Click here to close now.




















Welcome!

News Feed Item

REPEAT-BMO RESP Study: Canadian Parents Concerned About Costs of Post-Secondary Education

- More than 40 per cent are worried about how their children will be able to afford post-secondary education

TORONTO, ONTARIO -- (Marketwire) -- 11/24/12 -- According to a BMO Financial Group study, 42 per cent of Canadian parents are not confident that their children will be able to afford a post-secondary education including tuition, room and board, books and spending money.

Post-secondary costs have been increasing steadily over the past decade, with a four-year university degree currently costing upwards of $60,000. That sum could rise to more than $140,000 for a child born this year.

According to the study's key findings:


--  The majority (83 per cent) of parents anticipate that they will pay for
    their child's post-secondary education, while 44 per cent say their
    child will pay for at least some of it themselves.  
--  Almost one-quarter (22 per cent) have not spoken to anyone about their
    child's post-secondary education, including how it will be funded. 
--  More than one-third (35 per cent) of Canadian parents are not aware of
    key benefits of the Registered Education Savings Plan (RESP), including
    the federal government's contribution matching program. 

RESPs and the government matching program

One way for parents to plan for their child's post-secondary education is to open a Registered Education Savings Plan (RESP) and make regular contributions. Government grants and compounded interest can add significantly to total savings.

For example, by contributing at least $2,500 to an RESP annually, you are eligible for a 20-per-cent Canada Education Savings Grant. The grant can be as much as $500 per year depending on your contribution.

"Parents should educate themselves on the various options available to help them save for their children's post-secondary education," said Robert Armstrong, Vice President, Managed Solutions and Registered Plans Strategy, BMO Investments Inc. "Taking advantage of the RESP government matching program is a great way to grow your child's education fund. After all, if you can get free money from the government to send your child to school, why not take advantage of it?"

BMO offers the following tips for parents, children and grandparents interested in starting or contributing to an RESP:

Start early: Apply for your child's Social Insurance Number and open an RESP. Contributing as little as $500 per year from early in a child's life could result in more than $20,000 in savings by the time the child enters college or university.

Think beyond cash: Include investments such as mutual funds, exchange traded funds (ETFs) and guaranteed investment certificates (GICs) in your RESP to maximize the potential for growth. Another option, BMO LifeStage Class Mutual Funds(i), allow investors to choose different time horizons - from five to 18 years to align with when their child will be starting post-secondary education - when investing. The funds annually shift their asset mix from an emphasis on equity funds to fixed income and cash equivalent funds as they approach their end dates.

Speak with a financial professional: A financial expert can help you make the most of your RESP by determining the contribution methods and investing strategies that are right for you.

For more information on RESPs, please visit: www.bmo.com/resp.

Get the latest BMO press releases via Twitter by following @BMOmedia.

The survey was fielded online by Pollara between August 17th and August 24th, 2012, with a sample of 801 Canadian parents with children under 18. A probability sample of this size would yield results accurate to +/- 3.5 per cent, 19 times out of 20.

(i)BMO Mutual Funds are offered by BMO Investments Inc., a financial services and separate legal entity from Bank of Montreal.

Commissions, trading commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus of the mutual fund before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.

Contacts:
Media Contacts:
Amanda Robinson, Toronto
[email protected]
416-867-3996

Valerie Doucet, Montreal
416-877-8224
[email protected]

Laurie Grant, Vancouver
604-665-7596
[email protected]

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
"We've just seen a huge influx of new partners coming into our ecosystem, and partners building unique offerings on top of our API set," explained Seth Bostock, Chief Executive Officer at IndependenceIT, in this SYS-CON.tv interview at 16th Cloud Expo, held June 9-11, 2015, at the Javits Center in New York City.
In a recent research, analyst firm IDC found that the average cost of a critical application failure is $500,000 to $1 million per hour and the average total cost of unplanned application downtime is $1.25 billion to $2.5 billion per year for Fortune 1000 companies. In addition to the findings on the cost of the downtime, the research also highlighted best practices for development, testing, application support, infrastructure, and operations teams.
SYS-CON Events announced today that HPM Networks will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. For 20 years, HPM Networks has been integrating technology solutions that solve complex business challenges. HPM Networks has designed solutions for both SMB and enterprise customers throughout the San Francisco Bay Area.
For IoT to grow as quickly as analyst firms’ project, a lot is going to fall on developers to quickly bring applications to market. But the lack of a standard development platform threatens to slow growth and make application development more time consuming and costly, much like we’ve seen in the mobile space. In his session at @ThingsExpo, Mike Weiner, Product Manager of the Omega DevCloud with KORE Telematics Inc., discussed the evolving requirements for developers as IoT matures and conducte...
The Software Defined Data Center (SDDC), which enables organizations to seamlessly run in a hybrid cloud model (public + private cloud), is here to stay. IDC estimates that the software-defined networking market will be valued at $3.7 billion by 2016. Security is a key component and benefit of the SDDC, and offers an opportunity to build security 'from the ground up' and weave it into the environment from day one. In his session at 16th Cloud Expo, Reuven Harrison, CTO and Co-Founder of Tufin,...
With SaaS use rampant across organizations, how can IT departments track company data and maintain security? More and more departments are commissioning their own solutions and bypassing IT. A cloud environment is amorphous and powerful, allowing you to set up solutions for all of your user needs: document sharing and collaboration, mobile access, e-mail, even industry-specific applications. In his session at 16th Cloud Expo, Shawn Mills, President and a founder of Green House Data, discussed h...
Mobile, social, Big Data, and cloud have fundamentally changed the way we live. “Anytime, anywhere” access to data and information is no longer a luxury; it’s a requirement, in both our personal and professional lives. For IT organizations, this means pressure has never been greater to deliver meaningful services to the business and customers.
Container technology is sending shock waves through the world of cloud computing. Heralded as the 'next big thing,' containers provide software owners a consistent way to package their software and dependencies while infrastructure operators benefit from a standard way to deploy and run them. Containers present new challenges for tracking usage due to their dynamic nature. They can also be deployed to bare metal, virtual machines and various cloud platforms. How do software owners track the usag...
The Internet of Everything (IoE) brings together people, process, data and things to make networked connections more relevant and valuable than ever before – transforming information into knowledge and knowledge into wisdom. IoE creates new capabilities, richer experiences, and unprecedented opportunities to improve business and government operations, decision making and mission support capabilities.
There are many considerations when moving applications from on-premise to cloud. It is critical to understand the benefits and also challenges of this migration. A successful migration will result in lower Total Cost of Ownership, yet offer the same or higher level of robustness. In his session at 15th Cloud Expo, Michael Meiner, an Engineering Director at Oracle, Corporation, analyzed a range of cloud offerings (IaaS, PaaS, SaaS) and discussed the benefits/challenges of migrating to each offe...
Puppet Labs has announced the next major update to its flagship product: Puppet Enterprise 2015.2. This release includes new features providing DevOps teams with clarity, simplicity and additional management capabilities, including an all-new user interface, an interactive graph for visualizing infrastructure code, a new unified agent and broader infrastructure support.
Chuck Piluso presented a study of cloud adoption trends and the power and flexibility of IBM Power and Pureflex cloud solutions. Prior to Secure Infrastructure and Services, Mr. Piluso founded North American Telecommunication Corporation, a facilities-based Competitive Local Exchange Carrier licensed by the Public Service Commission in 10 states, serving as the company's chairman and president from 1997 to 2000. Between 1990 and 1997, Mr. Piluso served as chairman & founder of International Te...
One of the hottest areas in cloud right now is DRaaS and related offerings. In his session at 16th Cloud Expo, Dale Levesque, Disaster Recovery Product Manager with Windstream's Cloud and Data Center Marketing team, will discuss the benefits of the cloud model, which far outweigh the traditional approach, and how enterprises need to ensure that their needs are properly being met.
SYS-CON Events announced today that MobiDev, a software development company, will exhibit at the 17th International Cloud Expo®, which will take place November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. MobiDev is a software development company with representative offices in Atlanta (US), Sheffield (UK) and Würzburg (Germany); and development centers in Ukraine. Since 2009 it has grown from a small group of passionate engineers and business managers to a full-scale mobi...
Learn how to solve the problem of keeping files in sync between multiple Docker containers. In his session at 16th Cloud Expo, Aaron Brongersma, Senior Infrastructure Engineer at Modulus, discussed using rsync, GlusterFS, EBS and Bit Torrent Sync. He broke down the tools that are needed to help create a seamless user experience. In the end, can we have an environment where we can easily move Docker containers, servers, and volumes without impacting our applications? He shared his results so yo...