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Thanks, here are details.
Canada Learning Bond( m) Y3 Z' ]/ a% C6 q$ S, L) S
The Federal Government, in the 2004 Budget, introduced the Canada Learning
* w# K6 G5 P$ w" e6 I0 M% TBond. The Bond is aimed at helping low-income families save for their children’s
; N! a R; y6 |) u; u; I" j) |post-secondary education pursuits. Beginning in 2004, each child born to lowincome% f0 t5 F. A* O+ e5 T' a
families, those earning $35,000 or less and who are also entitled to receive
& Y) l U( J( Z) ^) K' cthe National Child Benefit, will receive a $500 Canada Learning Bond.5 @% h; s1 J5 _0 T! @
Assuming a child remains qualified for the Canada Learning Bond, the child will% s' E, N: Q; _) v/ x u
continue to receive $100.00 in each subsequent year in Canada Learning Bond0 v' |' Z. A6 i. S, _7 u
installments. The Federal Government projects that the Canada Learning Bond will
+ o; c7 }. H1 U9 y7 Kcarry a cost of up to $85 million this year and up to 120,000 children will benefit
) J l2 X1 H# v4 P7 G2 Rfrom the program2. The government says a child living in a low-income household
/ v5 x$ s; U( I4 _, _could receive up to $2,000 for their education.& q! y1 R* W0 t6 a
Additionally, in terms of post-secondary education and low-income families, the ?5 d: `4 @# u$ m8 b" }) N. I# Y
government has introduced a new one-time grant of up to $3,000 for first-year8 Y/ |! ]7 `* B% E% O$ S! ?
students whose family income hovers around $35,000 or less a year.
+ t- Q# S* k! sAlberta Centennial Education Savings Plan Act4 k3 C y- C9 l6 R
During the 2004 Spring Sitting, the Alberta Government introduced and9 w$ k: @# Q/ x9 t r2 n
subsequently passed the Alberta Centennial Education Savings Plan Act. The. L( X1 R# X5 K
program created by the Act is available only to residents of Alberta who have
$ o* C$ u3 H% E7 p) y( F4 Zchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first) x$ @! }% r, b7 F! T+ A& x# z
glance, seems quite simple in scope but it does have many intricate details that,) k, j5 A/ L+ F) z% h; V5 `
once communicated, reveal a complicated program that relies on proactive parents
0 J( N5 V$ f' b: e0 K( H4 B& Zto absorb the full benefit of the program.
7 A! S W( n; s7 uAlberta residents, who have a baby born on January 1, 2005, or after, will be
) ]8 g& s9 g9 D6 B, b9 ?eligible for a $500.00 grant toward the baby’s established RESP. The grant will7 l3 Z" T# _; R$ _: Z
only be awarded if a RESP is established within the first year of the baby’s birth* X7 q) H' x0 c" Q3 z O
(though Alberta Learning is looking to extend this deadline to two years or, albeit
. q# L& _8 k' k: O n3 ~unlikely, extending the deadline until the baby has reached their first year of
: @0 p2 W% u1 w, E: Aschooling). Should a year elapse and the parents do not arrange an RESP account,
3 J: v" m* k% [+ v1 D% yfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent# i0 v8 Q' P, y; _4 |
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
9 j8 E* c0 Z1 ^those grants will require parents to provide matching dollars to qualify. These" O% v* I5 ~$ {2 u& t( |: m
grants are awarded with the same limitations and restrictions as the initial $500.00
0 n6 c$ F( g/ b6 x" ?* ggrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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