It seems as if the United States has moved past the COVID-19 Pandemic and no longer needs Economic Impact Payments, but there is some new hope for another type of aid to people that will once again start helping families cope with rising prices brought on by inflation and a supply chain crisis.
The plan to extend the Expanded Child Tax Credits for an additional year under President Joe Biden’s “Build Back Better” initiative failed when Senator Joe Manchin (D-W. Va.) refused to join his party and accepted it in the Senate.
There is still hope, however, since Senator Mitt Romney (R-Utah) has proposed a plan that would reinstate monthly payments for families with children if it is passed, even though payments of $300 per month for children under the age of 6 and $250 per month for children aged 6 to 17.
The Family Security Act, his proposal, would provide $350 per month to families with children ages 0-5 and $250 per month to families with children ages 6-17 who qualify. For expectant parents, the benefit would begin four months before their child’s due date if they apply for it. A maximum of $1,250 per month would be available to families.
At least one parent is likely to have to work in order for a family to be eligible for the credit this time around, according to Romney in an interview with the Director of Economic Policy Studies at the American Enterprise Institute Michael R. Strain.
In the early phases of development, the bill’s requirements, amounts of money, and even ages of eligibility could all change before it even reaches a vote or is passed in any way.
In the end, though, the plan could help Americans if it hits a compromise between the aspirations of more Progressive Democrats for some monthly aid to American households, and is less expensive to fit with more Moderate and Conservative values.
If the bill is passed, there is no timetable for when taxpayers will be reimbursed.
News of the new benefit comes as inflation continues to wreak havoc on people’s wallets. After research discovered a direct correlation between more money and an increase in opioid overdose mortality among Americans, there have been warnings that additional stimulus funding will not be arriving.
Experts have also cautioned that stimulus payments will lead inflation to soar, meaning that while Americans may believe they are helping, they are contributing to their own downfall in the long run.