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Thanks, here are details.
Canada Learning Bond9 F- B! S N5 d: P A* N; R9 Y3 K
The Federal Government, in the 2004 Budget, introduced the Canada Learning
* c4 j- W I8 J: }6 \Bond. The Bond is aimed at helping low-income families save for their children’s
6 V5 Q! [% m, F2 o6 `post-secondary education pursuits. Beginning in 2004, each child born to lowincome
! W# C' E r& \4 C( s. Ufamilies, those earning $35,000 or less and who are also entitled to receive
; \$ k l/ W: Gthe National Child Benefit, will receive a $500 Canada Learning Bond.
' G) m8 @7 Y5 h' L7 |( m4 U: pAssuming a child remains qualified for the Canada Learning Bond, the child will, B/ [' }; F/ \6 H% c. o% K
continue to receive $100.00 in each subsequent year in Canada Learning Bond
- k' S8 V6 X/ R7 {. Einstallments. The Federal Government projects that the Canada Learning Bond will
6 \) F1 E. k# \7 q# Ecarry a cost of up to $85 million this year and up to 120,000 children will benefit
# {/ Y1 N( ?4 Mfrom the program2. The government says a child living in a low-income household$ u9 p3 D& o" S; S/ L
could receive up to $2,000 for their education.( r, T! T- E. a5 e
Additionally, in terms of post-secondary education and low-income families, the: j( j5 e" Y3 x; `* H
government has introduced a new one-time grant of up to $3,000 for first-year
p( L" t. i4 U4 X9 U+ `8 dstudents whose family income hovers around $35,000 or less a year.: n0 A, {, d4 C. M3 b" e# _
Alberta Centennial Education Savings Plan Act
& l3 F- O9 R, u% Q* u& DDuring the 2004 Spring Sitting, the Alberta Government introduced and/ x; C; z) O: b3 ^& [
subsequently passed the Alberta Centennial Education Savings Plan Act. The* N& k0 n& l# Y! ~4 ]" z! q- @
program created by the Act is available only to residents of Alberta who have
6 }0 o2 y; ]$ y: {/ Xchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first; Z9 @+ V4 M* M9 t& o
glance, seems quite simple in scope but it does have many intricate details that,
; R& U0 L/ _: b/ zonce communicated, reveal a complicated program that relies on proactive parents
+ |# c' l8 R" `# T1 }to absorb the full benefit of the program.( B' s: P& G4 l! M. I9 I
Alberta residents, who have a baby born on January 1, 2005, or after, will be; e6 j1 c5 v+ L( i9 M; N$ a, A; r0 ~
eligible for a $500.00 grant toward the baby’s established RESP. The grant will% L3 b& t( S" i0 |- A
only be awarded if a RESP is established within the first year of the baby’s birth
3 p* [0 [, Q0 N9 B$ q; d' m(though Alberta Learning is looking to extend this deadline to two years or, albeit6 X, ]/ r4 c3 f9 U
unlikely, extending the deadline until the baby has reached their first year of
0 Q- T: C- I; j0 S oschooling). Should a year elapse and the parents do not arrange an RESP account,4 m/ F1 y6 r- X& f- [) I( }, K
for the baby, then the baby will not receive the $500.00 grant, period. Subsequent! n- K8 [8 N3 y2 ~4 f
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
3 _7 o& I4 k6 zthose grants will require parents to provide matching dollars to qualify. These6 q$ i" M/ b! O# F7 N4 b0 E3 ^# L
grants are awarded with the same limitations and restrictions as the initial $500.00
9 d( V# f, W6 t7 s) Kgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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