A9 smart saver

SmartSaver
Turning Government Policy into Community Practice
Adriana Beemans
Nasrin Khatam

Provide information regarding the Canada Learning Bond and RESP and understand the difference about products;
Provide an overview of Smart Saver and the policy challenge it responded to;
Raise awareness among Settlement staff on importance of Canada Learning Bond and identify ways this can be integrated into the settlement work; and
Learn about SmartSaver resources that can help.

Do you have a higher education?
Was it a financial challenge?
Have you heard about the Canada Learning Bond?
Is this something you would recommend for low income families?
Do you know families that can not afford post secondary education for their children?

Cost of post-secondary education in Canada more than doubled in real terms since 1990
About half of post-secondary graduates in 2005 relied on student loans
Graduates debt load averaged $20,400 (bachelor’s) and $11,800 (diploma) two years after graduation
Sources: Statistics Canada and Canada Millennium Scholarship Foundation, The Price of Knowledge, 2009

“ Participation in RESPs is concentrated in high-income, high-wealth and high-education families.Low-income children are not benefiting from RESPs.”
Source: TD Economics, How are we doing on social policy? Is the recession paralyzing or transformative?, 2009

Source: Statistics Canada and HRDC, Access, persistence and financing: First results from the Postsecondary Education Participation Survey (PEPS), 2003 (Youth aged 18-24 no longer in secondary school)

81% of Canada Learning Bonds have not been accessed
415,518 eligible children notenrolled across Ontario
Only 18.8% (78,481) childrenare enrolled
60,000 eligible children just in Toronto
Initial payments to Toronto children worth $30,000,000

Barrier: Low awareness
RESP awareness
< 30%
CLB awareness < 10%
CESG awareness <20%

Barrier: Poor knowledge of product choices

Barrier: Multi-step process

A Creative Partnership between:
Working Women Community Centre
OMEGA Foundation
YMCA

Working with Community Organizationsand Networks to improve low-income families access to available funding for their children's education savings, so that higher education become a realistic opportunity for low-income students.
Increase awareness regarding the Canada Learning Bond

Canada Learning Bond is a $500 grant from the Government of Canada to help families start saving early for their child’s education after high school.
This money can be used to pay for full-time or part time studies in an apprenticeship program, trade school, college or university.

Children born after December 31, 2003
Parent or primary caregiver eligible for the National Child Benefit Supplement(maximum income $41,544 in 2010)
1st payment $500
Maximum $2,000
No family contribution required

Child needs a Social Insurance Number (SIN)
A Registered Education Savings Plan (RESP) needs to be opened under the child’s name.

RESP account can be opened through financial institution such as:
Bank or credit union
Certified financial planner
Group plan dealer
The Canada Learning Bond will be deposited directly into the child’s RESP.

Reach out to families in their own environment and language.
Make it easier for low-income families to find and start an RESP that they can afford, and access CLB.
Make sure community organization’s staff know about CLB when their clients ask them questions, they know the right answers.

You are trusted role models and authority figures.
Families turn to you for help and information on public programs.
You understand parents’ languages and cultures.
It’s important that you know about government programs, that can improve your client’s life. Your knowledge is key so they don’t get take advantage of.
This is a tangible way to break the cycle of poverty, by making higher education a reality.

Get involved
Sign up for training and identify your staff who can participate in the training.
Hold workshops for families either as an Organization or as a Network.
Help families to enrol.

Join the Smart Saver Agency Network
Participate in 3 hours training.
Promote the Canada Learning Bond in your locations.
Commit to hold a minimum of two (2) Learning bond family outreach workshops.
Identify opportunities in your programs to provide information about RESPs and the Canada Learning Bond.

Help families secure a Social Insurance Number for their child.
Help families complete the SIN application form
Host a mobile Service Canada clinic for SIN registration
Lead a parent group excursion to a local Service Canada office
SIN numbers issued on the spot by Service Canada
Help families connect with an RESP provider.

A9 smart saver

by ocasiconference on Aug 11, 2011

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A9 smart saver — Presentation Transcript