RESP Investment v.0.2 Public

	A	B	C	D	E	F	G	H	I	J	K	L	M	N
1	Assuming you have 50k to invest when your child is born, how much will you or the child get when the child is 21?
2	Assumptions		50k lump sum RESP			Maximize grant and RESP balance				No RESP	Maximize Grant Only
3	Child age	Growth rates	Year-end Balance	Grant	Contributions	End Year RESP Balance, avg.	Year end Taxable acct balance, TAX PAID	Grant	Contribution	Year end Taxable acct balance, TAX PAID	End Year RESP Balance, avg.	Year end Taxable acct balance, TAX PAID	Grant	Contribution
4	0	6.00%	53,530.00	500.00	50,000.00	18,020.00	35,108.00	500.00	16,500.00	52,400.00	3,180.00	49,780.00	500.00	2,500.00
5	1	6.00%	56,741.80			22,281.20	34,173.18	500.00	2,500.00	54,915.20	6,550.80	49,549.44	500.00	2,500.00
6	2	6.00%	60,146.31			26,798.07	33,193.50	500.00	2,500.00	57,551.13	10,123.85	49,307.81	500.00	2,500.00
7	3	6.00%	63,755.09			31,585.96	32,166.78	500.00	2,500.00	60,313.58	13,911.28	49,054.59	500.00	2,500.00
8	4	6.00%	67,580.39			36,661.11	31,090.79	500.00	2,500.00	63,208.64	17,925.96	48,789.21	500.00	2,500.00
9	5	6.00%	71,635.22			42,040.78	29,963.15	500.00	2,500.00	66,242.65	22,181.51	48,511.09	500.00	2,500.00
10	6	6.00%	75,933.33			47,743.23	28,781.38	500.00	2,500.00	69,422.30	26,692.40	48,219.62	500.00	2,500.00
11	7	6.00%	80,489.33			53,787.82	27,542.89	500.00	2,500.00	72,754.57	31,473.95	47,914.16	500.00	2,500.00
12	8	6.00%	85,318.69			60,195.09	26,244.94	500.00	2,500.00	76,246.79	36,542.38	47,594.04	500.00	2,500.00
13	9	6.00%	90,437.81			66,986.80	24,884.70	500.00	2,500.00	79,906.63	41,914.93	47,258.56	500.00	2,500.00
14	10	6.00%	95,864.08			74,186.00	23,459.17	500.00	2,500.00	83,742.15	47,609.82	46,906.97	500.00	2,500.00
15	11	5.00%	100,657.28			81,045.30	21,965.21	500.00	2,500.00	87,091.84	53,140.31	46,538.50	500.00	2,500.00
16	12	5.00%	105,690.15			88,247.57	20,243.82	500.00	2,500.00	90,575.51	58,947.33	45,800.04	500.00	2,500.00
17	13	5.00%	110,974.65			95,809.95	18,453.57	500.00	2,500.00	94,198.53	65,044.70	45,032.05	500.00	2,500.00
18	14	5.00%	116,523.38			101,860.44	18,151.71	200.00	1,000.00	97,966.47	69,556.93	45,793.33	200.00	1,000.00
19	15	5.00%	122,349.55			106,953.47	18,877.78			101,885.13	73,034.78	47,625.06
20	16	5.00%	128,467.03			112,301.14	19,632.89			105,960.54	76,686.52	49,530.06
21	17	4.00%	133,605.71			116,793.19	20,418.21			109,351.27	79,753.98	51,511.27
22	18	4.00%	138,949.94			121,464.91	21,071.59			112,850.51	82,944.14	53,159.63
23	19	3.00%	143,118.44			125,108.86	21,745.88			115,558.93	85,432.46	54,860.73
24	20	3.00%	147,411.99			128,862.13	22,267.78			118,332.34	87,995.44	56,177.39
25	21	3.00%	151,834.35			132,727.99	22,802.21			121,172.32	90,635.30	57,525.65
26	How is the investment growth paid out for each method?
27	AIP paid		48,640.49			36,253.44				0.00	22,768.94
28	EAP paid		80,449.14			65,355.11				0.00	43,161.89
29	Taxable acct paid		0.00			22,802.21				71,172.32	57,525.65
30	Paid to Subscriber	OR	48,640.49			59,055.64				71,172.32	80,294.59
31	Paid to Beneficiary	OR	80,449.14			88,157.32				71,172.32	100,687.54
32	Expected Value	(see assumptions)	74,087.41			82,336.98				71,172.32	96,608.95
33
34	More Assumptions:
35	Subsrciber marginal rate	32.00%
36	Avg investment growth tax (including capital gains, dividends, bonds)	20.00%
37	Beneficiary marginal rate	21.00%
38	Expected amount of EAP not needed	20%
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