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Thanks, here are details.
Canada Learning Bond
$ j" Z# y) t5 x ]/ y: _8 S9 B5 PThe Federal Government, in the 2004 Budget, introduced the Canada Learning
( d F! i! w$ ]6 E( }+ ^( nBond. The Bond is aimed at helping low-income families save for their children’s0 O( w7 n' }( A
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
) U& }& z7 L, C" G6 F- {* a. jfamilies, those earning $35,000 or less and who are also entitled to receive
; N+ m8 n1 V0 A: cthe National Child Benefit, will receive a $500 Canada Learning Bond.& B0 s2 W( t' n9 T3 c9 Q
Assuming a child remains qualified for the Canada Learning Bond, the child will% A! y% N* S; b% K- R
continue to receive $100.00 in each subsequent year in Canada Learning Bond
, a$ h5 F1 a+ o+ dinstallments. The Federal Government projects that the Canada Learning Bond will
, n/ V( M8 i4 y$ h: J7 Hcarry a cost of up to $85 million this year and up to 120,000 children will benefit% o8 i' M7 R0 V9 H6 s) V, x
from the program2. The government says a child living in a low-income household. T8 @/ `0 p+ o# i
could receive up to $2,000 for their education.
. o2 c0 |, |5 vAdditionally, in terms of post-secondary education and low-income families, the, g! O( f/ _) n
government has introduced a new one-time grant of up to $3,000 for first-year
# m6 O! q1 j2 ~+ nstudents whose family income hovers around $35,000 or less a year.
$ v# W" ^6 O3 Y6 t# jAlberta Centennial Education Savings Plan Act3 i- n% h$ J6 a' ]' l' z
During the 2004 Spring Sitting, the Alberta Government introduced and# ]4 l! |7 L4 m- B$ o4 _+ m6 B
subsequently passed the Alberta Centennial Education Savings Plan Act. The
: \2 y( Y. f8 `' C4 N- Qprogram created by the Act is available only to residents of Alberta who have) I: F2 X1 n/ H2 D1 {) R
children born after January 1, 2005 (Alberta’s Centennial). The program, at first
. J! u$ z6 Z, w1 r3 p( Y& Vglance, seems quite simple in scope but it does have many intricate details that,
R7 k0 m6 q8 l ]5 e& _ {once communicated, reveal a complicated program that relies on proactive parents
- S* r% u. k3 T2 |( sto absorb the full benefit of the program.
' ]. ^; Z8 d* Q. A! L5 t% E) q/ {Alberta residents, who have a baby born on January 1, 2005, or after, will be' o$ t: X0 |5 V+ c3 v
eligible for a $500.00 grant toward the baby’s established RESP. The grant will
# Z7 G9 ^$ P/ W4 {- \only be awarded if a RESP is established within the first year of the baby’s birth
4 h# A. Y4 m. x5 F- Z7 C(though Alberta Learning is looking to extend this deadline to two years or, albeit' I2 g# A2 Q b9 h$ \$ r
unlikely, extending the deadline until the baby has reached their first year of
, O& h3 q! K# t7 p! Kschooling). Should a year elapse and the parents do not arrange an RESP account,
8 C5 d0 X9 z3 K. a Z7 }for the baby, then the baby will not receive the $500.00 grant, period. Subsequent
& \$ K; ^3 X+ J$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of( z w6 b* d }9 l
those grants will require parents to provide matching dollars to qualify. These
1 ]1 F3 Z5 }( w( }grants are awarded with the same limitations and restrictions as the initial $500.00
& F$ f. M# k; M# |- Egrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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