If you have a family plan, you can use the earnings to pay for the education of another child the plan. With an individual plan, you may have the option of naming another beneficiary, but the total CESG may have to be returned to the federal government.
If no beneficiary pursues higher education, you may be able to transfer up to $50,000 tax-deferred from the RESP to your or your spouse’s or common-law partner’s RRSP subject to these special conditions:
- The RESP must have been in effect for at least 10 years
- All RESP beneficiaries must be at least 21, and not currently enrolled in post-secondary education
- You must be a Canadian resident
- In addition, normal RRSP contribution limits apply. If you do not have sufficient RRSP contribution room, you may be able to withdraw plan earnings, however, some restrictions and additional taxes may apply.