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Thanks, here are details.
Canada Learning Bond: H; v4 Y. H8 ~
The Federal Government, in the 2004 Budget, introduced the Canada Learning
+ [! d5 ]! e$ A2 F, |4 p* uBond. The Bond is aimed at helping low-income families save for their children’s* W! B) Z) `* T4 ?
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
* N; d5 _! p3 r# jfamilies, those earning $35,000 or less and who are also entitled to receive
+ `' H/ m% K& C, [) x' P bthe National Child Benefit, will receive a $500 Canada Learning Bond.
6 m+ I9 Z3 @* @: j1 m- |Assuming a child remains qualified for the Canada Learning Bond, the child will/ U( i" E9 ]: w$ [! L2 B7 d
continue to receive $100.00 in each subsequent year in Canada Learning Bond4 ~% ~! w4 F: p# j H
installments. The Federal Government projects that the Canada Learning Bond will0 q4 k7 E1 L h2 n" d
carry a cost of up to $85 million this year and up to 120,000 children will benefit
% h: e0 t3 T6 @/ C8 N( _ Nfrom the program2. The government says a child living in a low-income household' ~) s4 z# R7 |* s
could receive up to $2,000 for their education.
- ]: Z/ C# b+ j' {( d8 Y+ F/ MAdditionally, in terms of post-secondary education and low-income families, the
) y1 I0 R( c* r+ ^0 igovernment has introduced a new one-time grant of up to $3,000 for first-year; X& J# k4 Z* s, k9 W) N! O
students whose family income hovers around $35,000 or less a year.
; F5 Y% K. Q7 i; kAlberta Centennial Education Savings Plan Act2 e t0 M1 J9 `) b G" D- z
During the 2004 Spring Sitting, the Alberta Government introduced and
: i4 k. C% y- H& S% _subsequently passed the Alberta Centennial Education Savings Plan Act. The
1 e6 _' k+ a0 Z. {program created by the Act is available only to residents of Alberta who have: G, A X) F/ s& t
children born after January 1, 2005 (Alberta’s Centennial). The program, at first
. a1 l9 w" V3 D* [glance, seems quite simple in scope but it does have many intricate details that,' T* R1 ^# j# @% W2 K
once communicated, reveal a complicated program that relies on proactive parents
! P; T2 l- j% ~2 q2 o" k8 D3 Bto absorb the full benefit of the program.! [, S' w; _! z5 I
Alberta residents, who have a baby born on January 1, 2005, or after, will be
: l& e* z# N( p1 R' I% oeligible for a $500.00 grant toward the baby’s established RESP. The grant will
( U E% e3 D( P! Z5 a9 Nonly be awarded if a RESP is established within the first year of the baby’s birth
8 L7 J! @ @; K. F6 {(though Alberta Learning is looking to extend this deadline to two years or, albeit! ]0 U/ @; y( ` s
unlikely, extending the deadline until the baby has reached their first year of
8 \7 F. H5 [- X6 V- ischooling). Should a year elapse and the parents do not arrange an RESP account,
, s2 Q4 R) D* r# Dfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent4 T0 L3 G1 w3 [* T5 P
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of( C1 t9 s5 c4 L9 ?5 S. \ e
those grants will require parents to provide matching dollars to qualify. These: N1 w4 H2 i% ?; k: O/ u
grants are awarded with the same limitations and restrictions as the initial $500.00. `. Q+ r. h, c9 s1 b4 N2 q
grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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