The Canada Education Savings Grant (CESG) is contributed directly to the RESP by the Government of Canada.
Contribution Limits and Government Grants
While you can contribute any amount to an RESP each year (up to a lifetime maximum of $50,000), the government will add 20% or $500 to the first $2,500 contributed annually.
Higher Grant for Low-Income Families
If your total net family income is less than $37,885 annually, the government will contribute 40% ($200) on the first $500 deposited, and 20% ($400) on the next $2,000, for a total grant of $600.
Mid-Income Family Benefits
For families with an income between $37,885 and $75,769, the government will contribute 30% ($150) on the first $500 deposited, and 20% ($400) on the remaining $2,000, for a total grant of $550.
Standard Grant for Higher-Income Families
For families with an income above $75,769, the standard 20% grant applies, providing $500 on the first $2,500 contributed.
