Is it too late to start an RESP in Canada?
Updated August 26, 2026Quick answer
No, it is usually not too late to start a Registered Education Savings Plan (RESP). You can open an RESP at almost any age for a child, and even for yourself. The main trade-off is timing. Starting later may mean less time for investment growth and fewer years to receive government grants like the Canada Education Savings Grant (CESG). However, even a late start can still help cover education costs and access some benefits.
What does this mean?
An RESP is a registered savings plan that helps pay for post-secondary education. A subscriber opens the account and contributes money for a beneficiary, such as a child or themselves. The funds grow tax-deferred and can later be paid out as educational assistance payments, also called EAPs.
There is no strict minimum age to open an RESP. What matters more is:
• How long you have before the student starts school
• Whether the beneficiary still qualifies for government incentives
• How much time remains to contribute and grow savings
At a glance: Starting an RESP at different stages
1. Starting early vs starting later
Starting early gives more time for:
• Investment growth inside the RESP
• Receiving annual government incentives like the CESG
Starting later still has value:
• You can still contribute lump sums
• Some grant room may still be available depending on eligibility
• Savings can still grow tax-deferred before withdrawal
Even a few years of saving can help offset education costs such as tuition, books, and living expenses.
2. Is there an age limit to open an RESP?
An RESP can be opened by an adult for:
• A child
• Multiple children in a family plan
• Themselves as an adult learner
There is no strict “cutoff age” to open an RESP. However:
• Beneficiaries must generally be under age 21 when added to a family RESP
• Government grant eligibility may depend on the beneficiary’s age and past contributions
• The closer the student is to starting post-secondary school, the less time the account has to grow
3. What happens if you start very late?
If you open an RESP shortly before post-secondary school:
You may still:
• Contribute money
• Earn tax-deferred investment income
• Use the funds for eligible education expenses
But you may face:
• Less time to receive government grants
• Limited compounding growth
• Fewer contribution years before withdrawals begin
4. What if the student is already close to or in post-secondary school?
It can still make sense to open an RESP if:
• The student has not yet started withdrawing funds
• There is still time to earn investment income
• You want a tax-efficient way to support education expenses
RESP funds can be used for a range of education costs, including tuition, housing, books, and transportation.
5. What if the RESP is not used?
If the beneficiary does not pursue post-secondary education:
• Contributions are returned to the subscriber tax-free
• Investment earnings may be taxed and subject to additional rules
• Government grants may need to be repaid
There are also options to transfer certain earnings to another registered plan in specific situations, subject to eligibility conditions.
Requirements and what to watch
• Contributions are not tax deductible
• Investment earnings grow tax-deferred in the plan
• Government grants are based on eligibility and contribution timing
• Late starts may reduce total available grant amounts
• Rules and benefits may vary based on plan type and provider
How Embark helps
For families starting an RESP at any stage, simplicity and flexibility can matter.
Embark supports:
• Online RESP setup in minutes with no branch visit required, making it easier to get started quickly
• Flexible contributions so families can save on a schedule that fits their budget
• Support for applying for every available government grant based on eligibility
This can help families take action even if they are starting later than planned.
Frequently Asked Questions
© 2026 Embark. All rights reserved. Embark is a trademark of Embark Student Corp.