How to Withdraw from Your RESP: What Every Family Should Know

Quick Answer

When your child enrolls in a qualifying post-secondary program, you can start taking money out of their Registered Education Savings Plan (RESP). There are two main types of withdrawals: one for your own contributions, and one for government grants and investment earnings. Understanding the difference helps you protect your grants and make the most of every dollar you’ve saved.

Main Takeaways

• You need a Verification of Enrollment (VOE) form before making your first withdrawal.
• Your own contributions, known as post-secondary education (PSE) withdrawals, come out tax-free once your child is enrolled.
• Grants and investment earnings withdrawals, commonly referred to as Education Assistance Payments (EAPs) are taxed as your child’s income — usually at a low rate.
• EAP withdrawals have set limits: $8,000 in the first 13 consecutive weeks for full-time students, $4,000 per 13-week period for part-time students. After the first 13 full-time weeks, there’s no set dollar cap — as long as your child stays enrolled.
• Taking EAPs early — while your child’s income is lowest — can reduce their tax bill.
• Withdrawing contributions before enrollment could cost you thousands in government grants.

At Embark, one of the most common questions we hear from families is: how do you actually use the money you’ve saved in an RESP? After years of putting money away, a lot of families hit a wall when it’s time to withdraw. What kind of withdrawal should you make first? How much can you take out? And what happens if you need the money early?

This guide walks you through the rules in plain language, so you know exactly what to do when your child heads off to school. Visit the Embark Withdrawals Centre for step-by-step instructions when you’re ready to start. Ready to make a withdrawal? The process can be done through our digital platform in minutes.

Before You Withdraw: You’ll Need a VOE

Before your first withdrawal, you’ll need to confirm that your child is actually enrolled. This is done with a Verification of Enrollment (VOE) form — an official document from the school that proves your child is registered in a qualifying program.

Your RESP provider will ask for this form when you request a withdrawal. Make sure it’s less than six months old and reflects your child’s current enrollment status. You can learn more about how VOEs work in our guide: What Is a Verification of Enrollment? We also provide examples, so you know exactly what to look for.

Not sure if your child’s school qualifies? Check our guide to RESP-eligible schools for a full list of qualifying programs and institutions.

Types of RESP Withdrawals

There are three main types of RESP withdrawals. Each works a little differently, and the rules around them can affect how much tax your child pays when they use the money.

Post-Secondary Education Payments (PSE)

A PSE withdrawal is money that comes from your own contributions — what you put into the RESP yourself. Because you already paid tax on that income, contributions are returned to you (the subscriber) tax-free. You can then choose to give those funds to your child for school. There’s no dollar limit on how much you can withdraw as a PSE.

Educational Assistance Payments (EAP)

An EAP is made up of your government grants, which Embark automatically applies for on your behalf, and the investment income your RESP has earned over the years. Because this money was never taxed, it counts as income for your child when they withdraw it. Since most students have little income while in school, EAPs are usually taxed very little or not at all.

There are limits on how much you can withdraw as an EAP:

• Up to $8,000 in the first 13 consecutive weeks of a full-time program. After that, there’s no set dollar limit on EAPs — as long as your child stays enrolled without a 12-month break.
• Up to $4,000 per 13-week period of a part-time program

The CRA also sets a yearly “reasonableness threshold” for EAPs — $29,459 in 2026. This isn’t a hard cap: it simply means that withdrawals above that amount may require supporting receipts or documentation. Your RESP provider can walk you through what’s needed.

Have questions about your EAP amounts? Contact an Education Savings Specialist to get clarity on your specific plan.

Accumulated Income Payments (AIP)

An AIP is a last-resort option for families whose child does not plan to pursue post-secondary education. The rules are strict: your RESP must have been open for at least 10 years, your child must be at least 21 years old, and they must not qualify for an EAP. AIPs come with significant tax consequences, so you should speak with an Education Savings Specialist before pursuing one.

Non-Post-Secondary Education Withdrawals (NPSE)

If you withdraw your contributions before your child enrolls in school, the government will claw back any grants in your RESP. If you withdraw everything, your grants will be fully removed and your RESP may be closed. This type of withdrawal should be a last resort. If you’re in a difficult situation, talk to an Education Savings Specialist before making any moves.

Common Withdrawal Scenarios

My child is starting school this year: Take EAP withdrawals first to use up your grants and investment income while your child’s income is at its lowest. Save your PSE (contributions) for later years.

My child isn’t starting school yet, but plans to: No action is needed right now. Once your child enrolls in an eligible program, your savings will be there waiting. Review the withdrawal requirements ahead of time so you’re prepared. When you’re ready, you can start the withdrawal process from an Embark RESP, online, in minutes, with no branch visits in between.

My child will not attend post-secondary school: Contact an Education Savings Specialist to review your options. Depending on your plan, you may be able to transfer savings to an RRSP or change the beneficiary on the account.

Best Practices for Withdrawing from Your RESP

Take EAPs first

Withdrawing EAPs in your child’s early years of school is a smart strategy. At that stage, most students earn very little — so the tax on those grants and earnings will be minimal. If you wait until later, when your child may have a co-op salary or part-time job income, they could end up paying more tax on the same withdrawals. For more detail, read our guide on RESPs and taxes.

Don’t pull contributions before enrollment

It might be tempting to dip into an RESP for other costs — but doing so before your child enrolls could cost you thousands. The government will reclaim the Canada Education Savings Grant (CESG) and any other grants you’ve received. You can also lose the Canada Learning Bond (CLB) if you withdraw before your child is enrolled.

Need the money for something else? Explore your options

If your reason for withdrawing isn’t related to education, talk to an Education Savings Specialist before acting. Options like changing the beneficiary or transferring savings to an RRSP may be available — and may have fewer long-term costs.

Tips for a Smooth Withdrawal

Plan ahead. Start thinking about withdrawals before your child’s first year begins. Having your VOE and documentation ready in advance avoids delays when you actually need the money.

Stay in touch with your provider. Rules around RESP withdrawals can change. Staying in contact with your RESP provider ensures you’re always working with the most current information. Embark walks you through each step of the way.

Check your VOE. Make sure your Verification of Enrollment form is accurate, up to date (no older than six months), and reflects your child’s actual enrollment status for the current school year.

Ask for help. If you’re not sure about anything, Embark’s Education Savings Specialists are here to walk you through it.

Frequently Asked Questions

Can I withdraw my contributions tax-free?

Yes. Your own contributions can be withdrawn without any tax, since you already paid tax on that income before putting it into the RESP. Grants and investment earnings (EAP) are different — they’re taxed as income in your child’s hands.

Are there limits on EAP withdrawals?

Yes. In the first 13 consecutive weeks of full-time study, EAPs are capped at $8,000. For part-time students, the limit is $4,000 per 13-week period. After the first 13 weeks of full-time study, there’s no set dollar cap — as long as your child stays enrolled. The CRA does set a yearly reasonableness threshold ($29,459 in 2026); withdrawals above that level may require documentation. This is not a hard annual maximum. Note that EAPs aren’t the only option — you can also withdraw your own contributions separately as a PSE withdrawal. Contact us to find out more.

What if my child is earning money while in school?

If your child has higher taxable income during school — from a job, internship, or co-op — they may pay more tax on EAP withdrawals. If this applies to your family, reach out to Embark and we can help you time your withdrawals to reduce their tax exposure.

Ready to Withdraw? We Can Help.

Navigating RESP withdrawals doesn’t have to be complicated. When you understand the different types of withdrawals and the order to use them, you can protect your grants and stretch every dollar further.

Visit our Withdrawals Centre for step-by-step guidance. Or speak with an Embark Education Savings Specialist — we’re here to help you make the most of every dollar you’ve saved.