In British Columbia, Registered Education Savings Plans (RESPs) are treated differently from other assets in a Separation Agreement. This is because RESPs are considered trusts for the children, not family property. Below is an overview of how RESPs are typically addressed in a Separation Agreement:

RESPs are usually held in the name of one parent as the subscriber, though both parents may have contributed during the relationship. Since RESPs are meant for the children’s education, they are generally excluded from the division of property between spouses.

The Separation Agreement outlines how decisions about the RESP will be made, including:

The agreement may specify whether both parents will continue contributing to the RESP and how much each parent will contribute. If one parent cannot or will not contribute, the agreement may include alternative funding arrangements.

The agreement typically includes terms for how the RESP funds will be used, such as defining eligible expenses (e.g., tuition, books, living costs) and ensuring fair distribution of funds among all children if there are multiple beneficiaries.

If the subscriber parent is unwilling or unable to manage the RESP, the agreement can specify whether the other parent will be added as a joint subscriber, or whether the other parent will take over sole responsibility.

Note: Changes to subscribers require approval from the financial institution managing the RESP.

The subscriber retains control over the RESP, including claiming tax benefits and withdrawing funds. The agreement should clarify how withdrawals will be handled to ensure funds are used exclusively for the children’s education.

Since RESPs are for the children’s benefit, disputes over their use or management are typically resolved in a way that prioritizes the children’s educational needs. The agreement can include a mechanism to resolve future conflicts regarding the RESP.