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Thanks, here are details.
Canada Learning Bond
: w; x2 C) m; B. X9 c. MThe Federal Government, in the 2004 Budget, introduced the Canada Learning3 L; G$ [' N0 d; [9 }% E) V: n% i8 y
Bond. The Bond is aimed at helping low-income families save for their children’s9 i" P5 `# r# U0 X
post-secondary education pursuits. Beginning in 2004, each child born to lowincome
' l- \: W! _, ifamilies, those earning $35,000 or less and who are also entitled to receive6 K5 F( Q# R) A- J
the National Child Benefit, will receive a $500 Canada Learning Bond.) ~% s: J& |/ J: ^. l4 f
Assuming a child remains qualified for the Canada Learning Bond, the child will
& o1 i8 T+ Q7 Y# ycontinue to receive $100.00 in each subsequent year in Canada Learning Bond
7 O1 N0 X g- T# w6 Tinstallments. The Federal Government projects that the Canada Learning Bond will! w" y) [1 F) n2 B+ y% i3 M
carry a cost of up to $85 million this year and up to 120,000 children will benefit
0 O7 w/ z I! t; N% l) G2 t) d( dfrom the program2. The government says a child living in a low-income household
. `9 i. C0 \+ f& @6 C3 tcould receive up to $2,000 for their education.
+ `0 O. ^3 v' Z/ x" p$ K* EAdditionally, in terms of post-secondary education and low-income families, the
. P# J" `- T" l: X- ngovernment has introduced a new one-time grant of up to $3,000 for first-year
: x! G* w: B: R) k0 [8 gstudents whose family income hovers around $35,000 or less a year.# N# q5 o. _' P* G7 d
Alberta Centennial Education Savings Plan Act6 P" H& P' t$ V: y# T; w: |; [4 I
During the 2004 Spring Sitting, the Alberta Government introduced and- M2 `- _4 }2 W9 d6 Z. T
subsequently passed the Alberta Centennial Education Savings Plan Act. The$ A9 W! l" y& e1 k
program created by the Act is available only to residents of Alberta who have
% p. t. V3 ?% |2 c7 fchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first7 h* U% ~! l4 N% t! R$ D5 y3 t
glance, seems quite simple in scope but it does have many intricate details that,
0 ^6 l/ e6 [- S6 f4 Y0 Q; b# Ionce communicated, reveal a complicated program that relies on proactive parents% P' n3 P/ x( p9 I3 v! f
to absorb the full benefit of the program.3 G" n! A' J0 T4 U6 B( _6 C
Alberta residents, who have a baby born on January 1, 2005, or after, will be, \2 s* L+ F% l, S! d$ q
eligible for a $500.00 grant toward the baby’s established RESP. The grant will6 a1 m6 n* i3 Y+ Z
only be awarded if a RESP is established within the first year of the baby’s birth+ R. Q1 @% w( X" \
(though Alberta Learning is looking to extend this deadline to two years or, albeit& W6 ?7 r9 v; b* B( m
unlikely, extending the deadline until the baby has reached their first year of
- n. N$ L6 ^+ R% Bschooling). Should a year elapse and the parents do not arrange an RESP account,
: Z+ z' @- s$ f- O1 E0 Hfor the baby, then the baby will not receive the $500.00 grant, period. Subsequent' `, T/ p. B* F9 k
$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of8 a9 V$ h7 k; x
those grants will require parents to provide matching dollars to qualify. These6 W9 z% z% g! ]
grants are awarded with the same limitations and restrictions as the initial $500.00
/ ?: G3 M7 i( Z+ H/ [grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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