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Thanks, here are details.
Canada Learning Bond1 T6 Y5 w/ }0 n+ n. d
The Federal Government, in the 2004 Budget, introduced the Canada Learning
3 `6 b V5 M2 ]. p6 ?% j. ]6 ?/ GBond. The Bond is aimed at helping low-income families save for their children’s1 H8 `$ N6 ]5 { ?
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
5 M2 ~" i4 t: F& b( @families, those earning $35,000 or less and who are also entitled to receive
( \, {8 ^" D' @ J; Rthe National Child Benefit, will receive a $500 Canada Learning Bond.
! [( ~. o' ]3 B: G" G. JAssuming a child remains qualified for the Canada Learning Bond, the child will! E% D! W0 y: j) c' V" q
continue to receive $100.00 in each subsequent year in Canada Learning Bond& J a0 f0 P% H0 A+ O6 n3 R" I
installments. The Federal Government projects that the Canada Learning Bond will
& v0 x; d; f4 }1 ]" Hcarry a cost of up to $85 million this year and up to 120,000 children will benefit$ N; s5 j# H7 f f) [
from the program2. The government says a child living in a low-income household3 Y! m1 K% Y: U l! _
could receive up to $2,000 for their education.
% _/ L3 H9 L; \; `+ UAdditionally, in terms of post-secondary education and low-income families, the* Z/ S! Z9 W2 f' L% x) P
government has introduced a new one-time grant of up to $3,000 for first-year, a# o" \* W! Z; b7 [
students whose family income hovers around $35,000 or less a year.0 N) d6 ~0 o: D/ R; m4 a* [
Alberta Centennial Education Savings Plan Act
1 R( j( K# ^ g! _! M% P, M0 DDuring the 2004 Spring Sitting, the Alberta Government introduced and9 N4 x9 k" R- O F
subsequently passed the Alberta Centennial Education Savings Plan Act. The
$ L# F# Q. o4 i3 dprogram created by the Act is available only to residents of Alberta who have4 ~5 O" E$ ]' N' P. y7 O
children born after January 1, 2005 (Alberta’s Centennial). The program, at first" u2 I5 [1 v w7 r! }
glance, seems quite simple in scope but it does have many intricate details that,6 g0 _! x& @$ V' @6 X# Z
once communicated, reveal a complicated program that relies on proactive parents0 l/ L& z. y6 g& F8 v
to absorb the full benefit of the program.! F* m6 m8 B# {: k9 {
Alberta residents, who have a baby born on January 1, 2005, or after, will be: u$ \$ @4 i! z d; y9 \; |, s& j
eligible for a $500.00 grant toward the baby’s established RESP. The grant will
8 F: \+ g4 p, K7 m0 \" m" x! ]only be awarded if a RESP is established within the first year of the baby’s birth
! v& x9 O; T7 C(though Alberta Learning is looking to extend this deadline to two years or, albeit5 o, C3 x- E% X# p- ]- |3 r
unlikely, extending the deadline until the baby has reached their first year of* t( K! d# ?, r/ B
schooling). Should a year elapse and the parents do not arrange an RESP account,& A$ |3 `% d, O
for the baby, then the baby will not receive the $500.00 grant, period. Subsequent
9 L# ]! I3 j! r& l+ Y* N, S$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
, ~6 u5 I3 H, x8 h9 b1 v$ w7 I9 qthose grants will require parents to provide matching dollars to qualify. These
: F0 k- T& Z% Y' }/ v+ ^grants are awarded with the same limitations and restrictions as the initial $500.001 T0 U* m( s4 Q3 g0 u/ z1 o' Y3 K
grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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