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Thanks, here are details.
Canada Learning Bond
+ M9 h! I" y0 D6 ?The Federal Government, in the 2004 Budget, introduced the Canada Learning m. y7 d* s$ o
Bond. The Bond is aimed at helping low-income families save for their children’s- V5 O0 a( P/ O( r1 ^' A+ \
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
% }" A9 \+ x* `& d2 |6 H* m) Ffamilies, those earning $35,000 or less and who are also entitled to receive' w& H1 i8 s% S; Q6 N
the National Child Benefit, will receive a $500 Canada Learning Bond.
8 Y! ~+ X, W4 I3 F/ \& OAssuming a child remains qualified for the Canada Learning Bond, the child will! ~+ ~- E$ f% r: y% u9 Z: r$ Y
continue to receive $100.00 in each subsequent year in Canada Learning Bond
8 B% L+ ?$ u! i4 V& e3 G0 _installments. The Federal Government projects that the Canada Learning Bond will
1 ~; S" A) O Y* n0 }carry a cost of up to $85 million this year and up to 120,000 children will benefit
7 F4 Y( M5 r% I4 G" q/ Ufrom the program2. The government says a child living in a low-income household
( q: z( r0 t+ U1 Q! scould receive up to $2,000 for their education.) m0 e4 z5 F3 F9 Y
Additionally, in terms of post-secondary education and low-income families, the9 r; I, y# \3 ~2 e+ K4 L
government has introduced a new one-time grant of up to $3,000 for first-year
4 e5 @ y3 v, w) @5 Wstudents whose family income hovers around $35,000 or less a year.
5 |2 D+ G# D$ c- F2 d. `0 sAlberta Centennial Education Savings Plan Act& u* I! u, @; \
During the 2004 Spring Sitting, the Alberta Government introduced and
- ]3 o6 |% _ ]subsequently passed the Alberta Centennial Education Savings Plan Act. The
\. C* N5 k7 \7 ?program created by the Act is available only to residents of Alberta who have
2 e7 j4 A1 F/ o: K' tchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first
3 g$ [( T/ y4 V6 G7 _glance, seems quite simple in scope but it does have many intricate details that,
+ O. E2 X" |. M! X5 vonce communicated, reveal a complicated program that relies on proactive parents# @3 w+ g' @9 V+ ^1 m
to absorb the full benefit of the program., \* w2 A) {4 E+ r
Alberta residents, who have a baby born on January 1, 2005, or after, will be
- E6 I3 J) o. n: A. jeligible for a $500.00 grant toward the baby’s established RESP. The grant will
! L$ ]/ P0 ]' R' `3 ^only be awarded if a RESP is established within the first year of the baby’s birth
# I1 h6 X8 W0 d+ Y4 i. Y. J1 i(though Alberta Learning is looking to extend this deadline to two years or, albeit
1 t' U6 W" y+ L+ C; c7 Eunlikely, extending the deadline until the baby has reached their first year of
: {+ t: a# z# A U$ q( ?schooling). Should a year elapse and the parents do not arrange an RESP account,
& M- Z6 P! ]7 D. Tfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent
- Y4 J" l# A6 v" K/ C6 z$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of, z& ^& ]6 y. T: O4 {
those grants will require parents to provide matching dollars to qualify. These
7 g6 C. S4 i5 }; m, `/ M& mgrants are awarded with the same limitations and restrictions as the initial $500.007 h" D2 u" c' P$ \7 F
grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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