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Thanks, here are details.
Canada Learning Bond
, C0 Y) I0 \0 x Q( iThe Federal Government, in the 2004 Budget, introduced the Canada Learning; V% }) r" ^3 _6 x) u( @4 |1 P
Bond. The Bond is aimed at helping low-income families save for their children’s
$ o2 ^ V$ S7 l) s" E5 D' Dpost-secondary education pursuits. Beginning in 2004, each child born to lowincome) _) V7 d7 q, z6 R7 Z& u
families, those earning $35,000 or less and who are also entitled to receive @$ @* t6 o# z4 n7 Z/ g9 E
the National Child Benefit, will receive a $500 Canada Learning Bond.
& h; [4 q6 P% k6 nAssuming a child remains qualified for the Canada Learning Bond, the child will
. e, R6 t7 J4 u( s; g/ Mcontinue to receive $100.00 in each subsequent year in Canada Learning Bond
! F8 R9 d3 G9 {* Cinstallments. The Federal Government projects that the Canada Learning Bond will) c: p. m X5 a6 x" p. J6 U
carry a cost of up to $85 million this year and up to 120,000 children will benefit% G- j, W5 e" W& K2 T& o- }
from the program2. The government says a child living in a low-income household* f) l) }4 [$ t. P( K& h
could receive up to $2,000 for their education.. n" `& Y: o, Y. j! a% q2 L
Additionally, in terms of post-secondary education and low-income families, the
& ]# f! D8 K3 ~/ T8 Zgovernment has introduced a new one-time grant of up to $3,000 for first-year
6 l0 B( M, c0 t6 ]/ H* n' vstudents whose family income hovers around $35,000 or less a year.+ v" R" P- e* Q! G/ m$ D( r, _
Alberta Centennial Education Savings Plan Act+ S9 l `' T: g
During the 2004 Spring Sitting, the Alberta Government introduced and
. T6 o+ T9 k9 D% k0 u* y. ysubsequently passed the Alberta Centennial Education Savings Plan Act. The8 B8 u5 j" E$ |5 i- B. N
program created by the Act is available only to residents of Alberta who have# F& O9 P2 L, {9 t; I3 H8 I( b3 p' w3 e
children born after January 1, 2005 (Alberta’s Centennial). The program, at first
% y: L9 p3 x9 eglance, seems quite simple in scope but it does have many intricate details that,
% A7 ]: x) b$ J: ponce communicated, reveal a complicated program that relies on proactive parents
9 v7 k1 j0 c8 G$ W( Rto absorb the full benefit of the program.' n9 n9 u6 G' Y2 F: E
Alberta residents, who have a baby born on January 1, 2005, or after, will be
4 I% S. ?5 ^ P+ |9 @eligible for a $500.00 grant toward the baby’s established RESP. The grant will" V+ M5 G4 t2 G# M a0 n
only be awarded if a RESP is established within the first year of the baby’s birth* d% b D1 J6 x( K4 d( x" T
(though Alberta Learning is looking to extend this deadline to two years or, albeit
+ P' z$ h8 t5 N3 n! u/ A3 B8 Y: ?2 cunlikely, extending the deadline until the baby has reached their first year of
* `/ f9 h, _3 I3 R& R& rschooling). Should a year elapse and the parents do not arrange an RESP account,
# F [! Q: @* g6 D5 `( E) |+ Pfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent
/ A4 Y* {; K: d$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of. C& x/ W. ]2 m( l8 l' ]0 e- j
those grants will require parents to provide matching dollars to qualify. These, u! c7 l5 C& z' h
grants are awarded with the same limitations and restrictions as the initial $500.00
0 N% N* E f1 f( X; s; e% Rgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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