Section 3: Time value of money and its impact on family goals In your discussions, Amber and Joel determined some initial savings goals, which included their plan to save towards their retirement and children's university education. They intend to put this money in an account that will earn about 5.5% (with monthly compounding) every year, up to the time that their oldest child starts university. At nine years of age, their oldest child has nine years to go until university begins. The Smiths mentioned that they do not know anything about RESPs, so include a discussion on these to help them understand how RESPS work, along with the benefits of investing in them. Amber believes that it is important to have $100,000 saved before Luke starts university - will they be able to meet this goal? Is this goal realistic?