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Thanks, here are details.
Canada Learning Bond$ r+ K4 s8 P6 \' s
The Federal Government, in the 2004 Budget, introduced the Canada Learning
; x, f9 n) ^% ~/ V$ pBond. The Bond is aimed at helping low-income families save for their children’s. d* L6 O% x! A, s
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
+ d+ I; ^+ o2 X% |4 a, T- C8 F1 tfamilies, those earning $35,000 or less and who are also entitled to receive- s! c8 v$ y/ |7 m* ]
the National Child Benefit, will receive a $500 Canada Learning Bond.
+ N9 N0 I% b" LAssuming a child remains qualified for the Canada Learning Bond, the child will
8 ~( R l8 G8 K& O! V. |' S0 B @) Jcontinue to receive $100.00 in each subsequent year in Canada Learning Bond3 a: u3 O: F7 _* x$ y' [' D9 q
installments. The Federal Government projects that the Canada Learning Bond will
$ @; D( p7 W$ P6 |8 Vcarry a cost of up to $85 million this year and up to 120,000 children will benefit1 T* \9 i2 T) H0 T# E
from the program2. The government says a child living in a low-income household, {% k9 G4 K% v4 c1 ]3 n
could receive up to $2,000 for their education.* i$ E- g* t& J8 p, U* U6 o8 N
Additionally, in terms of post-secondary education and low-income families, the
% |9 P: ]0 t; g) R W' dgovernment has introduced a new one-time grant of up to $3,000 for first-year! P. [" g X- r9 N& M$ q6 t' J
students whose family income hovers around $35,000 or less a year.
% P! N& f4 B( n& K7 ZAlberta Centennial Education Savings Plan Act
9 G2 X0 k) N! q+ t9 @2 {) eDuring the 2004 Spring Sitting, the Alberta Government introduced and
# N" c/ M7 p# p6 Hsubsequently passed the Alberta Centennial Education Savings Plan Act. The/ y" H+ z& d. _' n
program created by the Act is available only to residents of Alberta who have
$ u( p! |$ |0 wchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first
K- K9 `+ G% M: [4 dglance, seems quite simple in scope but it does have many intricate details that,' ?% L- @* q- }0 f( Y7 [+ I3 v5 N
once communicated, reveal a complicated program that relies on proactive parents
8 R% K) n6 G" @- Y @* `; T O, fto absorb the full benefit of the program.
' a4 F2 I. L7 J. YAlberta residents, who have a baby born on January 1, 2005, or after, will be1 j6 @6 ]+ G7 ~
eligible for a $500.00 grant toward the baby’s established RESP. The grant will4 z/ Y& P, w4 D
only be awarded if a RESP is established within the first year of the baby’s birth8 {7 R9 y# v/ {) v- C M0 \
(though Alberta Learning is looking to extend this deadline to two years or, albeit4 _& u0 X: B7 {8 W7 ~+ t
unlikely, extending the deadline until the baby has reached their first year of) X" C7 G* g% P2 P) k! ~( x
schooling). Should a year elapse and the parents do not arrange an RESP account,. g/ @+ D$ c8 _/ _; D3 i0 _
for the baby, then the baby will not receive the $500.00 grant, period. Subsequent
& Z) f" _6 o6 S& L% X" `0 G' X$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of+ `3 _2 l9 o! u6 v0 E/ Q3 ~7 N
those grants will require parents to provide matching dollars to qualify. These
& t3 }' `$ z3 Y2 I/ agrants are awarded with the same limitations and restrictions as the initial $500.00
9 t1 h- m! P z6 E- ]! R! ^grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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