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Thanks, here are details.
Canada Learning Bond F& z7 n% S- {& W* B2 \- z% L
The Federal Government, in the 2004 Budget, introduced the Canada Learning
& l1 T s. F3 a# ]5 r/ Q, fBond. The Bond is aimed at helping low-income families save for their children’s
+ x7 v0 S ^4 Q8 g! a; O" S1 \post-secondary education pursuits. Beginning in 2004, each child born to lowincome1 q4 Y7 c* |: W. ?* g! _: Y H. B
families, those earning $35,000 or less and who are also entitled to receive
' o5 t5 ~7 |0 F4 @* Xthe National Child Benefit, will receive a $500 Canada Learning Bond.
4 ~; X5 v$ p1 ^$ N( g7 e" UAssuming a child remains qualified for the Canada Learning Bond, the child will% B, b, g( o6 g5 i
continue to receive $100.00 in each subsequent year in Canada Learning Bond8 T A% x$ o- F- l% {! `8 X9 L3 n
installments. The Federal Government projects that the Canada Learning Bond will
0 R+ P# i! j( H8 @carry a cost of up to $85 million this year and up to 120,000 children will benefit
5 P; x0 e6 _4 f7 I+ B; x1 w2 Xfrom the program2. The government says a child living in a low-income household$ `$ o. Z- R, L9 p* q
could receive up to $2,000 for their education.2 ?3 h6 @7 ]7 e n5 H$ Z O
Additionally, in terms of post-secondary education and low-income families, the
" K6 t% ]' K( J0 {8 \government has introduced a new one-time grant of up to $3,000 for first-year
" O K# g6 |$ d8 Tstudents whose family income hovers around $35,000 or less a year.
9 `5 o ~; Z) D# r! _2 UAlberta Centennial Education Savings Plan Act
! X. M+ O/ }4 q/ wDuring the 2004 Spring Sitting, the Alberta Government introduced and
/ |$ }+ ]! _8 t4 Z o, ^5 psubsequently passed the Alberta Centennial Education Savings Plan Act. The& O5 c A; n! ^* C1 A) n8 e
program created by the Act is available only to residents of Alberta who have
/ T" o2 X) a& ~6 N2 d! u2 |children born after January 1, 2005 (Alberta’s Centennial). The program, at first
2 I( D, q! B, M6 Z8 G6 @! r6 \glance, seems quite simple in scope but it does have many intricate details that,
, r( N7 p- q8 i8 r9 M9 U& Yonce communicated, reveal a complicated program that relies on proactive parents
) r9 Q; Z; @- e: lto absorb the full benefit of the program.' a! X& T* P$ o0 w4 ]8 A7 m
Alberta residents, who have a baby born on January 1, 2005, or after, will be
$ H8 m" K5 X% o: f0 [ V9 Neligible for a $500.00 grant toward the baby’s established RESP. The grant will/ _# K) q/ S& \0 N+ D! k
only be awarded if a RESP is established within the first year of the baby’s birth
: c+ Q2 Z8 c6 K$ k(though Alberta Learning is looking to extend this deadline to two years or, albeit7 [7 T( U$ S9 a
unlikely, extending the deadline until the baby has reached their first year of2 n% R3 U2 T; Y; K+ _
schooling). Should a year elapse and the parents do not arrange an RESP account,
; p' ?- k5 v; M3 sfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent" j: h8 u8 |1 q5 [
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
% T: t: z- d0 W# j3 Sthose grants will require parents to provide matching dollars to qualify. These
2 S( n, G+ M& J1 _6 l" f8 X7 ~grants are awarded with the same limitations and restrictions as the initial $500.00
5 x1 a; `" v8 |grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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