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Thanks, here are details.
Canada Learning Bond
3 i, m1 o4 g- d( Y9 }( sThe Federal Government, in the 2004 Budget, introduced the Canada Learning: S% T2 `1 z8 A! W# M# n
Bond. The Bond is aimed at helping low-income families save for their children’s
: u J' |4 @/ \" m* f# {post-secondary education pursuits. Beginning in 2004, each child born to lowincome
3 D- A3 u/ A: }8 c5 gfamilies, those earning $35,000 or less and who are also entitled to receive
& B" c' v% b) `7 cthe National Child Benefit, will receive a $500 Canada Learning Bond.
) [) k& d. D% T! E2 gAssuming a child remains qualified for the Canada Learning Bond, the child will/ Z7 n# Z Y& _( b
continue to receive $100.00 in each subsequent year in Canada Learning Bond
& O6 I: R, x0 A/ y* Einstallments. The Federal Government projects that the Canada Learning Bond will
0 u2 R* N0 \( ?) b/ }carry a cost of up to $85 million this year and up to 120,000 children will benefit
, e" o: e+ J( L5 ?/ _: zfrom the program2. The government says a child living in a low-income household
/ a4 @6 d& u2 B% ^could receive up to $2,000 for their education.$ H* Y- |( r5 V; O3 Z
Additionally, in terms of post-secondary education and low-income families, the/ c; O& }9 I i6 ]' |. @8 L
government has introduced a new one-time grant of up to $3,000 for first-year
" s% n: a( R7 m# R3 j( ]8 s; Ustudents whose family income hovers around $35,000 or less a year.
* B/ x9 T k* Q+ P% Q5 _Alberta Centennial Education Savings Plan Act
3 U4 e# {/ P6 n1 uDuring the 2004 Spring Sitting, the Alberta Government introduced and6 q; @" s$ Q$ L$ t+ s7 m; Y$ g
subsequently passed the Alberta Centennial Education Savings Plan Act. The
/ K! H# Z& R) `2 S5 z! `program created by the Act is available only to residents of Alberta who have
/ L- A$ J( z9 ^( b6 H3 xchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first
- r b- A2 X: Rglance, seems quite simple in scope but it does have many intricate details that,# P; v- a# Z" ^ J! K
once communicated, reveal a complicated program that relies on proactive parents( V" D, E5 `! S/ Q3 ?2 i
to absorb the full benefit of the program.
* i9 G7 j: A* j8 y1 P; D8 TAlberta residents, who have a baby born on January 1, 2005, or after, will be
" a3 [' R$ b7 p0 b+ heligible for a $500.00 grant toward the baby’s established RESP. The grant will
4 |+ O5 S) A2 ^3 vonly be awarded if a RESP is established within the first year of the baby’s birth
8 r, i$ c. R9 r6 k `(though Alberta Learning is looking to extend this deadline to two years or, albeit
( l9 x; ~% z) E2 e0 h2 Q- L8 _unlikely, extending the deadline until the baby has reached their first year of
* p; T( t( [. G" c1 T! i) U/ C" mschooling). Should a year elapse and the parents do not arrange an RESP account,
9 i' u V+ [0 v. ]+ o' _for the baby, then the baby will not receive the $500.00 grant, period. Subsequent, ]6 j5 M6 m9 q
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of6 i+ C5 D" `* D7 U( g- x4 Q
those grants will require parents to provide matching dollars to qualify. These8 q1 `6 Z' y) q( V0 t' V
grants are awarded with the same limitations and restrictions as the initial $500.00
* t* k1 \# v+ ^* i6 o: Ygrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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