Students aged 8, 11, or 14 to be eligible for $100 Alberta Education Savings Grant program
Bill 54 makes about 120,000 RESP grants available to Alberta students each year
Edmonton... More Alberta students will be eligible to receive a $100 Alberta Centennial Education Savings Plan grant in their Registered Education Savings Plan (RESP) as a result of proposed changes. The amendments will mean any eight, 11 or 14 year old Alberta student can receive the $100 grant, even if they were born before 2005. Under current legislation, only children born in 2005 or beyond are eligible.
"These legislative amendments recognize the Alberta government's commitment to promote the importance of Advanced Education and Technology, whether it's to pursue a college diploma, trade certificate or university degree," said Advanced Education and Technology Minister, Dave Hancock, who introduced Bill 54, The Alberta Centennial Education Savings Plan Amendment Act 2005 in the Alberta Legislature on November 24.
"We've done a lot to promote the Alberta Centennial Education Savings Plan because evidence shows that approximately 80 per cent of children with RESPs in their names go on to post-secondary studies. Savings programs like RESPs build an expectation in parents and their child that the child will be able to pursue post-secondary studies," added Hancock.
The Alberta Centennial Education Savings Plan program was established by the Alberta government at the beginning of the year by making a one-time $500 RESP grant available to the parents of Alberta children born in 2005 or beyond. Subsequently, these children who have an RESP in their name are eligible for an additional $100 supplemental government grant at ages eight, 11, and 14. To qualify, families must continue contributing to their children's RESPs by putting in at least $100 before applying for the grant. The plan is designed to give Alberta parents an incentive to continue saving for their child's education.
If Bill 54 passes, approximately 120,000 children in these age categories will be eligible for the $100 supplemental grant each year. The changes will not be in effect until after the legislative processes have been completed and the Act has been proclaimed into law.
There is a two-year window within which the parents of children born in 2005 can apply for the grant. More information about the current program is available online at www.advancededucation.gov.ab.ca/aces/.
