Senator Mitt Romney of the United States of America has unveiled a framework to offer better financial stability for American families by consolidating current programs to create a single universal child benefit program. The Family Security Act would be the name of this legislation.
Families would get a monthly financial benefit in the amount of $350 per month for each young kid and $250 per month for each school-aged child under the terms of this revised framework. One of the goals of this legislation is to provide a Republican-friendly version of the increased Child Tax Credit that might win support from all sides of the political spectrum.
While the Child Tax Credit is comparable in some ways, it is vital to clarify that Mitt Romney’s policy would not be a continuation of the tax credit program as is now in place. Instead, under this law, families that qualify would get a monthly child stipend as a substitute.
This Program Would Be Subject to New Rules
The good news is that this program will be expanded to include a broader variety of income categories, which will be a welcome development. With earnings of up to $200,000 per year, single filers would be eligible to qualify, and joint filers would be eligible with incomes of up to $400,000 per year. In comparison, the improved Child Tax Credit payments, which had far lower income restrictions, were a considerable difference in terms of value.
This plan, however, would set a monthly maximum allowance for families at $1,250 per month, implying that bigger families would not be eligible for payments for each kid in their home. Depending on Romney’s estimates, this proposal might reduce child poverty by up to one-third in the United States.