Families have asked about the ability to rollover an Registered Education Savings Plan to a Registered Disability Savings Plan almost since the RDSP was launched. I’ve always assumed that it made sense to create such a provision. Today I crunched a few numbers to better understand the implications of closing up an RESP and opening an RDSP as a first step to designing a rollover mechanism to propose to the federal government. My analysis was surprising – there is almost nothing lost in closing an RESP and opening an RDSP – so why would we want a rollover mechanism?
I’m very interested in your thoughts. Do we need a rollover mechanism?