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Thanks, here are details.
Canada Learning Bond; U* ?' F' q3 X" H3 \2 W# A
The Federal Government, in the 2004 Budget, introduced the Canada Learning
" {8 C7 }+ B$ \& QBond. The Bond is aimed at helping low-income families save for their children’s
5 s1 k% A, w# M! p0 ~$ bpost-secondary education pursuits. Beginning in 2004, each child born to lowincome/ h% W; B2 [. {4 p
families, those earning $35,000 or less and who are also entitled to receive
- N* {* i E6 a5 v. cthe National Child Benefit, will receive a $500 Canada Learning Bond. g. ` m& ^4 F1 u
Assuming a child remains qualified for the Canada Learning Bond, the child will
7 p+ S- v# e% C" \1 dcontinue to receive $100.00 in each subsequent year in Canada Learning Bond# H) _1 O O4 f! ]1 K2 d1 D
installments. The Federal Government projects that the Canada Learning Bond will! U5 v* K6 X! c) L
carry a cost of up to $85 million this year and up to 120,000 children will benefit! d K$ U* m! r* N5 P0 f. v7 M
from the program2. The government says a child living in a low-income household3 j0 O, N; d+ T- n$ l
could receive up to $2,000 for their education.6 S7 |$ g6 ^/ g3 W/ H. c1 \
Additionally, in terms of post-secondary education and low-income families, the; Q4 x4 R. Q: ]" f0 G3 I) t8 k
government has introduced a new one-time grant of up to $3,000 for first-year
J4 S6 x1 ]" l; N2 ?students whose family income hovers around $35,000 or less a year.
0 `# f2 ^$ F3 ^$ T* NAlberta Centennial Education Savings Plan Act" W& G$ A1 _$ ?. r/ g
During the 2004 Spring Sitting, the Alberta Government introduced and
g; W0 G' `- asubsequently passed the Alberta Centennial Education Savings Plan Act. The
! L/ u9 ?- o8 eprogram created by the Act is available only to residents of Alberta who have
F9 k- _& t! F, @% H7 Nchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first" o/ t( B$ l3 d
glance, seems quite simple in scope but it does have many intricate details that,3 N1 u. O. `% l8 j6 E3 J
once communicated, reveal a complicated program that relies on proactive parents
% M8 m" S" b. R2 Eto absorb the full benefit of the program.' a5 p) q- S/ {0 S' t
Alberta residents, who have a baby born on January 1, 2005, or after, will be# g7 U8 @" r, c3 m+ j
eligible for a $500.00 grant toward the baby’s established RESP. The grant will
4 K: s7 D2 O+ A% H9 ?only be awarded if a RESP is established within the first year of the baby’s birth! \; j, n4 \& i+ a
(though Alberta Learning is looking to extend this deadline to two years or, albeit
! r3 M% @7 a% R ^. ^! I$ S1 r3 |8 ^unlikely, extending the deadline until the baby has reached their first year of
, l1 n' D' E# }. k! m* `schooling). Should a year elapse and the parents do not arrange an RESP account,
! b: J" w% a. S7 g" k/ Pfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent3 X4 K7 ~2 V u3 D3 o( w/ h
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of: p3 }6 X0 w! S
those grants will require parents to provide matching dollars to qualify. These
& C& `6 F7 L/ `+ Cgrants are awarded with the same limitations and restrictions as the initial $500.00$ J5 h" B6 e% l/ P# D/ B. z2 @
grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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