Newsletter September 2009

Find us on the web at www.janeabellay.com
Volume II, Issue vi, September 2009

IN THIS ISSUE:

• Back to School Time! What are RESPs?
• Only a few seats left for the P.I.N.K. Workshop for women only series RSVP NOW!
• Individual Health Benefits now offered

 

BACK TO SCHOOL!! ABC’s of RESPs – Everything you need to know about Registered Education Savings Plan for your child

If I told you the government was handing out money for free, would you be interested? Of course you would. All you need to do is set some money aside for your child’s (or children’s) education – something you may be considering doing anyway.

According to information released by Statistics Canada last year:

• University tuition fees increase 4.3% annually
• Tuition has increased by 209% since the 1990-1991 school year.
• Canadian undergraduate students paid an average of $4,524 a year in tuition fees.
• Some professional programs charge significantly higher amounts than that – first-year tuition for a law student at the University of Toronto ranges from $6,000 to $20,000, depending on the program. Add in books, food and housing costs and you could be looking at a very significant expense.

There are, fortunately, savings vehicles that can help you prepare.

A Registered Education Savings Plan (RESP) is a little bit like a Registered Retirement Savings Plan (RRSP). You can’t deduct the contributions, but your earnings do accumulate tax free, to be taxed in your children’s hands, not yours, when they withdraw funds. Since students tend to have little other income, they’ll probably end up paying very little (if any) taxes on the money they receive.

In 2007, the government made some additional changes. The annual contribution limit of $4,000 was eliminated, and parents can now contribute up to $50,000 – that’s up from $42,000 – in total, to each child’s RESP.

There’s also a lucrative Canada Education Savings Grant (CESG) available to anyone who opens an RESP. The government will top up your plan with a grant equal to 20% of your contribution, up to an annual maximum of $500 and a lifetime maximum of $7,200.

You don’t have to be rich to take advantage of the plan, either. In fact, if the child’s family earns $37,178 or less a year, the plan is eligible for a CESG worth 40% on the first $500 you deposit every year. The Canada Learning Bond also offers children who qualify for the National Child Benefit supplement – a special $500 payment at birth, plus $100 each year they receive the supplement, until the child turns 15.

If you’re interested in learning more about the education savings options available to you, I hope you won’t hesitate to contact me at (306) 281-3891.

 

Upcoming Events

Join me this fall for this exclusive women’s only financial planning series. Only a few seats remain. Please RSVP!

P.I.N.K. embraces all the key elements of a financial plan

• Protection – preserve your capital and protect your family from the risks
• Investment – learn how to grow your money and manage your wealth for the long term
• Need – gain a better understanding of the unique financial challenges facing women
• Knowledge – access to insightful financial insurance and a network of expertise

Did You Know?

1. Less than 50% of all Canadian women own life insurance
2. 1 in 3 women are predicted to develop heart disease in their lifetime
3. 250,000 women were diagnosed with Cancer in 2002 (70% survived)
4. Women live 5-10 years longer, retire earlier, yet contribute 30% less to their RRSPs
5. 48% of women polled did not have a plan or regular meeting with an advisor

Seminar Dates:

• Life and Estate Planning – Tuesday, September 29, 2009, 6:30PM at Willows
• Protecting Family Assets – Tuesday, October 20, 2009, 6:30PM at Willows
• Introduction to Investing – Tuesday, November 3, 2009, 6:30PM at Willows
• Retirement Planning 101 – Tuesday, November 24, 2009, 6:30PM at Willows

RSVP: janea@performancefinancial.ca

 

Individual Health & Dental Benefits

Your family is greatest asset. Health related expenses that are not covered by your provincial health plan can result in substantial costs. Now you can take advantage of a range of benefits and services for you and your family.

There is a plan to suit everyone’s health and budget. Dental services, prescription drugs, vision care and registered specialists are a few of the health expenses each of us faces without coverage.

By selecting a health plan and any combination of additional coverage options that bests fits your life, you can provide cost effective benefits for your family. You can also add new coverage options each year you renew your plan.

Individual coverage can be affordable and there is a plan to suit everyone. To obtain a quote or application form, call Janea Bellay at Performance Financial Services Inc. (306)281-3891 in Saskatoon or email janea@performancefinancial.ca.

Your family is important to you. Find out how you can get additional benefits!

 

Janea Bellay, Insurance & Investment Advisor

Janea Bellay is an independent insurance and investment advisor, specialized in a unique 360 degree financial planning approach for individuals and families:

 

Liquidity accounts – Your spending, savings and retirement accounts

Family Security – Maintaining life insurance for all life’s unexpected financial needs

Family Protection – Maintain your current lifestyle even if there are unexpected illnesses such as cancer, heart attack or a stroke

Retirement Planning – Are you putting enough away and into the right investments to retire successfully?

 

Performance Financial Services Inc.

217—3501 8th Street East

Saskatoon, SK S7H 0W5

Tel: (306) 281-3891

Fax: (306) 956-3141

janea@performancefinancial.ca

www.janeabellay.com

 

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Questions or comments? E-mail us at janea@janeabellay.com  or call 306-281-3891.

 

LEGAL DISCLAIMER

Janea Bellay is an independent self-employed insurance and investment representative, licensed to sell insurance and investment products and services through Performance Financial Services Inc. This is an independent MGA brokerage, and part of the United MGA Group of Canada. Mutual funds are offered though Desjardins Financial Security Investments Inc. Commissions, trailing commissions, management fees and expenses may be associated with mutual fund investment. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. The information in this article is not intended nor should it be considered as providing specific legal or tax advice. Individuals should consult with their individual advisors to ensure that any information is applicable and appropriate to their specific situation.