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Thanks, here are details.
Canada Learning Bond8 d2 z# X9 p- M. G2 T0 A4 K! x9 ?
The Federal Government, in the 2004 Budget, introduced the Canada Learning( N# z, |5 O) @, l- T! P7 D$ R
Bond. The Bond is aimed at helping low-income families save for their children’s" {4 g4 T; I% x1 K/ U
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
5 K1 @$ X S# R& U8 B. Xfamilies, those earning $35,000 or less and who are also entitled to receive$ N8 d; r' _" H/ ~; z4 J
the National Child Benefit, will receive a $500 Canada Learning Bond.. Q2 }* [$ P5 C- E
Assuming a child remains qualified for the Canada Learning Bond, the child will# I/ ~5 @) y# F2 b
continue to receive $100.00 in each subsequent year in Canada Learning Bond
|$ T' R$ O+ y( Xinstallments. The Federal Government projects that the Canada Learning Bond will
7 {$ q/ v7 e( T4 Xcarry a cost of up to $85 million this year and up to 120,000 children will benefit! H S% o- V% N1 ~
from the program2. The government says a child living in a low-income household
' {4 s" M4 w2 n& Bcould receive up to $2,000 for their education.. ?" V6 i/ S0 k! r
Additionally, in terms of post-secondary education and low-income families, the; h6 h6 A8 Y. u* A$ L5 b9 u; K
government has introduced a new one-time grant of up to $3,000 for first-year
& ~- m7 }2 m: v6 d2 ^0 Pstudents whose family income hovers around $35,000 or less a year.
/ Z x4 f5 H+ ]; f6 e) r2 u! cAlberta Centennial Education Savings Plan Act5 d' H" N/ x) H8 O! H, |
During the 2004 Spring Sitting, the Alberta Government introduced and$ [3 ?! U0 ~/ N
subsequently passed the Alberta Centennial Education Savings Plan Act. The
3 O% f r+ S! I& T& Iprogram created by the Act is available only to residents of Alberta who have
6 y) E" O- Q- Y: V( L/ j2 g! xchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first
% I) [: d- _% t) f! `- Fglance, seems quite simple in scope but it does have many intricate details that,5 I" u! c5 C& h/ C i: s' B/ o
once communicated, reveal a complicated program that relies on proactive parents; A8 H2 j+ g) p! k$ A
to absorb the full benefit of the program.
; W3 }6 r" I8 Y3 Z# ^Alberta residents, who have a baby born on January 1, 2005, or after, will be3 e5 t1 @4 g) f. [! q0 F, w
eligible for a $500.00 grant toward the baby’s established RESP. The grant will
" L, M' S7 q5 ]! L0 n& M( Qonly be awarded if a RESP is established within the first year of the baby’s birth% ^# L# n# g6 F+ A8 W
(though Alberta Learning is looking to extend this deadline to two years or, albeit+ \2 r. M5 } {/ I4 F
unlikely, extending the deadline until the baby has reached their first year of4 y, ^' W' ]- t' o
schooling). Should a year elapse and the parents do not arrange an RESP account,. \3 k. s) ^5 A2 o
for the baby, then the baby will not receive the $500.00 grant, period. Subsequent; A2 m3 m, T% m6 E5 C* ^# Q; X
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of1 U, c/ z$ F" D) q* C' l
those grants will require parents to provide matching dollars to qualify. These) @* n& s$ B, }/ [ V. c
grants are awarded with the same limitations and restrictions as the initial $500.00
' A9 o1 V0 {3 i' i. W, F3 Sgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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