Today President Biden is set to unveil a 1.8 trillion-dollar package to help American families. To cover the cost of the plan, Biden plans to increase taxes for anyone making over $400,000 and closing tax loopholes for wealthy Americans. This announcement comes on Biden’s 100th day in office.
Biden’s plan has a lot of different components from childcare savings to free college to lower medical premiums. The first $225 billion towards paying a portion of child-care services for family, based on a sliding scale. The next is, $200 billion toward free universal preschool for all 3 and 4-year-old children. $225 billion, will be put towards creating a comprehensive paid family and medical leave program. $200 billion towards lowing health insurance premiums for those who buy coverage on their own. $109 billion to provide all college students a free two-year tuition at a community college. Also in the proposal are some items from the 1.9 trillion Covid stimulus plan; the child tax credit, the child and dependent care tax credit, and the earned income tax credit for childless workers.
This new proposal will need to pass through Congress, and the Republican Party has already said they will oppose it. Republicans feel that the tax increases for the wealthy will ultimately harm the economy. Biden’s plan is ultimately reversing Trump’s tax cuts from 2017.