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Thanks, here are details.
Canada Learning Bond t; T9 s( g s9 z1 v( {: R
The Federal Government, in the 2004 Budget, introduced the Canada Learning- [- | E! U# c( y5 o- f
Bond. The Bond is aimed at helping low-income families save for their children’s; {$ X4 N4 r. r9 A
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
* d) y Z+ {1 O0 e8 X9 t% l( c0 {9 ]8 ~families, those earning $35,000 or less and who are also entitled to receive: b/ M% H: k, Q0 v l, z
the National Child Benefit, will receive a $500 Canada Learning Bond.- M8 {1 M9 w7 K8 O9 Y; U: w" x* R
Assuming a child remains qualified for the Canada Learning Bond, the child will
1 G- i* L# y4 g' C, fcontinue to receive $100.00 in each subsequent year in Canada Learning Bond% B: h$ W& ]- p/ ?" j3 x
installments. The Federal Government projects that the Canada Learning Bond will
0 U/ G3 M0 A% pcarry a cost of up to $85 million this year and up to 120,000 children will benefit
6 @6 N; M- Z7 \% B: i' Ifrom the program2. The government says a child living in a low-income household& ~" q6 N5 m" J7 K& g) m& ^3 S
could receive up to $2,000 for their education.6 v; O. R5 P" j( r
Additionally, in terms of post-secondary education and low-income families, the0 r5 j( P# X n, Q3 `# h) e) H5 i
government has introduced a new one-time grant of up to $3,000 for first-year
: \0 I7 p6 Z/ G: X6 X0 W6 Dstudents whose family income hovers around $35,000 or less a year.
+ [% t) M( ?! w M" zAlberta Centennial Education Savings Plan Act
* ]1 K b: P" ADuring the 2004 Spring Sitting, the Alberta Government introduced and
3 i. p H7 c: e% ]% Q2 msubsequently passed the Alberta Centennial Education Savings Plan Act. The
: E- h& ?6 d# \7 R9 xprogram created by the Act is available only to residents of Alberta who have
% B4 R0 e% u& X" J* xchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first$ z. T# b% l+ W* r+ U& t
glance, seems quite simple in scope but it does have many intricate details that," J6 d+ |. n+ W' i% ~" q
once communicated, reveal a complicated program that relies on proactive parents
2 K- X2 t _; S9 _0 Vto absorb the full benefit of the program.# _2 }, p1 H3 O! v; c, Z. T
Alberta residents, who have a baby born on January 1, 2005, or after, will be9 q6 y4 ]5 [" z& a
eligible for a $500.00 grant toward the baby’s established RESP. The grant will" N5 Z! a: [; ?' h
only be awarded if a RESP is established within the first year of the baby’s birth
2 X2 C5 p/ @ C- p' G2 }9 d$ ~(though Alberta Learning is looking to extend this deadline to two years or, albeit; U7 B0 V0 H; Y' i* B% k# B/ t: r1 A
unlikely, extending the deadline until the baby has reached their first year of
; ]" [2 E' Z( Ischooling). Should a year elapse and the parents do not arrange an RESP account,
+ L& |" i! r3 x' m7 {for the baby, then the baby will not receive the $500.00 grant, period. Subsequent
" U8 [1 C& ?# z$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of3 R3 c; D+ V8 B
those grants will require parents to provide matching dollars to qualify. These6 l0 I$ U7 f: n: R9 ^* \- V7 x: ^
grants are awarded with the same limitations and restrictions as the initial $500.00
1 p* D* g6 \: f/ q- ~" v% E- Bgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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