Savings plan for kids wedding with government matching

amother

Mon, Jul 13 2020, 5:58 pm

Quote from another thread. anyone have more info on this?

Quote:

Savings Plans: Many families have savings plans that they pay into from the birth of their child. Many of these plans are structured to help parents save for their children's future education. These products are well-suited to being used as a means to save up for a wedding. You pay in about 200$ /month for each child. When the child turns 18, you cash out more than twice what you paid in capital. Where I live, the government even matches your contributions until your child turns 8.

anyone have more info on this? Which countries to this apply? I am in the us

amother

Indigo

Mon, Jul 13 2020, 6:38 pm

I can't see why the government would pay toward your child's wedding. Smile

I'm not even familiar with them matching for college education.

itsmeima

Mon, Jul 13 2020, 6:39 pm

amother [ OP ] wrote:

Quote from another thread. anyone have more info on this?

Quote:

anyone have more info on this? Which countries to this apply? I am in the us

There's a program like this in Canada (socialisms!)

realsilver

Mon, Jul 13 2020, 6:46 pm

Yes it's a Canadian program! It's called RESP and while it's meant to pay up for college and university, we know how to do it! You take out the money when ur child is in seminary and use It towards the wedding. They give you the money in cash. If u use a good company and you put in 200 a month for 10 years, u can come out with 60,000 dollars( from a mutual fund)

amother

Purple

Mon, Jul 13 2020, 6:59 pm

I'm the amother from the other thread. The other posters are correct. It's essentially a Canadian savings plan for higher education, you can use it however you like. We get pamphlets about it in the hospital after birth. There are many frum people who make a good living as brokers for RESP's.
If you are under a certain threshold of income, you receive a monthly child allowance from the government of about 500$/child. Even struggling families divert 200$ of this money to their RESP and can then marry off their children with peace of mind.

amother

Seashell

Mon, Jul 13 2020, 7:12 pm

So what I understand, it's designed for education, and people are saying that they are using it for education but really using it for weddings.

realsilver

Mon, Jul 13 2020, 7:13 pm

Technically yes. But if you use a bit of it for sem, there's nothing wrong with using the rest for something else. It's a huge amount

amother

Purple

Mon, Jul 13 2020, 7:20 pm

amother [ Seashell ] wrote:

So what I understand, it's designed for education, and people are saying that they are using it for education but really using it for weddings.

It's intended to support your child's education after high school. You can use it to pay for anything you want (books, clothes, rent, travel expenses etc.). Any girl in seminary or boy in yeshiva can cash out when they turn 18 and use the money as they please. You are in no way obligated to use more than a fraction of it for education-related costs. It is perfectly above-board and legal to spend the money on a wedding.

amother

Turquoise

Mon, Jul 13 2020, 7:27 pm

hi, we currently live in canada, and some of my kids are born here, but may move out in a few years. will we still be able to do this? never heard of using it this way. we kind of just ignored it because we dont know how long we will be here. this sounds really interesting. do you know who I can speak to IRL about it?

amother

Mon, Jul 13 2020, 7:47 pm

amother [ Purple ] wrote:

thanks for responding

amother

Amethyst

Mon, Jul 13 2020, 8:00 pm

amother [ Turquoise ] wrote:

Are u a permanent resident? And where do you live? You can speak to your bank about it. Other wise, there are many frum people that do it

amother

Amethyst

Mon, Jul 13 2020, 8:02 pm

Ps- off topic, but ontario is starting to give back 75 percent of what you pay for child care. Many people don't know about this, ask your accountant to check if your eligible.

teachkids

Mon, Jul 13 2020, 8:05 pm

Just note. In the US, most education savings plans can only be used for education. I have a friend who had one of these, but couldn’t even use it for her rent because she lived off campus (she had a full scholarship for tuition itself).

amother

Turquoise

Mon, Jul 13 2020, 8:07 pm

amother [ Amethyst ] wrote:

Ps- off topic, but ontario is starting to give back 75 percent of what you pay for child care. Many people don't know about this, ask your accountant to check if your eligible.

gosh! im learnign a lot tonight. does it have to be a registered day care? does nursery tuition count?

itsmeima

Mon, Jul 13 2020, 8:08 pm

amother [ Turquoise ] wrote:

gosh! im learnign a lot tonight. does it have to be a registered day care? does nursery tuition count?

I don't think so. Speak to your accountant.

amother

Turquoise

Mon, Jul 13 2020, 8:09 pm

dont be too jealous. we canadians pay 13% tax and housing is through the roof. but definitely some perks here...

amother

Lime

Tue, Jul 14 2020, 8:57 am

amother [ Turquoise ] wrote:

dont be too jealous. we canadians pay 13% tax and housing is through the roof. but definitely some perks here...

You think it’s less In The states? 😂😂😂