This uncertainty collides with the severe financial reality of every aspect of life. In an increasingly expensive world, families are already balancing the rise in mortgage payments, parenting costs and living expenses. Additionally, the Canadian Scholarship Trust estimates that by 2042, the cost of a four-year college degree may be as high as $192,000.
It raises a crucial question: Is it still the right choice to put your hard-earned dollar into educational savings?
According to extensive research, the answer is yes, and the benefits go far beyond the awareness of most parents.
Postdoctoral graduates earn more, live longer, and give back to society
Post-college education (whether it is a university, university or apprenticeship) has strong career advantages and can maintain strong advantages even if it develops economically.
Canadians with college certificates always enjoy higher employment rates and receive more employment rates than Canadians who only receive high school education. Income varies greatly and continues throughout your career.
As automation and artificial intelligence transform the workforce, education provides vital protection. Statistics Canada research shows that only 3-4% of college graduates are at high risk of high work displacement, compared with 33% of workers without public education.
However, focusing only on career interests will miss a more comprehensive picture. Postdoctoral education graduates live significantly longer, healthier, less likely to smoke, exercise more regularly, and engage in preventive health care more actively. Graduates build more stable relationships and spend more time enriching their activities with their children. They vote frequently, volunteer more frequently, donate more generously to charities, and participate more actively in civic organizations. College education is related to family and community passed down from generation to generation.
Given these profound benefits, it is obviously important to support your child’s post-school education. But, just encouragement doesn’t cut it – it’s crucial to start saving early, because debt can undermine everything that education promises.
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The real cost of a student loan exceeds interest payments
In Canada, the average student loan for junior college graduates is tens of thousands of dollars. This burden takes more than years to repay. It fundamentally changed the trajectory of life. Research shows that graduates with heavy burdens are forced to prioritize meaningful work over meaningful work, often giving up the initial benefits of public services or nonprofit careers. Due to a fixed monthly obligation, they are much less likely to conduct their business and are more likely to delay home ownership, marriage and having children.
Research has always referred to debt with increased anxiety, depression, and which behavioral scientists call “bandwidth tax”, which is a persistent mental burden of economic worries, thus reducing cognitive abilities for key decisions.
But it’s the encouraging fact: the tough parenting challenges are actually manageable and the future is brighter than it seems. Rather than trying to predict the future or guess which particular careers or skills are the most important, a registered Education Savings Program (RESP) offers an optimistic approach: invest in your child’s unlimited potential to thrive in any world that emerges in the world.
RESP can be used in college, college, apprenticeship or various skills training programs, so you are not just betting on one road. Instead, you are ensuring that your child graduates with critical thinking, problem-solving abilities and emotional resilience that will serve them well in any situation in the future and most importantly, financial freedom to chase their dreams and seize opportunities that we can’t even imagine.
You can’t predict the future, but you can prepare your child to create it
As computer scientist Alan Kay once said, “The best way to predict the future is to create it.” By preserving early and consistently for your child’s education, that’s exactly what you are doing, and that’s why there’s a huge amount of optimism. You are not trying to guess what the world of your child will look like, but you are empowering them to build it themselves, pursue their passions, and bringing directions to make the world better, no matter their interests and talents.
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