Funding Methods

As parents, our wish is to be able to financially provide for the future of our loved one with special needs. But with the extraordinary expenses we deal with on a regular basis, setting money aside may not be feasible. How can we ensure there will be funds for them?

RDSP

Contributing to a RDSP, with the very generous government supports, will compound your savings quickly. Although it is best if you can contribute, low income individuals will have access to up to $20,000 in Bonds without requiring any deposits, and if you or other family members can contribute, there is up to $70,000 available in grant dollars.

Great gift idea for grandparents that don’t want to spend on gadgets!

Life Insurance

  • Having a permanent life insurance plan is one of the least expensive ways to leave money to fund a Trust or the RDSP.
  • As an example, a 50 year old, non-smoking female could purchase a $200,000 permanent policy at an approximate cost of $2,400 per year. Assuming she lives to age 91, that would be 40 years of payments equalling $96,000. But it will pay out $200,000 tax free.
  • This payout can fund a Trust, an RDSP, or provide something for your other family members if many of your assets are directed to the child with special needs.