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C S T Consultants Inc Understanding RESPs Planning your child s education
C.S.T. Consultants Inc.  Understanding RESPs Planning your child   s education
Table of Contents Canadian Scholarship Trust Foundation 1 Who we are 1 Our history 1 Helping your child succeed 1 Our mission 1 Over 56 years of milestones and memories 2 RESPs made easy 3 Why should you open an RESP 3 The 3 easy steps to getting an RESP 3 STEP 1 Understand the facts 4 Fact A post secondary education can enhance your child s success 4 Fact It could cost 157 000 to send your child to university by 2035 4 Fact Saving early is in your best interest 5 Fact You can avoid the burden of debt 5 Fact Access 7 200 or more in government grants for your child s RESP 6 Fact Saving is more affordable than you think 6 STEP 2 Learn about the CST Plans 7 Let the CST Advantage give you peace of mind 7 Number of Plans 7 Assets under management 7 Learning about the CST Plans 8 CST Group Savings Plan 2001 9 Here s how the Group Plan works 9 Our investment approach 10 Our portfolio managers 10 The value of long term savings 10 STEP 3 Get started 11 Comparing RESPs Make the educated choice 11 CST Group Savings Plan comparative questions checklist 11 Frequently Asked Questions 12
Table of Contents Canadian Scholarship Trust Foundation ......................................... 1 Who we are...............
Canadian Scholarship Trust Foundation Who we are Your child is a reflection of everything you value and everything you believe in You want the best for your child That s why the gift of education is one of the greatest investments you can make It is the aim of the Canadian Scholarship Trust Foundation to help you and your child transform dreams into reality through the power of education We offer safe solid long term RESP solutions that give you the peace of mind that comes with knowing that when your child will be ready to pursue higher learning you ll be ready to help pay for it Our history The Canadian Scholarship Trust Foundation began as a group of like minded individuals who shared one common vision that all Canadian children should have the financial resources to pursue post secondary education Their vision was a reflection of their deepest and most cherished beliefs that education and knowledge enrich the human experience The founders transformed this ideology into CST Plans where disciplined savings and smart investing begin As the distributor and investment manager of the Canadian Scholarship Trust Plans CST Consultants Inc CST is a wholly owned subsidiary of the Canadian Scholarship Trust Foundation At CST we have the experience and expertise to help families like yours develop education savings strategies Helping your child succeed The Foundation has lobbied the Canadian government for tax law changes that benefit families saving for their child s post secondary education The Foundation was instrumental in lobbying the Canadian government for the introduction of the Canada Education Savings Grant CESG The Foundation has over 56 years of experience providing education savings solutions to families across Canada CST Plans have reached over 4 5 billion in assets1 and have paid out over 4 3 billion2 to Canadian families Stable low risk approach to investing The Foundation is one of Canada s largest and oldest group RESP providers CST focuses solely on education savings it s all we care about and all that we do Our mission To advocate develop deliver and support solutions that will enable every Canadian resident to have sufficient financial resources to pursue post secondary education START SAVING for higher education and access up to 7 200 in government grants 3 1 2016 Canadian Scholarship Trust Plans Audited Financial Statements 2 Canadian Scholarship Trust Foundation 2016 3 Everyone is eligible for the basic CESG which matches 20 of the first 2 500 you contribute to your child s RESP each year up to lifetime maximum of 7 200 1
Canadian Scholarship Trust Foundation  Who we are Your child is a reflection of everything you value and everything you be...
Over 56 years of milestones and memories The Foundation has been a key player in the history and evolution of education savings in Canada pioneering the concept of an RESP and lobbying governments for tax incentives and grants 1960 1960 1990 1990 1961 We open for business with a savings plan designed to save for university Peter Wright brings together a distinguished board of directors establishes the non profit Canadian Scholarship Trust Foundation and becomes its first President 1963 There is very little marketing and sales Sales are mostly by word of mouth Peter Wright We have not embarked on any program of advertising because we have felt that this could lead to a misunderstanding of the purpose of the Plan and to a withdrawal of the very kind of support it now deserves and receives from the mass media March 31 Joseph Potts opens the first Canadian Scholarship Trust Plans for his family In 1960 I was a young solicitor with five children I knew that I would have a tremendous financial problem if they all went through university at the same time All five went to university and four completed their degrees The CST Plan was one of the best investments I have made 1965 We celebrate 30 years approximately 250 000 subscribers over 200 million in payments 1998 Canada introduces the Canada Education Savings Grant 2000 2002 Overwhelmed by over 13 000 referrals from existing subscribers we hire a company to take over enrolment work 2005 1969 We propose a change to the Income Tax Act to tax interest payments from the Canadian Scholarship Trust Plan in the hands of the students and begin a dialogue with the Government of Canada Government introduces three new grants Canada Learning Bond Additional Canada Education Savings Grant Alberta Centennial Education Savings Plan The Quebec government introduces the Quebec Education Savings Incentive The change to the Income Tax Act is approved subscribers no longer have to pay tax on interest payments students pay the tax at a much lower rate and Canada introduces the registered education savings plan RESP We make our first education assistance payments to 81 students 1978 1985 We introduce a new logo 1988 We launch C S T Consultants Inc to market and administer our plans 2 2010 1980 over 20 million in payments to more than 10 000 students 2009 William Balkwill a 97 year old subscriber sends a photo of himself with his granddaughter Vanessa and his three greatgrandchildren Matthew Johnathan and Olivia all beneficiaries of the CST Plans he invests in The CST organization has proven to be a very worthwhile investment in my family s education and I encourage others to consider using CST as a vehicle to invest in our future We expand the plans to include two year programs at colleges and other institutions 1980 80 000 subscribers We lobby the federal and Alberta governments to create more grant programs John Kearns President and CEO Canadian Scholarship Trust Foundation We believe our role as advocate is an integral part of our responsibility to help ensure access to post secondary education is possible for everyone 2007 1972 20 years 2004 We update our logo 1970 We celebrate 1997 We launch our Individual and Family Savings Plans allowing families to take advantage of changes made in the Income Tax Act that year 2010 1984 We introduce the Peter Wright Graduate Award for 5 000 and later expand the program to include four other awards We celebrate 50 years over 2 2 billion in payments almost 3 billion in assets under management 2013 We update our logo Arthur Pigott Award Rowland Lloyd Award 2011 We encouraged the Saskatchewan government to create a grant program Gladys Neale Award 2014 Kenneth Le M Carter Award The first Peter Wright Graduate Award winner is Peter Marks a 24 year old medical student attending the University of Toronto 2015 Saskatchewan Advantage Grant for Education Savings introduced B C Training and Education Savings Grant introduced Alberta Centennnial Education Savings Plan closes Over 4 2 billion in assets under management View our videos at www cst org clientvoice to hear from some of the students and families who have benefited by saving with CST
Over 56 years of milestones and memories The Foundation has been a key player in the history and evolution of education sa...
RESPs made easy DID YOU KNOW A Registered Education Savings Plan RESP is an investment vehicle that allows contributors such as parents grandparents friends and other relatives to save for a child s post secondary education Why should you open an RESP Having an RESP enables you to Receive federal government grants Receive provincial government grants where applicable Grow income on a tax deferred basis Have peace of mind knowing that money is there to help fund your child s education The 3 easy steps to getting an RESP STEP 1 Understand the facts STEP 2 Learn about the CST Plans STEP 3 Get started In 2015 Canadians held 47 billion in their RESPs 1 I want to be sure my child s education savings are safe and not at risk to market volatility I want to know that whatever education program my child chooses it will be covered by their RESP 2 1 Employment and Social Development Canada CESP Annual Statistical Review 2015 2 Eligible programs subject to government guidelines 3
RESPs made easy  DID YOU KNOW   A Registered Education Savings Plan  RESP  is an investment vehicle that allows contributo...
STEP 1 Understand the facts Your child s RESP is only three steps away With a household to run and children to raise it can be hard to find time to plan your child s post secondary education But saving is the most effective way to ensure that the financial resources are there when your child needs them and that your kids can graduate with little to no burden of debt At CST we understand that time is important to you That s why we ve simplified the process for you into three easy steps By following our step by step suggestions getting started on your child s RESP is as easy as 1 2 3 Fact It could cost 157 000 to send your child to university by 2035 How much does higher learning cost This chart shows you the estimated cost of a 4 year university program in 2035 3 175 000 150 000 125 000 100 000 75 000 Fact A post secondary education can enhance your child s success Numbers don t lie More than ever the job market requires higher learning At the same time the cost of education is dramatically on the rise 80 of Canada s top 25 jobs of 2016 require a university degree 1 3 out of 4 new jobs require a post secondary education 2 4 50 000 25 000 0 Home Away To send your child to university you ll need about 88 000 for tuition home and almost double that for room and board away However you can open an RESP from CST for less than 10 month4 to start growing your money tax free in the Plan 1 Universities Canada Back to School Quick Facts August 2016 2 Looking Ahead A 10 Year Outlook for the Canadian Labour Market 2008 2017 Human Resources and Skills Development Canada 3 Projected tuition costs of a 4 year university program are based on the annual average cost of tuition and compulsory fees across Canada for the previous school year and an assumed average annual increase of 3 7 Room and board are based on typical costs for residence with an average annual increase of 1 6 Projection includes the cost of entertainment transportation and books adjusted using an annual inflation rate of 2 Source Statistics Canada 2016 and university websites 4 Minimum monthly contributions for a Group Plan are the greater of 9 50 or 1 10th of a unit
STEP 1  Understand the facts  Your child   s RESP is only three steps away With a household to run and children to raise, ...
Fact Saving early is in your best interest Fact You can avoid the burden of debt The earlier you start saving for your child s education the more your savings can benefit from the power of compounding If you start investing 210 every month for your newborn their RESP could be worth as much as 23 759 more than if you start when your child is five Saving or borrowing which choice should you make so that you can send your children to school With a few simple projections the ideal choice becomes clear Based on the example below if you borrow an amount equivalent to the value of your RESP your loan repayments would be more than your RESP contributions Borrowing doesn t just cost more in the long run it also puts the burden of debt on your child Total RESP 70 349 Total RESP 60 943 Total RESP 46 590 3 819 7 200 3 007 CST Plan compared to student loan program 7 200 21 107 1 894 6 049 6 049 16 566 121 013 10 753 38 223 34 170 Newborn Saving for 17 years CESG Age 5 Saving for 12 years CESG investment income Income Attrition SCR4 12 28 50 664 27 894 Age 2 Saving for 15 years 2 6 90 Principal1 Illustration only Not intended to show future values Investment returns and actual future values cannot be predicted or guaranteed DID YOU KNOW You can contribute up to a lifetime maximum of 50 000 per child 37 3 70 349 70 349 CST Plan GSP 2001 Newborn Student Loan CST Plan GSP 2001 Total Value1 2 3 4 Loan Interest5 Student Loan Illustration only Investing an additional 250 to your RESP every year for 17 years could increase your savings by 7 070 1 2 3 4 Illustration only 1 Principal a subscriber s accumulated contributions less sales charges optional insurance premiums if applicable and account maintenance fees 2 Grant is calculated at 20 of contributions up to the 7 200 lifetime maximum 3 Income on grant is calculated using an annual average rate of return of 4 4 Income on Principal is calculated based on an average annual rate of return of 4 Attrition is part of the Group Plan bonus and is allocated across all scheduled education assistance payments EAPs It represents income not collected by beneficiaries before the end of their benefit period This amount is based on historical rates of participation with an assumed rate of return of 4 over the lifetime of the plan It also includes the Sales Charge Refund SCR Sales Charges are deducted from your contributions when you first start your plan Students who collect all four EAPs receive a refund of 50 of these charges 5 The repayment schedule is based on a 15 year timeline beginning after graduation For the purposes of this illustration loan interest has been calculated using an interest rate of 8 5
Fact  Saving early is in your best  interest.  Fact  You can avoid the burden of  debt.  The earlier you start saving for ...
Fact Access 7 200 or more in government grants for your child s RESP Enhance your disciplined education savings strategy with the benefit of government grants The sooner you start a Registered Education Savings Plan RESP for your child the sooner you will be rewarded by the Canadian government for planning and thinking ahead TYPE OF GRANT EXPLANATION Canada Education Savings Grant CESG Everyone is eligible for the basic CESG which matches 20 of the first 2 500 you contribute to your child s RESP each year up to lifetime maximum of 7 200 Additional CESG ACESG If your family has an annual net income below 91 831 your child may be entitled to an additional grant on the first 500 you contribute to his her RESP each year This extra 10 or 20 grant is referred to as the ACESG Canada Learning Bond CLB Families with lower income can receive 500 in the first year and an additional 100 per year for each year they qualify until their child turns 15 this could add up to an additional 2 000 in grants towards their child s RESP Quebec Education Savings Incentive QESI Offered by the government of Quebec QESI provides 10 on the first 2 500 contributed annually to an RESP by residents of Quebec up to a lifetime maximum of 3 600 Additional QESI If you are a resident of Quebec and your family s income falls below a certain level your child might qualify for another 5 10 on the first 500 contributed each year to your child s RESP Saskatchewan Advantage Grant for Education Savings SAGES British Columbia Training and Education Savings Grant BCTESG Offered by the government of Saskatchewan SAGES provides 10 of the first 2 500 contributed annually to an RESP by residents of Saskatchewan to a lifetime maximum of 4 500 The Saskatchewan Government has announced the temporary suspension of this program effective January 1 2018 You have until December 31 2017 to make contributions to an RESP and be eligible for SAGES Offered by the government of British Columbia the BCTESG is a one time 1 200 grant available to BC resident children born on or after January 1st 2006 Children are eligible for the BCTESG on their sixth birthday You have until the day before your child s ninth birthday to apply For details see government websites or our Prospectus at www cst org Fact Saving is more affordable than you think With one or more children in your household you may feel that your expenses are stretched too thin to put aside money for education Making ends meet can be challenging but did you know that you can start a Group Plan for less than 10 month 1 And that s not all there are additional sources of funding that you can access to start contributing now to your child s RESP and enjoy the benefits of government grants and compound earnings 1 Minimum monthly contributions are the greater of 9 50 or 1 10th of a unit 6
Fact  Access  7,200 or more in government grants for your child   s RESP. Enhance your disciplined education savings strat...
STEP 2 Learn about the CST Plans Let The CST Advantage give you peace of mind Number of plans Principal protection Your RESP principal is invested in stable and secure fixed income government and financial institution bonds The principal will be returned to you at maturity Number of plans Earning power you need The income your principal earns is invested in a mix of Canadian equities U S Exchange Traded Funds ETFs and investment grade corporate bonds to make sure your investment earns competitive returns over the life of the plan Hassle free saving You don t have to constantly monitor performance Just decide how much you want to contribute and we ll take care of the rest Flexible study options CST Plans allow your child to pursue and fund their full or part time studies including changing programs or transferring schools in Canada or abroad Universities Religious schools Community colleges CEGEPs Trade schools Distance learning Vocational schools Correspondence courses 538 670 600000 500000 400000 300000 200000 100000 0 1960 1970 1980 1990 As of October 31 2016 2000 2010 2016 1 As of October 31 2014 Assets under management billions 4 5 4 0 3 5 3 0 2 5 2 0 1 5 1 0 0 5 0 0 3 5 3 8 3 9 4 1 4 2 4 5 29 Growth over the last five years 2011 2012 2013 2014 2015 2016 As of October 31 20162 Technical schools 1 Canadian Scholarship Trust Foundation 2016 2 2016 Canadian Scholarship Trust Plans Audited Financial Statements 7
STEP 2  Learn about the CST Plans  Let The CST Advantage      give you peace of mind  Number of plans  Principal protectio...
Learning about the CST Plans Group Savings Plan 2001 Most of our clients find the Group Savings Plan to be the preferred savings solution which offers bonuses a sales charge refund disciplined contribution schedule and expected higher returns versus our other RESP plans 1 HOW IT WORKS Available for children under the age of 13 Pooled education savings plan Fixed contribution schedule with several payment options Longer term investment horizon After the plan matures and your child enrols in eligible studies they will receive Education Assistance Payments EAPs for up to 4 years of studies PLAN BENEFITS Disciplined savings Principal protection Group Plan Bonus2 Students receive a bonus on top of their investment income after maturity It s a benefit you only get from our group RESP Discretionary payments3 The Foundation has donated over 70 million4 to the Group Plans since 1987 50 of the sales charges will be refunded Access to EAPs in the first year of education Flexible study options Option to transfer to a Family or Individual Savings Plan conditions apply which allows the option to transfer income to the subscriber s Registered Retirement Savings Plan RRSP or withdraw Accumulated Income Payments AIP or transfer income to a Registered Disability Savings Plan RDSP 5 Low risk Stable returns Family and Individual Savings Plan If you prefer a less disciplined contribution schedule or if your child pursues a shorter study program or decides to not pursue post secondary education you have the option of enrolling in or transferring to a Family or Individual Savings Plan HOW IT WORKS Available for children of any age Flexible contribution schedule Family Savings Plan can be used towards the postsecondary education of multiple beneficiaries so long as they are siblings and under age 21 Individual Savings Plan can be used towards the postsecondary education of any beneficiary including self PLAN BENEFITS Access EAPs any time after enrolment in eligible studies Flexible study options Control timing of payouts Option to transfer income to the subscriber s Registered Retirement Savings Plan RRSP or withdraw Accumulated Income Payments AIP or transfer income to a Registered Disability Savings Plan RDSP 5 Family and Individual Savings Plans are not eligible for the Group Plan Bonus Discretionary donation or sales charge refund 1 The 10 year rates of return net of fees for the Group Savings Plan 2001 Family and Individual Savings Plans as of October 31 2016 are 3 4 2 1 and 1 7 respectively Past performance is not indicative of future results Investment returns cannot be predicted or guaranteed 2 The Canadian Scholarship Trust Foundation annually allocates the General Fund balance as a Group Plan Bonus to eligible beneficiaries across all scheduled Education Assistance Payments Refer to the Prospectus for additional information 3 Discretionary payments are not guaranteed You must not count on receiving a discretionary payment The Foundation decides if it will make a payment in any year and how much that payment will be 4 Canadian Scholarship Trust Foundation 2016 5 Government conditions apply 8
Learning about the CST Plans Group Savings Plan 2001 Most of our clients find the Group Savings Plan to be the preferred s...
CST Group Savings Plan 2001 Our group savings plan is a pooled savings plan that combines benefits not available in any non group RESP Plan Here s how the Group Plan works When your plan matures it s time to decide the payout option best suited for your child s choice of post secondary education If your child wants to attend school for two years or less is not pursuing post secondary education or you wish to control the timing of the payout we recommend transferring to the Individual Family Savings Plan At maturity Group Savings Plan 2001 Your principal5 is refunded tax free Option 1 Your child becomes a qualified student four installments one per year Principal refund 1st EAP3 2nd EAP3 Individual Family Savings Plan Stay in the Group Savings Plan or transfer to the Individual Family Savings Plan6 Government Grants 1 4 4 SCR Income on Grants 1 4 4 SCR Income on Principal 3rd EAP3 1 4 4 SCR 4th EAP3 1 4 4 SCR Funds can be used from the time of maturity age 17 18 up until the 36th year of the plan Prior to maturity transfer to Any child under 18 years old To a sibling under 21 years old The Individual Family Savings Plan Option 2 Your child pursues post secondary education Foundation Discretionary Donation2 Your child does not pursue post secondary education Principal refund Principal refund or EAP3 Transfer to RRSP7 or Our Group Plan Bonus1 Option 3 Transfer to RDSP7 Withdraw as a single education assistance payment or several payments as per your child s needs or Withdraw as Income7 Funds can be used from the time of transfer up until the 36th year of the plan 1 The Canadian Scholarship Trust Foundation annually allocates the General Fund balance as a Group Plan Bonus to eligible beneficiaries across all scheduled Education Assistance Payments Refer to the Prospectus for additional information 2 Discretionary payments are not guaranteed You must not count on receiving a discretionary payment The Foundation decides if it will make a payment in any year and how much that payment will be 3 Education Assistance Payment 4 We return 50 of your sales charge as long as you make all your Contributions and your Beneficiary qualifies and receives all four EAPs 5 Principal a subscriber s accumulated contributions less sales charges and account maintenance fees 6 Conditions apply Transfer to Individual Family Savings Plan will lead to loss of rights as a Group Savings Plan 2001 subscriber Please see Prospectus for details 7 Additional requirements apply If principal is withdrawn prior to the Beneficiary enrolling in eligible studies government grants will be forfeited and repaid to the Government 9
CST Group Savings Plan 2001 Our group savings plan is a pooled savings plan that combines benefits not available in any no...
CANADIAN EQUITIES Our asset class policy Our investment approach We focus on long term value by giving you the safety of principal protection combined with the earning power you need ME PORTIO INCO N E N CANADIAN GOVERNMENT AND FINANCIAL INSTITUTION BONDS BONDS CANAD IAN PR TE RA O Principal protection Your RESP principal is invested in stable and secure fixed income government and financial institution bonds The principal will be returned to you at maturity Earning power you need The income your principal earns is invested in a mix of Canadian equities U S Exchange Traded Funds ETFs and investment grade corporate bonds to make sure your investment earns competitive returns over the life of the plan S CO TIE RP UI L P A O P I R TIO Q INC U S ETFs Our portfolio managers Bank Our portfolio managers are among the top institutional money managers in Canada The Royal Bank of Canada Illustration only Where your money is deposited Trustee BlackRock Asset Management Canada Limited BMO Asset Management Inc Canso Investment Counsel Ltd CGOV Asset Management CIBC Asset Management Inc Greystone Managed Investments Inc Sionna Investment Managers Inc TD Asset Management Inc RBC Investor Services Trust Where your money is held in trust Sponsor Canadian Scholarship Trust Foundation A not for profit Foundation since 1960 Investment Fund Manager and Distributor Top 40 Money Managers Benefits Canada November 2016 C S T Consultants Inc Wholly owned by the Foundation The value of long term savings Beneficiaries of the CST Group Savings Plan 2001 received a 4 2 effective rate of return 1 4 2 Effective rate of return over the total life of the plan 1 1 The effective rate of return calculated as the sum of EAPs for the 2013 cohort of the Group Savings Plan 2001 assuming all are paid to the qualified student the sales charge refund and the maturity refund divided by the total contribution for a one unit plan for a child under the age of one Past performance is not indicative of future results 10
CANADIAN EQUITIES  Our asset class policy  Our investment approach We focus on long-term value by giving you the safety of...
STEP 3 Get started Comparing RESPs Make the educated choice Like any major financial decision you should compare different RESP providers to determine which is the best one for you and your child Use this checklist as a guide when evaluating RESPs Asking the right questions will lead you to the right answers CST Group Savings Plan comparative questions checklist Principal protection Additional funds Is my principal protected q Will I receive any bonuses to my plan aside from government grants q How much of my money could I lose in the worst case scenario q Will I receive any additional donations to my plan aside from government grants q Is there a sales charge refund q Fees and administration What are the total costs over the life of the Plan Be sure to ask about Commissions and trailing commissions Management Expense Ratios MERs Flexibility q Transfer fees Administration and sales charge What is the minimum amount I need to invest to open an education savings plan q Can my child receive Education Assistance Payments in their first year of study q Can this education savings plan be transferred to any other child If so up to what age q How flexible is the choice of schools and academic programs covered by this education savings plan q My parents had the foresight to subscribe to a CST Plan and that s how I was able to afford a university education When I had my own kids I didn t hesitate to do the same for each one of them Mike Rand Toronto ON 11
STEP 3  Get started  Comparing RESPs     Make the educated choice Like any major financial decision, you should compare di...
Frequently asked questions Q What is the minimum amount that I need to open a CST RESP Q How is the money invested A The minimum amount you need to invest in the CST Group Savings Plan 2001 is the greater of 9 50 or 1 10th of a unit The minimum investment for the Individual and Family Savings Plans is 150 unless the plan is being opened to only collect the Canada Learning Bond in which case the minimum investment is waived Government and Financial Institution bonds Q Who can open a Canadian Scholarship Trust Plan for a child A Anyone Parents grandparents other relatives even a friend of the family Q What are the tax advantages of an RESP A An RESP offers you three distinct tax advantages a The investment income earned on your principal grows tax free within the plan b The government grants also earn tax free investment income within the plan c Payments from the plan are taxable in your child s name not yours Since students tend to have little or no annual income little or no tax is payable Q Why shouldn t I open a Tax Free Savings Account TFSA instead A Tax Free Savings Accounts are a great way to save for lots of things but only RESPs are eligible for government grants For example through an RESP you can access up to 7 200 in federal grants 12 A Your principal is invested in Cash and treasury bills Your income may be invested in a mix of Fixed Income Investments as above Canadian equities U S Exchange Traded Funds ETFs Investment grade corporate bonds This provides principal protection while offering the potential to enhance long term investment performance Q Does my RESP require a lot of time to manage A Absolutely not You only have to make the one time decision to start a plan invest regularly and we ll do the rest We manage your funds for you and send you an annual statement of your account We arrange automatic contributions from your bank account so that you never have to worry about it Q How do I apply for grants A We make it easy to apply for government grants When you open your plan simply provide Social Insurance Numbers SINs for you and the child you re opening a plan for and your Sales Representative will complete the necessary forms with you We ll submit the paperwork to the government and apply for any grants you qualify for Any grants received will be deposited directly into your child s plan
Frequently asked questions  Q   What is the minimum amount that I need to open a CST RESP   Q   How is the money invested ...
Q Is it necessary to begin post secondary education immediately after high school Q What happens if my child does not pursue postsecondary education A No If your child wishes to postpone starting post secondary education for a year or so simply notify the Canadian Scholarship Trust Foundation in writing and the necessary adjustments will be made The time limit for collecting all EAPs is by the 36th year from when the plan was opened A You have several options Q What types of post secondary schools and programs apply A We recognize any program that qualifies under the Income Tax Act Canada and institutions that range from community colleges and universities to vocational technical trade and religious schools On top of that we re evaluating new schools and programs all the time Distance learning and correspondence courses are also eligible For fulltime programs at eligible Canadian schools this means a program of at least 3 consecutive weeks in duration with at least ten hours of instruction each week For eligible schools outside of Canada the program must be at least 13 weeks in duration or for students enrolled full time at a university the program must be at least 3 weeks in duration For part time studies the program must be at least 3 consecutive weeks for at least 12 hours per month at eligible Canadian schools or 13 weeks for schools outside of Canada I Transfer the plan to another eligible beneficiary If your child is over the age of 21 and the plan has been open for more than 10 years you may transfer up to 50 000 of income to your RRSP spousal RRSP or RDSP tax free provided you have sufficient contribution room Alternatively you can simply withdraw the income and pay tax on it at your marginal tax rate plus an additional tax of 20 Government grants will need to be returned to the government Remember your principal will always be returned to you tax free Q What kind of service can I expect from CST A We ll send you a detailed statement of all the activity in your plan once a year You can also view information about your account online any time by registering on the secure CST Self Service Website We will also provide you with access to our customer care department And of course your CST Sales Representative is always there to help you Q How will I get information on my plan A We will send you a detail statement of all the activity in your plan once a year You can access information about your account online any time by registering for secure access at www cst org If you have questions about your plan or plan activity you can contact your CST Sales Representative or our Customer Care Centre 1 877 333 7377 do not believe my undergraduate education would have evolved in the same way without the Canadian Scholarship Trust Plan The invaluable academic and non academic experiences that I gained with the help of CST have positioned me to pursue my ambitions Jamie Huckaby Lethbridge AB 13
Q   Is it necessary to begin post-secondary education immediately after high school   Q   What happens if my child does no...
Canadian Scholarship Trust Foundation Discover The CST Advantage Your child s education plan deserves an experienced RESP provider For more information please call your CST Sales Representative C S T Consultants Inc Canadian Scholarship Trust Plan is only sold by Prospectus Investors should read the Prospectus before making an investment decision because it includes important detailed information You can get copies of the Prospectus from www cst org or by calling 1 877 333 RESP 7377 C S T Consultants Inc 2017 All rights reserved No part of this publication may be reproduced stored in a retrieval system or transmitted in any form or by any means without the prior written permission of C S T Consultants Inc The Canadian Scholarship Trust Plan and the CST Advantage are registered trademarks of the Canadian Scholarship Trust Foundation 2005E ROC 2017 05
Canadian Scholarship Trust Foundation  Discover The CST Advantage  . Your child   s education plan deserves an experienced...