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Thanks, here are details.
Canada Learning Bond O; l+ I: {! L. t
The Federal Government, in the 2004 Budget, introduced the Canada Learning: V( \3 o+ A0 p! e- I6 @* O& H. K8 q
Bond. The Bond is aimed at helping low-income families save for their children’s
4 T: t8 s1 B* M" X6 P+ n/ Wpost-secondary education pursuits. Beginning in 2004, each child born to lowincome
4 \* N. q& @; H5 p+ E* ]families, those earning $35,000 or less and who are also entitled to receive
; O/ j/ R* B# @8 rthe National Child Benefit, will receive a $500 Canada Learning Bond." h! F) C, k. c7 J
Assuming a child remains qualified for the Canada Learning Bond, the child will$ v! I; Z# F* W6 x" t+ G' X. n6 J
continue to receive $100.00 in each subsequent year in Canada Learning Bond
3 s" r" j# X" y, I/ qinstallments. The Federal Government projects that the Canada Learning Bond will
' B8 u2 O) Z+ J2 X$ z/ c; Y, l s0 Dcarry a cost of up to $85 million this year and up to 120,000 children will benefit5 k$ `- s4 S& l* m* w9 C: R) _
from the program2. The government says a child living in a low-income household
4 [1 @' j; i) P n' f6 Xcould receive up to $2,000 for their education." p: r- Y# r1 `: b
Additionally, in terms of post-secondary education and low-income families, the
/ L8 M- H; h: f1 h5 H( U! F& |government has introduced a new one-time grant of up to $3,000 for first-year
8 |1 {9 }4 j2 \1 t8 `students whose family income hovers around $35,000 or less a year.9 @3 d- o+ t( {) H
Alberta Centennial Education Savings Plan Act& y2 R9 _* }2 h" T
During the 2004 Spring Sitting, the Alberta Government introduced and
/ t. W/ a1 n# U0 Z6 U) O, Usubsequently passed the Alberta Centennial Education Savings Plan Act. The
; S T# J+ K4 v( Gprogram created by the Act is available only to residents of Alberta who have1 z$ E. O+ f( l+ T
children born after January 1, 2005 (Alberta’s Centennial). The program, at first
4 v$ o0 y0 H7 j- ~& Fglance, seems quite simple in scope but it does have many intricate details that,. C5 s0 R7 Y/ M }7 C
once communicated, reveal a complicated program that relies on proactive parents, C# l0 _% V {
to absorb the full benefit of the program.
2 y5 g0 h) k! c* ~# ], I8 t" E. m# Z+ ]Alberta residents, who have a baby born on January 1, 2005, or after, will be4 n g: A5 M5 k' ]
eligible for a $500.00 grant toward the baby’s established RESP. The grant will& a+ l7 ^8 S' U. d' ]& T
only be awarded if a RESP is established within the first year of the baby’s birth( `5 s$ O# {) q% R% p
(though Alberta Learning is looking to extend this deadline to two years or, albeit
" j- x" y8 K& b6 P1 U0 R0 Punlikely, extending the deadline until the baby has reached their first year of
. y4 p$ y( Y. W8 kschooling). Should a year elapse and the parents do not arrange an RESP account,
, F: L# ~0 b. f) o& U& O$ ]for the baby, then the baby will not receive the $500.00 grant, period. Subsequent
% \2 {9 |" t# |9 K/ ^% u4 l r S$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
! A, j# q1 b# A, `1 r* Nthose grants will require parents to provide matching dollars to qualify. These, M& L+ \& L* r( b0 e
grants are awarded with the same limitations and restrictions as the initial $500.00
" }- v5 J/ ?# _! w: bgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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