Invest for your Kids' Education

Education Planning

We've provided the estimated costs to help you prepare

These tables outline two scenarios: first, the estimated costs of a post-secondary institution when a student lives at home; and second, when the student lives away from home.*

In each case, the tables show what you can expect in tuition and living expenses, plus the amount you need to contribute to a non-registered plan in order to cover the cost.

• The estimated cost of college/university is based on today's average education cost of $4,000 a year for a student living at home and $10,000 a year for a student living away from home. Figures represent the average between university and college students' median spending for tuition, fees and expenses. From Statistics Canada, The Daily (September 10, 2003).

• Cost of post-secondary education includes tuition fees, books, supplies and non-educational expenses such as computers, utilities, transportation, etc., and in addition, room and board for students living away from home. (All figures rounded.)

• A 5% annual increase in education costs (which takes into account inflation), four years of post-secondary education and a 5% annual pre-tax rate of return on investments are assumed.

• The calculation assumes no additional investments once the child starts college/university. The savings will be depleted by the end of four years in four annual installments, adjusted for inflation. Assumes deposits to the investment account are made at the end of each month.

• This calculation assumes that the savings are made within a non-registered investment account (no CESG). The calculations above do not include any potential tax consequences.