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Thanks, here are details.
Canada Learning Bond0 X/ P2 k/ S0 w- |& ?
The Federal Government, in the 2004 Budget, introduced the Canada Learning# v- {: e- _' S# q5 m$ Y
Bond. The Bond is aimed at helping low-income families save for their children’s
3 ]- ]9 Q I: v3 j% Wpost-secondary education pursuits. Beginning in 2004, each child born to lowincome
/ I: F. L$ j7 A6 C( t/ M" z2 K; dfamilies, those earning $35,000 or less and who are also entitled to receive
( }% z& Q: c) C) J+ U! othe National Child Benefit, will receive a $500 Canada Learning Bond.
$ k8 F& o. z% M! M0 LAssuming a child remains qualified for the Canada Learning Bond, the child will
* t3 @2 n* s) Ocontinue to receive $100.00 in each subsequent year in Canada Learning Bond
& M/ o( A) O1 }0 e, x4 i& e( v+ {installments. The Federal Government projects that the Canada Learning Bond will
2 h' a2 P O" a& `3 [/ u ^; ?carry a cost of up to $85 million this year and up to 120,000 children will benefit
+ a# Z, j [$ c7 l: h* Z8 v/ e1 Qfrom the program2. The government says a child living in a low-income household3 a, a- }% w& v6 _$ @! s- n+ z, [
could receive up to $2,000 for their education.. x5 a" g' ^) a" k- h
Additionally, in terms of post-secondary education and low-income families, the3 E5 k+ b# K3 F" G
government has introduced a new one-time grant of up to $3,000 for first-year
7 ?0 S2 b- M* R) Q( l# |students whose family income hovers around $35,000 or less a year.
2 i2 [0 l, G! X, J. Q8 ^+ rAlberta Centennial Education Savings Plan Act" l+ r* H3 k* h$ P2 U' D: i. S
During the 2004 Spring Sitting, the Alberta Government introduced and# U. q* c M: D$ A
subsequently passed the Alberta Centennial Education Savings Plan Act. The. ^# ]( s7 O# h9 \0 d
program created by the Act is available only to residents of Alberta who have! A- H, q. [) ^1 Z2 W& m% `
children born after January 1, 2005 (Alberta’s Centennial). The program, at first2 s7 C" l# S2 h" e" G% F' ~" P
glance, seems quite simple in scope but it does have many intricate details that,/ E1 S. ?# { X F, x+ u9 C
once communicated, reveal a complicated program that relies on proactive parents, o( m5 S5 u8 r% }$ H& m
to absorb the full benefit of the program.
6 O, G1 B. H, T8 Y+ Y, PAlberta residents, who have a baby born on January 1, 2005, or after, will be
2 P& R! W( Y+ f C4 S3 }eligible for a $500.00 grant toward the baby’s established RESP. The grant will0 P2 H# D/ g& P$ ]( ?
only be awarded if a RESP is established within the first year of the baby’s birth) m8 w% K# H7 m* J8 ?/ d
(though Alberta Learning is looking to extend this deadline to two years or, albeit
$ O/ u+ u6 U: r: H6 i( T3 U3 punlikely, extending the deadline until the baby has reached their first year of: v; S& f- k. m u. _, U" ~
schooling). Should a year elapse and the parents do not arrange an RESP account,
' K5 L$ \4 T! u. u/ C- D# ifor the baby, then the baby will not receive the $500.00 grant, period. Subsequent
; ?7 G% I, e# _$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
" K. G J: {" rthose grants will require parents to provide matching dollars to qualify. These
) z/ p5 j. M& K9 L. x$ Hgrants are awarded with the same limitations and restrictions as the initial $500.002 f6 P1 o/ j, j5 H! g4 X7 P/ K
grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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