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Thanks, here are details.
Canada Learning Bond
; t9 C1 q$ R: K- a6 l' d/ GThe Federal Government, in the 2004 Budget, introduced the Canada Learning' m# o' D9 P% p6 r0 V$ C- O
Bond. The Bond is aimed at helping low-income families save for their children’s6 Z9 Q" Y) R3 S! Z) I3 `. R: v( K- ?
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
* M% S7 ^9 Z- i; g9 f. Gfamilies, those earning $35,000 or less and who are also entitled to receive$ h ^. _, K( o w! ^
the National Child Benefit, will receive a $500 Canada Learning Bond.
' k4 I9 j& [* @Assuming a child remains qualified for the Canada Learning Bond, the child will. |% S1 c$ j a8 b
continue to receive $100.00 in each subsequent year in Canada Learning Bond
2 m; x0 g0 G" N! O) |, linstallments. The Federal Government projects that the Canada Learning Bond will
+ D' Z; y+ m% z, s/ bcarry a cost of up to $85 million this year and up to 120,000 children will benefit6 j" n7 w6 r. Q0 m' k- C9 p
from the program2. The government says a child living in a low-income household
. e' r; I- E5 H9 z& d3 ], n4 pcould receive up to $2,000 for their education./ n& o O. m, d! U1 @6 M& p' q2 a
Additionally, in terms of post-secondary education and low-income families, the8 a% J1 i3 U# b8 q- l
government has introduced a new one-time grant of up to $3,000 for first-year6 K/ U8 k- i- v+ Q, H
students whose family income hovers around $35,000 or less a year.
5 ?- \7 s3 X/ n: O. Z3 n0 ~6 {; V1 TAlberta Centennial Education Savings Plan Act
. A8 P% X6 Q" I/ {During the 2004 Spring Sitting, the Alberta Government introduced and: a( F. z2 @. C. a5 p
subsequently passed the Alberta Centennial Education Savings Plan Act. The
5 D% x7 Y4 s6 Q W) z! F2 iprogram created by the Act is available only to residents of Alberta who have# ~" K. C/ ~9 y: T% p4 l
children born after January 1, 2005 (Alberta’s Centennial). The program, at first: Q9 R' n ?# ~- C
glance, seems quite simple in scope but it does have many intricate details that,. b4 {1 C3 `& C/ ^
once communicated, reveal a complicated program that relies on proactive parents
, H6 P# V7 I. H! G$ `, Ato absorb the full benefit of the program.
5 q+ r3 h y4 [0 I1 uAlberta residents, who have a baby born on January 1, 2005, or after, will be1 O% _) D' |! C8 z- K; F1 v6 Y
eligible for a $500.00 grant toward the baby’s established RESP. The grant will" e4 W k2 ^2 D! F) Q
only be awarded if a RESP is established within the first year of the baby’s birth
( w) @+ A$ n/ S! l0 z(though Alberta Learning is looking to extend this deadline to two years or, albeit
- F* i, @: D- X! R( Aunlikely, extending the deadline until the baby has reached their first year of" ~2 o8 Z4 V T& u5 Q; M5 ~, ^) C
schooling). Should a year elapse and the parents do not arrange an RESP account,5 O5 t' i2 `7 _ [! _$ P
for the baby, then the baby will not receive the $500.00 grant, period. Subsequent
& ^1 W9 V5 E2 h6 V; E$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of( @2 @+ N& A2 e" T {! |
those grants will require parents to provide matching dollars to qualify. These
% E, F: T8 F% ^" w! kgrants are awarded with the same limitations and restrictions as the initial $500.00% w; [5 `4 ?" A* N) {. t3 w4 f
grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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