With the cost of post-secondary education and training programs rising, it is never too early to start saving for your child’s education. In an effort to help families get a head start, the B.C. Government is offering to contribute $1,200 to eligible children through the British Columbia Training and Education Savings Grant (BCTESG).
The grant is available to eligible children between the age of 6 and 9 years old.
To qualify for this one-time grant, your child must meet the following criteria:
- Your child was born in 2006 or later;
- You and your child must be residents of British Columbia;
- Your child is the beneficiary of a Registered Education Savings Plan (RESP) with a participating financial institution.
If your eligible child already has an RESP, check with the financial institution to see if they are offering the BCTESG. If they are, request an application form.
If they do not, or if your child does not already have an RESP, simply open one at a participating financial institution. When doing so, be sure to ask for a BCTESG application.
You will need to provide both you and your child’s Social Insurance Number. Additionally, you will need either a valid B.C. driver’s licence, BCID card with a picture, a B.C. Service card, or a B.C. utilities bill (dated within the last 3 months and listing the current address) to prove residency.
If approved, the $1,200 grant will be directly deposited into the RESP within 6 to 8 weeks after the application has been made and processed by Employment and Social Development Canada (ESDC).
The BCTESG is not considered taxable income; however, as it is an RESP contribution, once it is eventually paid out as an Educational Assistance Payment (EAP) for post -secondary education, it will be taxable in the student’s hands.
To learn more about the British Columbia Training and Education Savings Grant, or other programs that can help you and your family, contact GB Pilley & Associates Ltd., Chartered Professional Accountants at 604 926 3522.