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Thanks, here are details.
Canada Learning Bond0 s) ]2 u' m( g4 `3 _5 i' j. I
The Federal Government, in the 2004 Budget, introduced the Canada Learning7 i5 d: {& f* u) X, P$ o
Bond. The Bond is aimed at helping low-income families save for their children’s+ i' s6 n$ c8 u6 w1 u8 H6 h+ ~
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
, ]7 u2 K" W9 ^8 E$ }) I# gfamilies, those earning $35,000 or less and who are also entitled to receive
: I2 K& M1 U" hthe National Child Benefit, will receive a $500 Canada Learning Bond.
2 R% H0 r6 @9 s, XAssuming a child remains qualified for the Canada Learning Bond, the child will
. E4 g1 r$ J* W6 N$ |: R6 Kcontinue to receive $100.00 in each subsequent year in Canada Learning Bond- X- ]6 Z8 r) W5 g. A
installments. The Federal Government projects that the Canada Learning Bond will
# e1 A( Z0 }3 R4 K, Mcarry a cost of up to $85 million this year and up to 120,000 children will benefit
: t4 r) d2 u. E6 dfrom the program2. The government says a child living in a low-income household
$ X1 c3 @8 P$ I- a9 r* T+ _- q- b" Ycould receive up to $2,000 for their education.0 T/ [6 J/ ?1 `2 J
Additionally, in terms of post-secondary education and low-income families, the7 f5 N) l* n" c
government has introduced a new one-time grant of up to $3,000 for first-year
+ g, u7 u" y9 W- O; ?students whose family income hovers around $35,000 or less a year.0 a% }$ X8 ~2 N/ r. f5 o- ?
Alberta Centennial Education Savings Plan Act* U+ A( h' Y1 W: V
During the 2004 Spring Sitting, the Alberta Government introduced and
M' M* [/ ^: u( Xsubsequently passed the Alberta Centennial Education Savings Plan Act. The2 x' o1 b: Z% n; g8 r
program created by the Act is available only to residents of Alberta who have5 l. H! Y( y& n8 h" v
children born after January 1, 2005 (Alberta’s Centennial). The program, at first
( z1 R4 u/ A( N% Rglance, seems quite simple in scope but it does have many intricate details that,
4 u! l9 f& g( N( X4 p: Nonce communicated, reveal a complicated program that relies on proactive parents7 Z. d, |6 g3 I Z( F& O$ F$ f! x
to absorb the full benefit of the program.
" s# i; X% g7 i" F2 z; {Alberta residents, who have a baby born on January 1, 2005, or after, will be
1 A$ s" N v7 \+ ~eligible for a $500.00 grant toward the baby’s established RESP. The grant will
k" x3 j8 v6 Q ~/ }; Bonly be awarded if a RESP is established within the first year of the baby’s birth1 ?6 L$ `+ K( J: S- c
(though Alberta Learning is looking to extend this deadline to two years or, albeit
& \* u, D6 g# X8 p0 punlikely, extending the deadline until the baby has reached their first year of$ _ \; f1 e: P* J
schooling). Should a year elapse and the parents do not arrange an RESP account,
6 i$ }0 F! {6 \! D2 xfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent
* i! P+ v! ?- s! M! \$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of# w4 N4 d/ E: P$ P$ w, x2 }4 C/ `
those grants will require parents to provide matching dollars to qualify. These
1 d9 d1 h9 Q6 P9 q- u9 xgrants are awarded with the same limitations and restrictions as the initial $500.00
) [# t' @5 p# F$ @- l8 W( n. E1 kgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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