Cash for Alberta/Canada Newborns - Calgarypuck Forums - The Unofficial Calgary Flames Fan Community

albertGQ · 11-10-2008, 02:21 PM

Hello everybody. I didn't want to make a thread for this announcement because I didn't really want to draw attention onto myself, but I am going to need some CP advice on this one. My girlfriend and I just had a baby boy last Monday and we want to maximize how much money we can receive from the government. First off, we are both classified as "single" since we do not live with eachother (we both own our own homes). Since she is considered "single", does she qualify for more gov't cash?

From what I google'd, every baby born in Alberta after 2005 will get $500 put into their RESP. So I know I'll have to open up an RESP for my son. Once this is opened, will the AB gov't automatically do this or will I have to apply for this once the RESP is in place?

I'm also a little confused about the Canada Child Tax Benefit and the National Child Benefit. What is the difference? Can we get both? I'm guessing that the CCTB is the basic that most parent(s) qualify for and the NCB is additional money for low-income families. Is this something we can apply online for?

And the last one I know of is the Universal Child Care benefit. This is the $100 a month that was recently passed that goes to all kids under six years of age. Is this given automatically? I remember hearing something like that. Or is this another program we'd have to apply for?

What I have no clue about is the Child Care Expense Deduction and the new Child Tax Credit announced in Budget 2007. If anyone knows much about these two programs, that would be awesome.

I think I know the jist of the RESP programs so I don't need too much clarification about that, but if there are other programs geared for childrens' education that is not so commonly known, information regarding that would be greatly appreciated

firebug · 11-10-2008, 02:30 PM

What a disappointment... here i was all ready to make a bid for one.

~firebug

Prototype · 11-10-2008, 02:33 PM

I was ready to trade mine in, depending on how much cash he was ready to fork over.

Nancy · 11-10-2008, 02:44 PM

We had to apply for the Universal Child Care Benefit...

Child care expenses are claimed by the lower income earning spouse. They are a credit, so you get them at the lowest tax bracket.

I think the CCTB will get calculated automatically by QuickTax when you file your taxes. You can file a TD-1 with your employer to have the reduce the amount of taxes they take off your cheque so you don't have to wait until you get a tax refund to see the benefit.

Can't speak to the RESP benefit as that was not in effect when my kids were born.

Slava · 11-10-2008, 02:55 PM

I could help you with the RESP portion-PM me if you want that.

Basically you get $500 once you open the account and then $100 when they turn 8, 11 and 13 years of age. You have to apply for each of these, but any decent advisor can run you through this and make sure that you're getting everything that you're entitled to.

ok, ok,....I get it · 11-10-2008, 03:27 PM

try posting on Ebay you may get more offers

MaDMaN_26 · 11-10-2008, 03:31 PM

http://www.hrsdc.gc.ca/en/learning/e...ESP/resp.shtml

http://www.canadian-resp-information.com/

firebug · 11-10-2008, 03:38 PM

Quote:

Originally Posted by Prototype

I was ready to trade mine in, depending on how much cash he was ready to fork over.

PM'd

Russic · 11-10-2008, 03:47 PM

10 posts and nobody has congratulated the man?

Congrats on your son.

Rathji · 11-10-2008, 04:31 PM

Some of this info may be duplicate of what is already in the thread, as I have not read the entire thing.

Your 100 bucks a month for beer and popcorn you need to apply for, same with Child Tax Benifit. One or the other (or both) requires a SIN number, so apply asap for that. They back pay you from the date of birth, so don't stress if it takes a couple months.

If the person you are getting to do your RESP will not automaticly file for all the 'freebies' for the government, find a new one. Everyone I talked to when I was setting up the one for my daughter was willing to.

Not directly related to your question, but whatever you do, talk to multiple people about different plans before you set up your RESP. The first 2 companies I talked to (I wont mention names), pretty much everything I put in for the first 2 years would be eaten up by their commisions.

Even if you don't use him, talk to Slava about what he offers before you sign up for another plan. If for no other reason than to know how badly some of these other companies I refered to are trying to screw you.

fredr123 · 11-10-2008, 04:40 PM

Quote:

Originally Posted by Rathji

Even if you don't use him, talk to Slava about what he offers before you sign up for another plan. If for no other reason than to know how badly some of these other companies I refered to are trying to screw you.

That goes for most requests on CP. Always bug the people who post on these boards for free advice. They like that.

Ducay · 11-10-2008, 05:17 PM

Funny situation you're in. Im in the midst of my university tax course, and I'll have figure out how those deductions work with single parents who were never married. Id assume it works similar to a divorced couple whereas only one parent gets the claim.
In the case of the child care credit, it gets claimed (as mentioned) on the lower income spouse.

Phanuthier · 11-10-2008, 05:19 PM

just wondering, was this a planned pregnancy?

Just curious because about, uh, 9 months ago, there was something about the pull-out tactic

albertGQ · 12-03-2008, 09:47 AM

Hey guys. So I had a buddy from CST Plan (Canadian Scholorship Trust) come over last night and he did his spiel. Although I do know a little bit about RESPs, I'm not familiar with CST and their investment strategy. Has anyone dealt with CST before? Anyone want to give me input/advise about going this route?

Thanks again

Slava · 12-03-2008, 09:50 AM

^ Well the CST is aplan that you are locked into IIRC. Basically once you start putting money there you can't make a decision to move it down the road to another investment/plan. (Well, you can move the funds to something else, but the fees to do so are incredibly high and will make you not want to do this!).

Rathji · 12-03-2008, 10:37 AM

Quote:

Originally Posted by albertGQ

Hey guys. So I had a buddy from CST Plan (Canadian Scholorship Trust) come over last night and he did his spiel. Although I do know a little bit about RESPs, I'm not familiar with CST and their investment strategy. Has anyone dealt with CST before? Anyone want to give me input/advise about going this route?

Thanks again

CST is one of the plans I was refering to in my previous post.

Note: I talked with a couple companies, so this info may not be related to CST in particular, but both of the plans were pretty much the same.

Once you realize that their promise to give back your commision is really a ruse (since they gain 20+ years of interest on it before they give it back) and that if you miss a payment you forfiet all money that you have put into the fund, you realize that the little extras they toss in are really useless.

Get a real RESP and you will realize that paying 10 bucks a 'share' in commision to buy into CST is just throwing money down the toilet. Not to mention the security of knowing that if in 10 years you break your neck and cant work, you dont need to keep making your payments for there to be something left in the fund.

Slava is who I used.