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Thanks, here are details.
Canada Learning Bond7 }1 Q$ @. B* F* _
The Federal Government, in the 2004 Budget, introduced the Canada Learning
$ `6 j5 c2 P7 u; \; NBond. The Bond is aimed at helping low-income families save for their children’s
~+ ?) W5 a K7 [. |6 y2 _* g( Apost-secondary education pursuits. Beginning in 2004, each child born to lowincome {/ H( \9 T5 @! G! |
families, those earning $35,000 or less and who are also entitled to receive8 `6 o+ B& ^: ]5 J, w
the National Child Benefit, will receive a $500 Canada Learning Bond.
4 d1 p6 R8 g8 p* ^# [$ sAssuming a child remains qualified for the Canada Learning Bond, the child will2 P w1 p2 H/ h( k {' z9 S4 p
continue to receive $100.00 in each subsequent year in Canada Learning Bond) E, r3 o- d0 s9 \" W) y4 p
installments. The Federal Government projects that the Canada Learning Bond will
- [ e7 i' {: {8 E% P3 A4 X' n# e( mcarry a cost of up to $85 million this year and up to 120,000 children will benefit
/ u7 G0 y. @3 m1 G1 E8 Ifrom the program2. The government says a child living in a low-income household9 q8 g) \( J' S' K) m: k% o
could receive up to $2,000 for their education.
: G% Z1 u( C1 l0 YAdditionally, in terms of post-secondary education and low-income families, the2 V9 O, G' R6 w: N4 i7 T9 U
government has introduced a new one-time grant of up to $3,000 for first-year
0 e/ Q9 \( ^8 j& l" T# Qstudents whose family income hovers around $35,000 or less a year.( F4 {" K9 p$ ]3 t: A6 k0 f. z
Alberta Centennial Education Savings Plan Act
( p7 v% K7 [' ^) L) x- u q, \During the 2004 Spring Sitting, the Alberta Government introduced and
4 F9 F5 G7 B" Jsubsequently passed the Alberta Centennial Education Savings Plan Act. The
|" m/ j1 c: n, a9 P4 \program created by the Act is available only to residents of Alberta who have
4 W# s( t+ E$ A4 \; fchildren born after January 1, 2005 (Alberta’s Centennial). The program, at first
5 M* x s6 w3 e5 D3 vglance, seems quite simple in scope but it does have many intricate details that,
) C6 `" F1 \/ Oonce communicated, reveal a complicated program that relies on proactive parents
4 |) J( j$ s& g/ rto absorb the full benefit of the program.
+ r& L; t. g" K: b! i* b1 r" nAlberta residents, who have a baby born on January 1, 2005, or after, will be
1 Y( A. ~! M. D0 Z+ Aeligible for a $500.00 grant toward the baby’s established RESP. The grant will
& p# s w" c! t- G; n# ?1 C. C1 q+ qonly be awarded if a RESP is established within the first year of the baby’s birth' y3 E8 S+ P/ @! m1 l
(though Alberta Learning is looking to extend this deadline to two years or, albeit7 Q" {. o/ e9 j7 ^4 l2 {
unlikely, extending the deadline until the baby has reached their first year of
+ c9 {( ^, r8 M- q C! G2 V6 xschooling). Should a year elapse and the parents do not arrange an RESP account,1 W2 k/ f# Q1 U
for the baby, then the baby will not receive the $500.00 grant, period. Subsequent
# C; F$ Q6 {3 {& q/ H$ l$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of4 f( P2 A4 C: I1 c. ^2 y/ H- D
those grants will require parents to provide matching dollars to qualify. These
4 y" V* [' i3 D& c9 Agrants are awarded with the same limitations and restrictions as the initial $500.00+ G* z4 s; W- \5 o% N
grant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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