As October Child Tax Credit tax cut payments hit the bank accounts of nearly 100,000 Eighth District families today, U.S. Representative Matt Cartwright (PA-08) highlighted a new analysis by the House Committee on Education and Labor showing that the Build Back Better Act could save Pennsylvania families thousands of dollars in child care costs each year.
The Committee’s report found that the typical Pennsylvania family of four with one infant in full-time center-based child care would save $10,370 each year. The typical Pennsylvania family of four with one infant and one child in full-time center-based child care would save $20,530 each year.
“We have a chance to build on the tax cuts for working families that we enacted in the American Rescue Plan by making them permanent and lowering the cost of child care,” said Rep. Cartwright. “This bill will provide a strong foundation for kids to succeed, as well as economic security for more parents to return to work and share in our growing economy.”
Under the Build Back Better Act, no family would pay more than 7 percent of their income on child care. Families making 100 percent of the State Median Income or less would pay no more than 2 percent of their income on child care, regardless of the number of children they have in child care.
The legislation’s child care investments, which the House Education and Labor Committee advanced in September, would give families greater financial security, allow more parents rejoin the workforce and help grow the economy.
For the full state-by-state analysis, click HERE.