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Thanks, here are details.
Canada Learning Bond0 r* n, `, v3 v! @. Y# V: h
The Federal Government, in the 2004 Budget, introduced the Canada Learning
' m+ o" {" Q9 q! cBond. The Bond is aimed at helping low-income families save for their children’s1 R, _+ ^; f0 w) W3 t
post-secondary education pursuits. Beginning in 2004, each child born to lowincome+ ^ @, l( R* M8 X$ `, P3 H
families, those earning $35,000 or less and who are also entitled to receive3 y% }) s) U* d& ?
the National Child Benefit, will receive a $500 Canada Learning Bond.
5 B* X1 @8 Q/ Y5 Q) ~Assuming a child remains qualified for the Canada Learning Bond, the child will& g U; s: }: S7 |& O
continue to receive $100.00 in each subsequent year in Canada Learning Bond% x7 x8 f$ x$ b" @9 e, H
installments. The Federal Government projects that the Canada Learning Bond will
; X: G: J( J" Icarry a cost of up to $85 million this year and up to 120,000 children will benefit' A+ w% U0 |! H% ^' V4 P7 e' f
from the program2. The government says a child living in a low-income household, H3 [' x# f/ K& q0 t1 j
could receive up to $2,000 for their education.- h9 G4 N8 o, S! P1 i( d) ~
Additionally, in terms of post-secondary education and low-income families, the8 d4 ~4 k& b; e9 _ d( Z# d) E9 I
government has introduced a new one-time grant of up to $3,000 for first-year
2 r5 Z! X$ b: s/ M4 _students whose family income hovers around $35,000 or less a year.
( w# b+ L. t, t% }# YAlberta Centennial Education Savings Plan Act
7 c& ~& K; Y! @' K# ZDuring the 2004 Spring Sitting, the Alberta Government introduced and
4 O0 T! x7 D/ O1 N3 `subsequently passed the Alberta Centennial Education Savings Plan Act. The
+ Y; k" H9 k% l e8 ~0 u: _program created by the Act is available only to residents of Alberta who have
" b$ I3 S6 a. R0 ]( e6 C+ s- Ichildren born after January 1, 2005 (Alberta’s Centennial). The program, at first
# B4 \% [# I1 e! |; L$ Jglance, seems quite simple in scope but it does have many intricate details that,
/ t! T6 Y3 L, s, honce communicated, reveal a complicated program that relies on proactive parents
+ U/ @% g8 F; X# m# U, D1 z5 kto absorb the full benefit of the program.: N7 n1 W9 }/ p7 N
Alberta residents, who have a baby born on January 1, 2005, or after, will be% k: h! [3 O+ ?4 @
eligible for a $500.00 grant toward the baby’s established RESP. The grant will
3 r1 _7 B, `0 B) d! l% r. tonly be awarded if a RESP is established within the first year of the baby’s birth
$ P. k4 t. t, \& w4 h9 |2 ~6 D(though Alberta Learning is looking to extend this deadline to two years or, albeit
1 k" g5 y4 _; z/ k" R. i( u' G% v2 Punlikely, extending the deadline until the baby has reached their first year of
6 P2 {: ]( J7 z6 }4 }schooling). Should a year elapse and the parents do not arrange an RESP account,
# ?& p4 h, F& O) kfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent: M5 u; z8 s7 Q. B: r) T. {
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of) T1 m2 x7 [: Q
those grants will require parents to provide matching dollars to qualify. These) T3 e5 W- i: ~; P8 g
grants are awarded with the same limitations and restrictions as the initial $500.00
" f* J8 z$ F% q; Dgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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