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Thanks, here are details.
Canada Learning Bond
+ o$ P4 M; H, [+ T; X4 _- uThe Federal Government, in the 2004 Budget, introduced the Canada Learning
- g% X! |! G' }6 yBond. The Bond is aimed at helping low-income families save for their children’s" t+ B* Z2 P8 W+ m P$ z
post-secondary education pursuits. Beginning in 2004, each child born to lowincome- D2 N) J' L0 o
families, those earning $35,000 or less and who are also entitled to receive0 i# Z. l$ y; C0 b: Y- ^4 t' t
the National Child Benefit, will receive a $500 Canada Learning Bond.8 `8 I1 ^( K2 G
Assuming a child remains qualified for the Canada Learning Bond, the child will
9 v0 t1 y9 N1 ?3 X6 U; Dcontinue to receive $100.00 in each subsequent year in Canada Learning Bond) D+ R! U/ }$ V) a: L7 \
installments. The Federal Government projects that the Canada Learning Bond will# x7 l+ @( n" t
carry a cost of up to $85 million this year and up to 120,000 children will benefit
/ I) Z( W' z1 K% i# _ `: `from the program2. The government says a child living in a low-income household
z) Q( r C% i! U ]! scould receive up to $2,000 for their education.- ?- v( c$ Q: k; M9 W5 o# \
Additionally, in terms of post-secondary education and low-income families, the% m. {0 F+ S8 K: U% b0 W
government has introduced a new one-time grant of up to $3,000 for first-year
8 e: n; f( R; {) V$ kstudents whose family income hovers around $35,000 or less a year.
& h' u9 Y* n; F8 x1 D7 `Alberta Centennial Education Savings Plan Act
' i6 G' o2 z9 o6 O* K" C5 _2 kDuring the 2004 Spring Sitting, the Alberta Government introduced and
* k+ p0 R5 C" G7 W/ Lsubsequently passed the Alberta Centennial Education Savings Plan Act. The9 m4 W! L) g) O+ t' d2 [/ e2 L7 ~
program created by the Act is available only to residents of Alberta who have
; P d3 U- ?% K% N3 u1 J. l5 N; ]children born after January 1, 2005 (Alberta’s Centennial). The program, at first
- m5 X6 ~* ]4 p' E& V* ~glance, seems quite simple in scope but it does have many intricate details that,2 m6 p: P! }$ u+ O4 C5 R
once communicated, reveal a complicated program that relies on proactive parents
3 i Z. |' [/ S [ [* Lto absorb the full benefit of the program.
( Q6 \ ^* ^' `2 r6 U6 X) V1 \Alberta residents, who have a baby born on January 1, 2005, or after, will be( w+ N- I3 a! C1 {2 r/ q
eligible for a $500.00 grant toward the baby’s established RESP. The grant will
8 t9 J, v# ^- f3 B- F. d9 nonly be awarded if a RESP is established within the first year of the baby’s birth
5 w* K1 ^& @( Q) C8 C2 @$ I(though Alberta Learning is looking to extend this deadline to two years or, albeit
3 @# i( c* y3 ]& V( Tunlikely, extending the deadline until the baby has reached their first year of
1 i* b$ G0 d' N: a4 S4 Kschooling). Should a year elapse and the parents do not arrange an RESP account,
3 b/ N! \4 S; ~6 Efor the baby, then the baby will not receive the $500.00 grant, period. Subsequent
6 `$ b+ `# C! x T$100.00 grants are awarded when the child reaches grades 3, 6 and 9. Each of
+ K% j5 r* j1 x1 q# z# ]8 `those grants will require parents to provide matching dollars to qualify. These2 g* y7 j- E j4 O
grants are awarded with the same limitations and restrictions as the initial $500.00
* [* q" w, q; {/ E- N' dgrant. Potentially, an RESP could receive up to $800.00 in Provincial grant money. |
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