AMT Solutions’ Post

There are specific rules to follow when withdrawing funds from your RESP. Keep in mind, that only the person who started the RESP can withdraw the funds to give them to the designated beneficiary. Below are the three different forms you have to choose from for RESP withdrawals. If you need any further assistance with saving for your child's post-secondary education, we're here to help. Contact us today at (702) 347-1974!

Keep up with financial rules. Stay informed about any modifications to financial regulations that could impact your company. We'll save you hours of confusion and stress - you can count on that! Contact us today at (702) 347-1974 for more information about our services.

If your child doesn't pursue higher education, you may be wondering what you can do with your RESP. Thankfully, there are at least four options you can choose from, those are: keep the RESP open, transfer the RESP, move the funds into an RRSP, or close the RESP. Not sure which one works best for you? With our knowledge and experience, we can help you make the best financial decision for you and your family. Call us today at (702) 347-1974

There are a couple of nuances when it comes to RESP withdrawals, and we recommend setting up an appointment with us at (702) 347-1974 before doing so. As a guideline for making smart tax-efficient withdrawals, it's recommended to take out grants and grant income first, then investment income, and then contributions from yourself and other plan subscribers.

Starting and managing a RESP has many benefits, the two biggest ones being tax-deferred growth and government grants. By definition, tax-deferred growth refers to how the investments held within the RESP account can increase without them being taxed each passing year. However, contributing to an RESP doesn't mean you will get a tax deduction, as RESP withdrawals are taxable. Depending on where you reside and your household income, The Canada Education Savings Grant (CESG) will match 20% of the first $2,500 contributed to an RESP each year.

Be mindful of all income along with expenses. Keep thorough documentation to avoid searching for records later. This will assist you throughout tax season as well as understanding your financial flow. Keep your small business books in order with our bookkeeping services!

Typically parents will be the ones to start an RESP for their child or a family RESP for multiple kids, however, anyone can be a RESP contributor to a child's RESP. No matter if you're a grandparent, aunt, uncle, or a family friend, you can contribute money to a RESP, just be sure you work with the parent to not over-contribute, as you run the risk of the Canada Revenue Agency (CRA) imposing a tax of 1% of the excess amount per month until that money is withdrawn.

Regularly reconcile your accounting records and bank statements on a monthly basis. By doing this, you can make sure that your financial reporting is correct and plays a role in pinpointing any discrepancies.

A registered education savings plan, known commonly as an RESP, is designed to help families save money and invest in their children's post-secondary education. The money saved in RESPs can be used for a majority of education-related costs, not just for tuition. You can also use the money saved in an RESP to fund attending a trade school that is approved by the Canadian government. Other uses include residence fees, school supplies, textbooks, and tech devices - as long as the RESP withdrawal requirements are met. Have more questions? We have answers, contact us at (702) 347-1974 today!