A single RESP beneficiary, Mark, has accumulated $6,000 in Canada Education Savings Grants (CESG) over several years. What is the maximum amount of CESG he can receive in a single calendar year, assuming his parents contribute enough to maximize the grant?

Question: A single RESP beneficiary, Mark, has accumulated $6,000 in Canada Education Savings Grants (CESG) over several years. What is the maximum amount of CESG he can receive in a single calendar year, assuming his parents contribute enough to maximize the grant?

Answer options:

• $500
• $7,200 ✅ $1,000
• $600

Correct answer: $1,000

Explanation: The basic CESG provides 20% on the first $2,500 of annual contributions, up to $500 per year. However, if there is unused CESG room from previous years, beneficiaries can receive up to an additional $500 (total $1,000) in CESG in a single year, until the lifetime maximum is reached. Mark has unused room up to the lifetime limit of $7,200.