Understanding the Survey of Approaches to Educational Planning (SAEP)
The Survey of Approaches to Educational Planning (SAEP), conducted by Statistics Canada in collaboration with Employment and Social Development Canada, provides critical insights into how Canadian families prepare for their children's post-secondary education. This voluntary survey targets parents or guardians of children under 18 years old, collecting data through electronic questionnaires and follow-up telephone interviews. Covering over 40,000 children, the 2025 edition—gathered from February 24 to May 20, 2025—examines school attendance, parental expectations, financial planning strategies, and barriers to saving.
Post-secondary education in Canada, which includes universities, colleges, and trade programs after high school, plays a pivotal role in career success amid a competitive job market. With tuition fees averaging around $7,000 to $10,000 annually for domestic undergraduates at public institutions, plus living costs, proactive planning is essential. The SAEP helps policymakers refine programs like the Canada Education Savings Program, fostering greater access to higher education.
By revealing decision-making processes, the survey underscores a growing awareness among families of the long-term benefits of higher education, such as improved employment prospects and higher earnings potential.
Rising Participation in Postsecondary Education Savings
In a promising trend, 71% of parents and guardians reported actively saving for their children's post-secondary education in 2025, marking a slight increase from 69% in 2020. This uptick reflects heightened financial literacy and recognition of escalating education costs amid inflation and housing pressures.
Among non-savers, 51% intend to begin saving later, indicating optimism but highlighting the need for early intervention. This shift signals stronger family commitment to funding university or college paths, potentially stabilizing enrollment at Canadian institutions like the University of Toronto or community colleges across provinces.
Savings vehicles vary, but the data emphasizes diversified approaches tailored to family circumstances, from formal plans to informal support mechanisms.
The Dominance of Registered Education Savings Plans (RESPs)
Registered Education Savings Plans (RESPs)—government-incentivized accounts where contributions grow tax-free and receive Canada Education Savings Grants (CESG) matching up to 20% on the first $2,500 annually—dominate family strategies. In 2025, 89% of families with savings utilized RESPs, up from 85% in 2020, showcasing their popularity due to incentives like the CESG and Canada Learning Bonds for low-income families.
Other options include 28% using child-named bank accounts or in-trust accounts, 28% Tax-Free Savings Accounts (TFSAs), 14% mutual funds, 12% Registered Retirement Savings Plans (RRSPs) via Lifelong Learning Plans, 3% Registered Disability Savings Plans (RDSPs), and 11% other investments. This diversification allows flexibility, but RESPs remain core for their grants, which can add thousands over time.
For higher education leaders, this trend means more students entering with financial backing, reducing dropout risks linked to debt.
Influence of Parental Education and Household Income on Savings
Savings rates starkly correlate with parental education levels. Only 44% of children whose parents hold a high school diploma or less have designated postsecondary funds, compared to 65% for trades certificates or college diplomas, and 79% for university degrees. This gap reflects not just resources but also familiarity with education's value.
Household income amplifies disparities: 91% in the highest quintile save, versus 52% in the lowest. Chart 1 from the release visualizes this gradient, urging targeted outreach to lower-income and less-educated families.
- Lowest quintile: 52% savings rate
- Middle quintiles: Gradual rise
- Highest quintile: 91% savings rate
Universities and colleges can address this through scholarships and financial literacy workshops, promoting equity in access.
Barriers Facing Families Not Yet Saving
Among the 29% not saving, primary hurdles include daily expenses absorbing all funds (54%), preference to cover costs directly upon enrollment (33%), and prioritizing debt repayment (27%). These reflect broader economic pressures like stagnant wages and inflation.
Step-by-step, families can overcome this: 1) Assess budget for small contributions; 2) Apply for CESG-eligible RESPs; 3) Leverage employer matching; 4) Explore provincial grants like B.C.'s StudentAid BC or Ontario's OSAP savings incentives.
Higher education institutions play a role by partnering with communities for awareness campaigns, ensuring diverse applicant pools.
Planned Financial Support Beyond Savings
Beyond savings, 64% of parents plan to contribute to tuition once post-secondary begins, 27% to loan repayments, 59% to free room and board (often home-based), and 17% via personal loans. This holistic support—equating to tens of thousands in value—eases transitions to college or university life.
In regional contexts, urban families in Toronto or Vancouver may emphasize housing aid amid high rents, while rural ones focus on transportation. Colleges like those in Alberta benefit from such backing, retaining students longer.
Read the full StatsCan SAEP 2025 releaseComparisons to 2020 and Evolving Trends
The 2025 results build on 2020's baseline, with savings rising 2 percentage points and RESP adoption by 4. This evolution aligns with post-pandemic recovery and policy pushes like enhanced CESG awareness. Future surveys will track income-savings links amid economic shifts.
| Metric | 2020 | 2025 |
|---|---|---|
| Overall Savings | 69% | 71% |
| RESP Usage | 85% | 89% |
These gains suggest maturing planning, vital as international student caps redirect focus to domestic enrollment.
Implications for Canadian Universities and Colleges
For higher education providers, the SAEP signals financially prepared cohorts, potentially boosting completion rates above the current 70% average. Institutions like UBC or Seneca College can tailor aid packages, emphasizing RESP-friendly programs. Explore faculty openings at higher-ed-jobs or rate professors via Rate My Professor.
Challenges persist for low-income access, prompting equity initiatives. Balanced views from stakeholders: parents seek affordability, educators value preparedness, policymakers aim for inclusivity.
Stakeholder Perspectives and Real-World Examples
Financial experts like TD's Sumaiya Bhula stress early budgeting: "No amount is too small." Case: A Calgary family starts $50/month RESP, gaining $10,000+ grants by university entry. Contrasts with debt-burdened non-savers highlight solutions like micro-savings apps.
University admins note stable funding via prepared students; colleges report higher retention. Multi-perspective: Indigenous families leverage RDSPs, immigrants tap TFSAs.
Photo by Sadia Afreen on Unsplash
Actionable Insights and Future Outlook
Families: Start RESPs today—open online, contribute consistently. Students: Discuss plans early. Institutions: Offer planning webinars.
- Budget: Allocate 5-10% income
- Grants: Maximize CESG
- Career alignment: Choose programs via higher ed career advice
Outlook: With trends upward, expect 75%+ savings by 2030, aiding PSE access amid job market demands. Check university jobs or Canada higher ed opportunities.
In conclusion, the StatsCan Educational Planning Survey 2025 illuminates proactive paths, positioning Canadian higher education for inclusive growth. For jobs, visit higher-ed-jobs; share experiences at rate-my-professor.
