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Thanks, here are details.
Canada Learning Bond0 }9 N8 a" ?9 l( w
The Federal Government, in the 2004 Budget, introduced the Canada Learning
: A( s) q6 Q a+ v9 d; dBond. The Bond is aimed at helping low-income families save for their children’s
/ [3 Q" X: z( Q1 S/ M* Fpost-secondary education pursuits. Beginning in 2004, each child born to lowincome
i+ f) [7 d. {5 O: b' Mfamilies, those earning $35,000 or less and who are also entitled to receive
+ d- W' d1 u5 K" k" kthe National Child Benefit, will receive a $500 Canada Learning Bond.
0 a$ r1 R( x ]4 ?8 s; AAssuming a child remains qualified for the Canada Learning Bond, the child will/ |4 C5 e) u/ z+ H8 R6 e
continue to receive $100.00 in each subsequent year in Canada Learning Bond! t) ]- ^9 w! O# b: ?0 |2 n0 [! M
installments. The Federal Government projects that the Canada Learning Bond will
J: S* u6 C) W6 Pcarry a cost of up to $85 million this year and up to 120,000 children will benefit
% s2 ^9 D% j' x! _4 Dfrom the program2. The government says a child living in a low-income household
. S+ U& k3 e0 X, dcould receive up to $2,000 for their education.
# z" r3 ^* A3 l/ }9 k, v0 `5 i' ZAdditionally, in terms of post-secondary education and low-income families, the
* g9 [ I3 S# ]! S' l. ugovernment has introduced a new one-time grant of up to $3,000 for first-year$ q- F+ j2 f& g8 o1 a4 l: C
students whose family income hovers around $35,000 or less a year.: l1 ^5 ^% p1 ~1 c r
Alberta Centennial Education Savings Plan Act
/ K2 d# M w: j( D3 y' E* wDuring the 2004 Spring Sitting, the Alberta Government introduced and1 X" u* i: C8 v/ J
subsequently passed the Alberta Centennial Education Savings Plan Act. The
$ [; Y0 ^+ z ]8 S- W3 {, Uprogram created by the Act is available only to residents of Alberta who have7 T w( @/ j' s7 i$ L
children born after January 1, 2005 (Alberta’s Centennial). The program, at first8 r0 y/ b- K0 b% n `: x0 P
glance, seems quite simple in scope but it does have many intricate details that,7 P3 L/ I* G! y% J6 G6 z+ L2 q
once communicated, reveal a complicated program that relies on proactive parents
, `2 `' X9 A! a% M4 [: {to absorb the full benefit of the program.
; q" P4 p0 l# Z6 ]- h+ d0 aAlberta residents, who have a baby born on January 1, 2005, or after, will be
3 u3 w2 r# W* L* Z9 s) ], q) \eligible for a $500.00 grant toward the baby’s established RESP. The grant will# B- N% g0 } x% z
only be awarded if a RESP is established within the first year of the baby’s birth
2 y$ B/ z4 |2 g1 [. b. W3 l(though Alberta Learning is looking to extend this deadline to two years or, albeit
3 Y2 F |2 n4 t& Lunlikely, extending the deadline until the baby has reached their first year of, z0 s- A3 V2 Z* f' T3 }
schooling). Should a year elapse and the parents do not arrange an RESP account,
+ p' m! L4 m+ m" Lfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent
. p( h3 ^1 \$ u& e' W$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
- I' B3 r% O5 [8 Hthose grants will require parents to provide matching dollars to qualify. These, |( [/ a( e- d/ |9 x
grants are awarded with the same limitations and restrictions as the initial $500.00
+ p f9 E& P* j/ w; S, |1 xgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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