)
October 18th, 2010 at 11:43 pm
71. omyhead
This sounds like it could be really useful for my little one :)
October 18th, 2010 at 11:54 pm
72. AL
I would finally like to win
October 19th, 2010 at 12:02 am
73. k
With our first on the way, this is a must read!
October 19th, 2010 at 1:20 am
74. John Lee
I can’t wait to read this book.
October 19th, 2010 at 2:39 am
75. Abel Acab
I am sure this is book something a lot a parents could use some help navigating through RESP’s
October 19th, 2010 at 2:44 am
76. Chris
I can’t wait to win a copy :)
October 19th, 2010 at 3:15 am
77. Future Money-Bags
I don’t think I have seen many books on RESP’s, this looks like a book everyone should read. Parent or not.
October 19th, 2010 at 6:18 am
78. DG
Looks like a great book.
October 19th, 2010 at 9:10 am
79. FrugalTrader
Amazon link has been added to the post for those interested in buying.
October 19th, 2010 at 9:24 am
80. Brian
Sign me up for a free book about getting some money back from the government.
October 19th, 2010 at 9:42 am
81. Al400
Would be a great read. My main concern with RESP is usually the lack of flexability of getting the money back if the kids do not go to university. Although I must admit, I don’t know as much about it as I would like. That’s why this book will be perfect. Thanks for the chance.
October 19th, 2010 at 9:46 am
82. Deepak
Look forward to reading the book
October 19th, 2010 at 10:24 am
83. Wanda
I clicked the “Like” button on the Million Dollar Journey page.
This book looks like it has a lot of really good information, relevant to our family. I would love the opportunity to win it.
October 19th, 2010 at 10:41 am
84. Marianne O
We’re lucky to have family helping us to start RESPs for our two little ones. However we’re still fuzzy on a lot of the specifics. Time for some focused reading. Thanks for the giveaway.
October 19th, 2010 at 10:48 am
85. Aaron O'Brien
I am really interested in this book. I already have an RESP for my son…but I would like to improve it any way I can. With baby #2 on the way, I definetly have some questions.
October 19th, 2010 at 11:09 am
86. apiaha
I am currently finding out about RESP’s for my newborn, and would really like to read this book…everything to know all in one book.
October 19th, 2010 at 11:18 am
87. Yuriy
Thank you for the review. I have two kids – 10 and 3 years old – and no RESP yet. I hope the book will help us to start.
October 19th, 2010 at 11:57 am
88. Brian C
Count me in please
October 19th, 2010 at 12:48 pm
89. Dwight
I liked your FaceBook page and Look forward to the RESP book giveaway!
October 19th, 2010 at 1:10 pm
90. Nora
Would love to win this book…thanks for the contest
Lucky entry #84
October 19th, 2010 at 1:31 pm
91. Dd
Looks like a great book and I am a big fan of Mike over at Money Smarts Blog :)
Let the lotto roll!
October 19th, 2010 at 2:11 pm
92. Natasha
My husband reeealy wants this book. We have a 22 month old girl that we are saving for. :)
October 19th, 2010 at 3:19 pm
93. Kurt Sanderson
I would really like to learn more about RESP’s.
October 19th, 2010 at 5:16 pm
94. Melanie Samson
Looks interesting.
October 19th, 2010 at 8:17 pm
95. chad
expecting in February and wanting to read this book
October 19th, 2010 at 9:06 pm
96. Scott
Can an RESP be useful even if you don’t have and never intend to have children?
October 20th, 2010 at 12:05 am
97. Amit
I was sucked into taking RESP from the providers like USC as soon as I had moved to Canada. We took a group plan for both of our kids. I had no idea that you could have a self-directed RESP too using TD e-funds or an RESP account at Questrade. Had I known it I would have done it all by myself. Now, due to their high fees (over 3000 or so per person) I feel like I am stuck with them and there’s no point in cancelling the plan now and starting something on your own at this point. I wish the government provided more information to unsuspecting immigrants regarding such plans offered by the providers.
October 20th, 2010 at 12:35 am
98. Jason Whitehead
Looks like a good resource.
October 20th, 2010 at 1:04 am
99. FrugalTrader
@ Scott, I dont’ believe you can open an RESP without the child being born first. However, if you have a niece/nephew/grandchild, you can open an account for them.
October 20th, 2010 at 11:22 am
100. PoorFella
Count me in please!
October 20th, 2010 at 11:30 am
101. James
I would like a copy of the book.
October 20th, 2010 at 12:01 pm
102. KB
Book sounds great – I’m in!!
October 20th, 2010 at 1:58 pm
103. Eva Wong
What a practical gift this would be for new parents – though I doubt it would garner the same oohs and aahs that most shower gifts get!
October 20th, 2010 at 3:48 pm
104. JP
Great timing! I have begun looking into RESP’s.
October 20th, 2010 at 5:47 pm
105. rebecca
i would like to read that book.
October 20th, 2010 at 6:05 pm
106. Marc
I’ve been intending to start an RESP for my 9 1/2 month old for well 9 and 1/2 months. Would love to get a copy.
October 20th, 2010 at 9:04 pm
107. chad
should be a good read
and have a 6 and 8 year old
book would be another wonderful addition!
October 21st, 2010 at 12:48 am
108. Debbi
Would love to win a copy of this book. Like most new parents, I was bombarded by calls from the group RESPs soon after the birth of my baby – this book will go a long way in educating parents about their options!
October 21st, 2010 at 1:30 pm
109. Analese Whitehead
Anything helps to get ahead in life.
October 22nd, 2010 at 1:27 am
110. Chris Ho
Looks like an interesting book to read. Personally, I think that it would be foolish not to take advantage of the “free” money from our government if, as a parent, you want to help send your child to university.
October 22nd, 2010 at 4:34 am
111. Allawi
Interesting book. Count me in!
October 22nd, 2010 at 10:18 am
112. Amanda
This looks like a great book. We recently converted our individual RESP to a family one with the new baby, but I’m wondering if GICs are really the best choice this early in the game. I’d love some unbiased information!
October 22nd, 2010 at 10:31 am
113. LindaL
I would be very interested in winning this book.
October 22nd, 2010 at 11:23 am
114. Rob
Count me in, please. Thanks!
October 22nd, 2010 at 11:55 am
115. Gershon
Another new parent here… would be good to read the book
October 22nd, 2010 at 11:56 am
116. Angela
Sounds interesting. Count me in.
October 22nd, 2010 at 3:30 pm
117. Dave
We started an RESP for our little one. It would be nice to get more information.
October 22nd, 2010 at 4:00 pm
118. zilx
Just started looking at RESP’s. This book would be great
October 22nd, 2010 at 6:25 pm
119. Steve
Count me in…just starting to look at RESPs
October 22nd, 2010 at 10:24 pm
120. Kenny O
Sounds like a very helpful book!
October 22nd, 2010 at 11:09 pm
121. ZeFrench
RESP matters. We only have on child and we max out contribution.
October 22nd, 2010 at 11:39 pm
122. Brett
I’d love a copy!
October 23rd, 2010 at 2:52 am
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