Advisors Struggle With Rising College Costs and Planning

Financial planning for post-secondary education has grown into one of the most difficult tasks for advisors, as soaring expenses, evolving student priorities, and international opportunities reshape conventional strategies. The average yearly cost of attending university in Canada now reaches $30,862, RBC’s latest data shows—more than four times the $7,734 Statistics Canada reports for tuition fees alone. These totals exclude regional differences: U.S. public universities range from $25,000 to $45,000 annually, while private institutions or European programs can demand over $80,000 per year.

Timing Challenges and Flexibility

Advisors face more than just escalating prices—they must contend with timing. Most families lock in education plans during late high school, leaving little flexibility to adapt to tuition increases, curriculum changes, or the need for advanced degrees. Steve Rowley, a senior wealth advisor at Moyle Rowley Wealth Management Group, explains that clients often grapple with uncertainty. “When we’ve talked with our clients, our advice to them is to have that open mind and have maximum flexibility because you don’t know the path your children are going to take,” he says. “Is it going to be post-secondary school or is there going to be an opportunity to study abroad? Is that something that they’re interested in? That opens up a whole new level of considerations to make.”

Grant Moyle, also a senior advisor at the firm, highlights another trend: trade schools are becoming a preferred option as students and families compare the high cost of traditional degrees against AI’s potential to disrupt certain professions. Trade programs reduce living expenses by allowing students to stay at home, but advisors must still align these choices with long-term financial objectives. Moyle says that most clients will also set reasonable parameters around what their children want to study and the children’s responsibility in helping to cover the costs of that education.

RESP Overlooked Amid Rising Costs

Systemic barriers persist despite these shifts. Only 43% of Canadian parents and caregivers have an RESP for their children, according to the Canadian Financial Capability Survey. RESPs provide tax benefits but are frequently overlooked in favor of retirement or general savings accounts. Rowley argues that financial institutions downplay RESPs, prioritizing RRSPs or TFSAs instead, a mistake given that education costs are rising faster than general inflation.

Moyle says he prefers to include RESPs within their conversations about other registered accounts, the importance of building capital in the RESP from as early a stage as possible. “The inflationary environment in the education area itself is absolutely exceeding the inflation that we see everyday,” Moyle says. “Don’t fall behind… The industry needs to do a better job at letting people know that there are options for them in how that money’s invested. They can invest in their RESP and hold assets that will beat inflation, but it’s really important to have a conversation with an advisor to understand that.”

While advisors recommend provincial loan programs, scholarships, and grants to extend resources, the fundamental challenge remains: education planning demands balancing expectations, expenses, and unpredictability. The absence of early certainty forces families into reactive decision-making, leaving advisors to manage not only financial strategies but also emotional pressures. For the time being, the most essential guidance stays unchanged: begin saving as soon as possible, remain adaptable, and anticipate costs that will continue climbing.

Cross-Border Programs Add Complexity

International options further complicate planning. Programs in the U.S., Australia, or Europe often carry higher upfront costs but may offer shorter durations or specialized fields that align with career goals. Advisors must ensure that the institution qualifies for Registered Education Savings Plan (RESP) withdrawals.

Government policies play a role in easing the burden. Yet access to these benefits remains uneven, with lower-income families often unaware of eligibility requirements. Moyle stresses that advisors should proactively educate clients about all available tools, from tax-free savings accounts to employer-sponsored education assistance programs.

For advisors, the solution lies in a combination of early planning, diversified strategies, and open communication. Rowley recommends breaking down the total cost into annual contributions, factoring in inflation and potential scholarships.