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Thanks, here are details.
Canada Learning Bond" p! M! I- h" m
The Federal Government, in the 2004 Budget, introduced the Canada Learning
) F! j& P% r# \$ ^$ n7 _) [9 HBond. The Bond is aimed at helping low-income families save for their children’s
8 U2 M( ^# a; Q. p# xpost-secondary education pursuits. Beginning in 2004, each child born to lowincome
; O* G M; I: U3 {) e' g7 N! Efamilies, those earning $35,000 or less and who are also entitled to receive
0 G3 q9 t& R6 U6 s6 q: Cthe National Child Benefit, will receive a $500 Canada Learning Bond.$ ~3 @& L. v9 Y/ [% _
Assuming a child remains qualified for the Canada Learning Bond, the child will; Y; a3 W2 ]9 ]; J! ~8 p
continue to receive $100.00 in each subsequent year in Canada Learning Bond
+ }! c V1 y6 c, N# c0 hinstallments. The Federal Government projects that the Canada Learning Bond will
. R9 _! ]) F, I+ {carry a cost of up to $85 million this year and up to 120,000 children will benefit( U5 J- y1 k+ ^ l V$ K. r7 }
from the program2. The government says a child living in a low-income household0 _/ @4 M R+ ^% ~9 d3 N% @& ^" @
could receive up to $2,000 for their education.% Q1 f: a( }) [4 ]0 h2 A- m; d
Additionally, in terms of post-secondary education and low-income families, the
( v$ v: _+ k! D# y# {1 u# wgovernment has introduced a new one-time grant of up to $3,000 for first-year
+ a* U/ R: [) W6 m- a+ F3 lstudents whose family income hovers around $35,000 or less a year.
6 V, x6 J: X+ VAlberta Centennial Education Savings Plan Act6 D6 Z9 p1 s5 U, U; w: a9 ]# w
During the 2004 Spring Sitting, the Alberta Government introduced and. H& _9 j+ G. p& C6 q% i3 V7 {
subsequently passed the Alberta Centennial Education Savings Plan Act. The1 G0 i. ]- `1 v" U
program created by the Act is available only to residents of Alberta who have
2 h! c+ V C) Pchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first
' K( U4 z2 x8 O; W' eglance, seems quite simple in scope but it does have many intricate details that,, ~% x7 z) Q9 R! W3 o5 s% W3 D
once communicated, reveal a complicated program that relies on proactive parents$ C- v& G6 Q5 J, g! G* e
to absorb the full benefit of the program.
; V: ^8 r& _6 u, TAlberta residents, who have a baby born on January 1, 2005, or after, will be6 q. D6 p) K% e: r+ N
eligible for a $500.00 grant toward the baby’s established RESP. The grant will: ]1 F j% N5 L
only be awarded if a RESP is established within the first year of the baby’s birth
, c m' u9 |: O(though Alberta Learning is looking to extend this deadline to two years or, albeit3 O5 A. v5 o" \" y! P
unlikely, extending the deadline until the baby has reached their first year of
% `# [# p7 G) y: r1 yschooling). Should a year elapse and the parents do not arrange an RESP account,
1 s+ y' T: w2 P. j/ i3 vfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent* ~/ I2 ] h6 i* U& s
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
5 U& t+ f) N5 [/ x0 h9 rthose grants will require parents to provide matching dollars to qualify. These+ R0 B) a; A N# s
grants are awarded with the same limitations and restrictions as the initial $500.00
2 ]% W& N6 u- _) f% [% b' ggrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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