On February 21, 2025, the federal government unveiled important changes to the Canada Learning Bond (CLB), aimed at helping more parents access up to $2,000 for their child’s education. The updates include a smoother way to receive funds and expanded retroactive access for parents and eligible young adults, making it easier than ever to save for post-secondary education.
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If you haven’t heard about the Canada Learning Bond (CLB) yet, it is a federal initiative designed to help cover the costs of higher education by offering up to $2,000 in a Registered Education Savings Plan (RESP). The good news is that parents don’t have to contribute any personal savings into the RESP to receive this money.
Previously, parents had to open an RESP for their child or wait until the child turned 18 to open it themselves in order to access the CLB. However, starting in 2024, the process is getting even simpler.
Major Changes to the Canada Learning Bond
The most significant change is automatic enrollment for children born in or after 2024. If these children are eligible for the Canada Learning Bond, they will automatically be enrolled in the program when they turn four years old, as long as they have a valid Social Insurance Number (SIN) and don’t already have an RESP.
This change means that parents no longer have to take the extra step of opening an RESP on behalf of their child. The government will take care of it, ensuring that families don’t miss out on the opportunity to benefit from this valuable federal support.
Letters have already started going out from Employment and Social Development Canada (ESDC) to parents and guardians informing them of this automatic enrollment. More information will be sent later this year, giving parents a heads-up about when the government will open an RESP on their child’s behalf, ensuring that no eligible child is left behind.
The Impact of Automatic Enrollment
By 2028, this change is expected to result in an additional 130,000 children receiving the Canada Learning Bond each year, helping to further relieve the financial burden on families who want to pursue post-secondary education. With these changes, parents can look forward to more substantial savings to help their children attend trade schools, colleges, universities, or apprenticeships, with the flexibility to cover expenses like tuition, rent, books, tools, or even transportation.
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Retroactive Access for Eligible Adults
Another important update to the Canada Learning Bond is retroactive access. If your parents didn’t take advantage of the CLB for you when you were a child, you can still access the funds once you reach adulthood. Adults born in 2004 or later are eligible to open their own RESP and claim the CLB, as long as they do so before turning 21.
But there’s even better news for older young adults. Starting in April 2028, the age limit for retroactive access will be raised to 30. This means more young adults will be able to access the Canada Learning Bond to help fund their education, providing much-needed financial support as they enter or continue their post-secondary studies.
CLB: Helping Parents Access $2,000 for Their Child’s Education
The CLB is a valuable tool for parents who want to ensure that their children have the financial support they need for higher education. The changes to the program reflect the government’s commitment to making it easier for families to access up to $2,000 for their child’s education, whether they’re entering a trade program, college, university, or apprenticeship.
With automatic enrollment, retroactive access for eligible adults, and continued support for children as they transition into adulthood, the CLB is a game-changer for parents. This initiative is set to put more money in the hands of families, helping them prepare for their children’s future while alleviating the rising costs of post-secondary education.
So, whether you’re a parent looking for ways to ensure your child’s educational future, or an adult who missed out on this opportunity in your youth, the Canada Learning Bond provides crucial financial assistance that can help open doors to education. Keep an eye out for further details on automatic enrollment, retroactive access, and the ever-growing benefits of the CLB!
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