What the Canada Learning Bond Is

The Canada Learning Bond (CLB) is a federal government grant deposited directly into a child's Registered Education Savings Plan (RESP). Unlike most RESP grants, the CLB requires no contribution from you — the government deposits it simply because you opened the account and meet the income criteria.

It's one of the most underused financial programs in Canada. Eligible families leave thousands of dollars sitting unclaimed every year. If you qualify, there's no financial reason not to apply.

Key facts at a glance:

$500 deposited in the first year the account is opened, then $100/year for each subsequent year of eligibility, until the child turns 15. Maximum: $2,000 per child.

No contribution required. No income required from you. Just open an RESP and apply.

Who Qualifies for the CLB

Eligibility is based on the Canada Child Benefit (CCB). If you receive the CCB and your net family income is below approximately $50,197 (2024 threshold — adjusted annually for inflation), your child likely qualifies for the CLB.

The CLB is also available to children who are in the care of a public authority — including children in foster care. Children born on or after January 1, 2004 are eligible (the CLB was introduced that year).

Condition Required?
Receiving Canada Child Benefit (CCB) Yes
Net family income below ~$50,197 (2024) Yes (thresholds adjust annually)
Child born on or after Jan 1, 2004 Yes
RESP opened in child's name Yes
RESP contribution from subscriber No — not required

The CLB is paid annually as long as the child continues to meet eligibility requirements. If your income changes year to year, CLB payments can start or stop depending on whether you fall above or below the threshold in a given year. You can still claim years you were eligible even if you missed them earlier — retroactive CLB payments go back to birth, as long as the RESP is opened before the child turns 18.

How Much You Can Get: Year-by-Year

CLB for a Child Born When Family Income Is Below the Threshold

Year 1 (RESP opened): $500 initial CLB payment

Years 2–15 (each year of continued eligibility): $100/year

Maximum CLB: $500 + ($100 × 15 years) = $2,000 per child

With investment growth inside the RESP, even $2,000 in CLB can compound to $5,000–$8,000 by age 18 in a balanced fund.

These amounts are in addition to anything you contribute yourself. You don't have to choose between the CLB and saving — they stack. Once the RESP is funded, consider a low-fee approach similar to a couch potato portfolio for the invested portion.

CLB + CESG: They Work Together

If you can contribute even small amounts to the RESP, you can also access the Canada Education Savings Grant (CESG) — which matches 20% of RESP contributions up to $2,500/year, for a maximum CESG of $500/year per child.

For lower-income families, there's also the Additional CESG: an extra 10–20% on the first $500 contributed each year, depending on family income. That means a $500 contribution in a qualifying year could attract $600 in government grants (20% base CESG + 20% Additional CESG = 40% match on that first $500, plus 20% on the remaining $2,000).

Stacking grants for low-income families: CLB ($500–$2,000, no contribution needed) + CESG (20% match on contributions) + Additional CESG (extra 10–20% on first $500 contributed) + provincial grants (see below). An RESP opened at birth with even modest contributions can accumulate tens of thousands of dollars in government money by age 18.

How to Apply

Applying for the CLB requires two things: opening an RESP at an eligible financial institution, and submitting a CLB application to Employment and Social Development Canada (ESDC). In practice, most banks, credit unions, and online brokers will process the CLB application as part of opening the RESP.

  1. Open an RESP at any bank, credit union, or online broker (e.g., TD, RBC, Questrade, Wealthsimple). The account must name your child as beneficiary.
  2. Apply for the CLB — usually done at the same time by completing ESDC's CLB application form (ESDC EMP5608). Many institutions handle this automatically when you mention you want the CLB.
  3. File your taxes and ensure you're receiving the Canada Child Benefit. The CLB eligibility is determined based on your tax filing income.
  4. No contribution needed — the grant deposits directly into the RESP from the federal government.

Some credit unions — particularly in lower-income communities — have dedicated outreach programs to help families apply for the CLB. If your bank isn't being helpful, try a local credit union or community organization.

Why So Many Families Miss It

According to the Government of Canada, roughly 30% of eligible children have not had a CLB applied to an RESP on their behalf. The barriers aren't financial — the whole point is that no money is required. The gaps are informational and logistical.

Common reasons families don't claim the CLB:

The fix for all of these is the same: open an RESP before the child's 18th birthday and ask about the CLB. Even if you apply at age 17, you can receive retroactive CLB for all eligible years back to birth (or age 15 for the annual $100 payments).

Provincial Top-Up Grants

Several provinces add their own grants on top of federal CLB and CESG:

Province Grant Amount Notes
British Columbia BC Training & Education Savings Grant (BCTESG) $1,200 (one-time) All BC children aged 6–9; no income test; apply between 6th and 9th birthday
Saskatchewan Saskatchewan Advantage Grant for Education Savings (SAGES) 10% on first $2,500/year Up to $250/year; income test applies for higher amounts
Alberta Alberta Centennial Education Savings Plan Suspended Program suspended; no new applications being accepted
Quebec Quebec Education Savings Incentive (QESI) 10% on first $2,500/year Up to $250/year; administered through Revenu Québec

BC's BCTESG is notable because it has no income test — every BC child qualifies, and $1,200 is deposited into the RESP at age 6. Parents must apply between the child's 6th and 9th birthday. Many families miss this window. If your child is between 6 and 9 and in BC, apply now.

What Happens If Your Child Doesn't Go to Post-Secondary?

This is one of the most common concerns about opening an RESP. Here's how it actually works:

Your personal contributions (the money you put in) always come back to you, tax-free. The subscriber gets their contributions back as a Return of Contributions — no penalties on the original money.

CESG and CLB grants are a different story. If the child doesn't pursue eligible post-secondary education, these grants — plus any investment growth attributable to them — must be returned to the government. The CESG and CLB exist specifically to fund education, not general savings.

Accumulated Income Payments (AIPs): The investment growth on your personal contributions can be withdrawn as an AIP. It's taxed as income plus a 20% penalty tax — but it's yours to keep. Many families find the tax hit worthwhile given the years of tax-sheltered growth inside the RESP.

Bottom line on the "what if" question: If your child doesn't go to post-secondary, you lose the CLB and CESG (which you never put in), but you keep everything you contributed. There's no scenario where opening an RESP and claiming the CLB makes you worse off than not doing it.

Where to Open an RESP for CLB

Any financial institution that offers RESPs and is registered with ESDC can facilitate the CLB. That includes major banks (TD, RBC, BMO, Scotiabank, CIBC), credit unions, and online brokers like Questrade and Wealthsimple.

Group RESP plan providers (sometimes called scholarship plan dealers) can also hold RESPs, but their fee structures are often significantly higher and their contracts less flexible. For most families, a self-directed RESP at a bank or discount broker — invested in a simple asset allocation ETF or index fund — is a better fit. Lower fees mean more of the CLB and CESG money works for your child.

Wealthsimple and Questrade both allow you to open an RESP online without visiting a branch. See the RESP guide for a full breakdown of account types and provider options. For families who prefer in-person help, most credit unions are accustomed to walking clients through the CLB application process.

Financial Disclaimer: This page is for informational purposes only and does not constitute financial, tax, or legal advice. CLB income thresholds and grant amounts are set by the Government of Canada and adjusted annually. The information above reflects 2024 figures and may have changed. Eligibility depends on your individual circumstances. For personalized guidance, consult Employment and Social Development Canada (ESDC) directly or speak with a qualified financial advisor familiar with registered accounts.