Education savings plan

We have educational savings plans in the US too. Some of them are like IRAs, where you put in the money and it earns interest -- but you can't take the money out. Or, there are state plans where you contribute and the state agrees to lock the tuition rate at the price it is where you begin to pay in. Again, this is an account where you put money in and don't take it out until the kid is in school. I say this because you are saying the lady told you to "reinvest the money." If you are paying into an account, and the government is matching, how can you take the money out? What would be the guarantees you were using the money to build up an account for your daughter's education. But, if you can decide how the money grows, I would stay away from the stock market. You could lose it all. You have 18 years which is more than enough time to let it grow slowly and safely up to the amount you need. You don't need to be aggressive because you have time to make all you need. Since this is your daughter's education fund, I would recommend being safe.

I have RESP'S as well through USC. I am leaving my money with them because of the grants - CESG - plus there is a new grant that you can apply for and I think It gives you $200 per year or something depending on your income. The stock market is too risky and stressful. I like that I have the guarentee that when my boys are ready to go to school the money will be there . Plus if God-forbid you die the payments are kept up through USC. And if they dont go to school the money you put in will be transferred into your RRSP.