Plain-language summary
- The Canada Education Savings Grant has a lifetime maximum of $7,200 per eligible beneficiary.
- The $7,200 cap is a CESG cap. It includes Basic CESG and Additional CESG paid for the same beneficiary.
- The cap is per beneficiary, not per RESP account, per subscriber, or per provider.
- A child can be named on more than one RESP, but CESG payments are still subject to the annual and lifetime CESG limits.
- The Canada Learning Bond and provincial benefits such as BCTESG or QESI have their own rules and should be tracked separately from the CESG lifetime cap.
- Once the $7,200 CESG cap is reached, extra contributions may still be allowed within the RESP contribution limit, but they should not be expected to earn more CESG for that beneficiary.
Action steps
- Ask each RESP promoter how much CESG has already been paid for the beneficiary.
- Add together Basic CESG and Additional CESG amounts from every RESP for the same beneficiary.
- Compare the total with the $7,200 lifetime CESG maximum before making a large contribution.
- If more than one adult contributes, share a simple tracker so grandparents, separated parents, or multiple households do not all assume grant room remains.
- If using catch-up room, remember that carry-forward stops once the beneficiary reaches the $7,200 CESG maximum.
- Before changing beneficiaries or closing a plan, ask the promoter whether any CESG can be used by a sibling with CESG room or whether it must be returned to government.
Caveats to watch
- The $7,200 lifetime maximum is not a contribution limit. CRA's RESP contribution limit is separate and is based on personal contributions.
- The annual grant pattern still matters. A beneficiary does not get the whole $7,200 at once just because there is enough contribution money.
- Additional CESG uses income-tested rules, but it still counts inside the same $7,200 CESG lifetime cap.
- Multiple RESPs can create timing surprises. Canada.ca says CESG is generally paid to the RESP with the earliest contribution, subject to annual and lifetime limits.
- If two RESPs receive contributions for the same beneficiary, the CESG may only be deposited into one plan or split if contributions are made on the same date.
- Repaying CESG does not always make planning simple again. Canada.ca says in some contribution-withdrawal situations the grant room is not restored by the repaid CESG amount.
Examples
Example: Basic CESG only
A family contributes enough over many years to receive $500 of Basic CESG each year. After 14 full $500 grant years, the child has received $7,000. Only $200 of lifetime CESG room remains, so the next eligible contribution cannot produce a full $500 Basic CESG for that beneficiary.
Example: Additional CESG counts too
A child receives $600 in one year because the account gets $500 of Basic CESG and $100 of Additional CESG. For lifetime tracking, the family should count the full $600 toward the child's $7,200 CESG maximum.
Example: two RESPs for one child
A parent contributes to one RESP in January and a grandparent contributes to another RESP in February for the same beneficiary. Canada.ca says CESG payments are first-come, first-served subject to annual and lifetime limits, so the grant may go only to the first plan even though both adults contributed.
Example: sibling may use CESG only if room exists
If one beneficiary does not continue after high school, Canada.ca says CESG can be shared with a sibling if the sibling has CESG room available. If the sibling has already reached the $7,200 lifetime cap, the unused CESG may need to be returned to the Government of Canada.
What counts toward the $7,200 cap
- Basic CESG counts toward the $7,200 lifetime maximum.
- Additional CESG counts toward the same $7,200 lifetime maximum.
- CESG paid into any RESP for the same beneficiary counts toward the same beneficiary-level cap.
- CESG received through catch-up contributions still counts toward the same cap.
- The CLB, BCTESG, and QESI are separate benefits with separate limits, so they should not be mixed into the CESG total.
Questions to ask your provider
- How much total CESG has this beneficiary received across this RESP?
- Can you tell whether the beneficiary has other RESPs that may already have received CESG?
- Does the total include both Basic CESG and Additional CESG?
- If I contribute this amount now, how much CESG do you expect before the $7,200 lifetime cap is reached?
- If CESG has to be repaid or moved to a sibling, will any grant room be restored or is it lost under the applicable rule?