Obama’s “American Recovery and Reinvestment Bill”

Just in the last few days, House Democrats have been hashing out a bill that is being called the “American Recovery and Reinvestment Bill” to hopefully stop the bleeding of our economy. This $825 billion bill is actually two bills in one. There will be $550 billion in spending that will be handled by the House Appropriations Committee, but the remaining $275 billion will be used for tax breaks.

That’s right! The second half of this bill is said to include some tax breaks for businesses known as a “carryback” but the majority is going to the “Make Work Pay Credit” for low income families to receive another stimulus. (read more on the “Make Work Pay Credit“)
Unfortunately, this won’t happen on Tuesday immediately when Obama is sworn in as President, but let’s hope that we can all see a little relief soon.

Tags: $825 billion, American Recovery and Reinvestment Bill, carryback, House Appropriations Committee, low income, Make Work Pay Credit, Obama, President, tax breaks

New President…New Tax Plan? What Obama can do for you

We all cheered and clapped in Grant Park when Barack Obama was elected our 44th President of the United States. Staring at the Jumbotron, we knew a new America was coming. Even now, as the President-Elect, Obama’s team is talking tax reform. They want to boost the middle and lower classes, which could mean more money in your pocket.

Especially in this time with our economy in a rocky state, Obama wants to light a fire under congress to distribute another round of stimulus checks to those who need it most. Yes, it’s true that he wants to get the funding for this from the wealthier Americans, who, in turn, would be back to the tax rates they paid under President Bill Clinton. But isn’t that part of what America is about? Helping out those in need when they need it most?

Under Obama’s plan, 95% of us would be getting a break. Seniors would be totally exempt from taxes if they make less than 50K. If you own a home and don’t itemize deductions, you would be eligible for a tax break. Are you a student? Talk about a decrease for those pursuing a higher education. Obama also intends to try to extend the decreases on capital-gains tax. Isn’t it time we all save a little money?

Tags: 44th president, Barack Obama, checks, Obama, President, President-Elect, stimulus, tax breaks, tax plan