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Thanks, here are details.
Canada Learning Bond/ ?0 H! e: f9 ~. |: U; {7 w) d
The Federal Government, in the 2004 Budget, introduced the Canada Learning
/ ?3 t& y6 x9 [8 |Bond. The Bond is aimed at helping low-income families save for their children’s9 x2 a4 P0 F& d* w
post-secondary education pursuits. Beginning in 2004, each child born to lowincome9 o. C4 d% Y/ i3 l! {. s7 F1 r
families, those earning $35,000 or less and who are also entitled to receive% y% R# N1 h9 K) S
the National Child Benefit, will receive a $500 Canada Learning Bond.. ^3 ]" w( o* `/ t. w9 Z
Assuming a child remains qualified for the Canada Learning Bond, the child will
: L6 X3 u% q' i# d: J0 \5 ucontinue to receive $100.00 in each subsequent year in Canada Learning Bond
. ?, t2 B% U d2 V& }9 {3 Zinstallments. The Federal Government projects that the Canada Learning Bond will$ z$ r% r. h0 n3 P
carry a cost of up to $85 million this year and up to 120,000 children will benefit
# W F6 b$ p5 d! t; M( ?* n* K' vfrom the program2. The government says a child living in a low-income household$ s+ s4 p/ R, H7 }4 }5 w
could receive up to $2,000 for their education.
6 L" {1 {8 D' n6 ]* _Additionally, in terms of post-secondary education and low-income families, the
- x/ @4 e1 W; G. d% D7 T0 Cgovernment has introduced a new one-time grant of up to $3,000 for first-year
6 Y& ?; U9 t. Q4 @students whose family income hovers around $35,000 or less a year.. \1 O( j3 D" ?0 T9 Y& A" z( T
Alberta Centennial Education Savings Plan Act
3 Y7 k8 U6 Y x( a5 ADuring the 2004 Spring Sitting, the Alberta Government introduced and
1 M( ^) `: U' T. W( R& b, zsubsequently passed the Alberta Centennial Education Savings Plan Act. The4 H! u7 ?# k4 s5 p# P9 C
program created by the Act is available only to residents of Alberta who have
/ e N6 @+ T7 \% n4 x. nchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first- j' Y4 n5 v( m3 j) F
glance, seems quite simple in scope but it does have many intricate details that,5 d% D5 a2 W0 F1 q; @1 u
once communicated, reveal a complicated program that relies on proactive parents4 a; t1 h# \9 k) Q
to absorb the full benefit of the program.9 k0 h6 {2 J4 F7 H; t5 l
Alberta residents, who have a baby born on January 1, 2005, or after, will be( Q3 ~3 p' L9 [8 S6 n$ r! H
eligible for a $500.00 grant toward the baby’s established RESP. The grant will: b5 @% V9 O( w( T5 O8 K) t# u
only be awarded if a RESP is established within the first year of the baby’s birth' P- K6 S+ Q" ~7 p# i
(though Alberta Learning is looking to extend this deadline to two years or, albeit9 ^8 m2 w9 O5 |; c {
unlikely, extending the deadline until the baby has reached their first year of
' R4 O4 y; n$ l+ W lschooling). Should a year elapse and the parents do not arrange an RESP account,/ i) w `* }6 @9 n+ ]0 W }
for the baby, then the baby will not receive the $500.00 grant, period. Subsequent: K n! k, z& G/ G+ p% W! J ]
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of: c) ^- y; a0 E1 M9 w
those grants will require parents to provide matching dollars to qualify. These! Z8 H* s E6 }5 G6 _! I- _
grants are awarded with the same limitations and restrictions as the initial $500.00
* J1 c' @0 l8 E9 f# zgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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