Harris Proposes Child Care Cap; Trump Suggests Tariffs

TL/DR –

Kamala Harris has proposed expanding the child tax credit to provide middle-class and working-class parents with $6,000 during the first year of their child’s life, and capping child care costs at 7% of a family’s income. In contrast, Donald Trump’s plan is to tackle rising costs, such as child care, by increasing taxes on imports, despite evidence that this could raise costs for families. Meanwhile, JD Vance, Trump’s running mate, suggested relying more on family members for child care and also suggested raising the child tax credit, but did not vote on a bill to restore the credit.

Harris aims to limit families’ child care costs to 7% of their income and provide up to $6,000 for newborns’ first year. Alternatively, Trump suggests tariffs as a solution to the child care crisis, despite evidence suggesting this approach would increase families’ costs.

For parents with an infant, which is more beneficial: federal support of up to $6,000 yearly and a 7% income cap on child care costs, or tariffs on imported goods? The former is proposed by Democratic nominee for president Kamala Harris, who strives to increase the child tax credit for middle-class and working-class parents to $6,000 in their child’s first year, $3,600 for children aged one to five, and $3,000 thereafter.

Harris emphasizes the first year’s crucial developmental stages and significant costs, especially for young parents. She’s proposed a 7% income cap on child care costs for working families, a plan widely praised by policy experts.

“Harris recognizes the child care crisis’ profound impact on women, families, early educators, and the economy at large. Her plan to cap child care costs at 7% of income for working families would be transformative, providing needed relief to those struggling with rising care costs,” stated Melissa Boteach from the National Women’s Law Center Action Fund in a declaration.

Trump’s plan, on the other hand, revolves around tariffs or taxes on imported goods. When asked about child care affordability, Trump proposed taxing imports to address rising costs, such as child care. However, tariffs would not reduce child care costs and instead increase the price of other necessary items for families.

A study by the American Action Forum, a conservative think tank, estimated that Trump’s proposed 10% import tariff could add $1,700 to $2,350 to American households’ annual costs.

Trump’s running mate, Senator JD Vance, once described universal day care as a “class war against normal people,” offering an alternative solution: encouraging family members to assist with child care. In a chat with Charlie Kirk, founder of Turning Point USA, Vance suggested families could relieve some pressure by having grandparents, aunts or uncles help out.

Although this may work for some families, many parents live far from their families or face other barriers to relying on them for care. Vance also proposed raising the child tax credit. However, when the Senate voted to restore the credit to the $3,600 figure from 2021 as part of Biden’s American Rescue Plan, Vance was absent from the vote, choosing to campaign in Arizona instead.

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