How the Heritage Plan works
Here's how the Heritage Plan helps you achieve your education savings goal
Start young
You can start a Heritage Plan for any child (Beneficiary) under 15 years of age. Remember, though, the younger the Beneficiary is when you enroll in the plan, the more time you'll have to save – and the less you'll need to contribute to reach the maximum.
Stay safe
Your contributions and government grant payments are invested in various low-risk investments by professional money managers and administrators. Your portion of these "pooled funds" is determined by the number of shares (units) you purchase and their value.
Receive your share
One of the key characteristics of the Heritage Plans is that all contribution methods are designed so that an approximately equal amount of accumulated interest per unit is expected to be earned by the Maturity Date. That means all Beneficiaries with the same Year of Eligibility receive the same Educational Assistance Payment (EAP) amount on a per unit basis (depending on the payment option chosen). The value of the units depends on interest rates and the number of beneficiaries who pursue a post-secondary education each year. EAPs may be further enhanced by return of all or a portion of Membership Fee and payments from the Enhancement Fund. Return of Membership Fee and payments from the Enhancement Fund are at the discretion of the Foundation. Discretionary payments are not guaranteed. The Benificiary should not count on receiving a discretionary payment. The Foundation decides if it will make a payment in any year and how much the payment will be. If the Foundation makes a payment, the Beneficiary may get less than what it paid in the past. The Beneficiary may also get less than what the Foundation pays to the Beneficiaries in other cohorts.
Use your Educational Assistance Payments anywhere
When it's time for your child to pursue their post-secondary education, your Heritage Plan Educational Assistance Payments (EAPs) can be used at any recognized post-secondary institution worldwide.
Optional Self-Completion Insurance
This optional coverage ensures that your regular contributions continue to be made should anything ever happen to you. Ask your Heritage RESP Representative for full details.