U.S. Senator Bob Menendez detailed some of the benefits of new legislation he is sponsoring, the American Family Act – which aims to aid low-income families – while at the Union City Day Care Center this morning.
By John Heinis/Hudson County View
â€œThe American Family Act is the kind of bold action we need to give more low-income children, and especially children of color, a fighting chance of making it into the middle class,â€ Menendez said.
â€œOur legislation reforms the Child Tax Credit to reflect real-life challenges parents face. We know, for instance, that while the birth of a child is a joyous event, itâ€™s also an expensive one and a leading reason why families fall into poverty.”
The legislation would be beneficial to families that earn less than $150,000 a year, allowing for a young child tax credit of up to $300 a month (for children under six), as well as a child tax credit not to exceed $250 a month (for children between ages six and 17).
Additionally, both benefits would be fully refundable if the new legislation were to take effect.
For example, a couple that earns a combined salary of under $150,000 year with two children under six can receive a maximum tax benefit of up to $4,000.
Under the American Family Act, that number would increase to $7,200.
As of this writing, the measure has been endorsed by the following organizations: Center for American Progress, Center on Budget and Policy Priorities, Center for Law and Social Policy, Child Care Aware of America, Childrenâ€™s Defense Fund, Community Change Action, Economic Security Project, First Focus, MomsRising, National Association for the Education of Young Children, National Womenâ€™s Law Center, Niskanen Center, Service Employees International Union, and Zero to Three.