In the spring of 2020, the COVID-19 pandemic started. Since then, Americans have received three stimulus payments – $1,200 in March 2020, $600 in December 2020, and $1,400 in March 2021. Moreover, parents received as much as $300 per child per month for the last six months of 2021, Syracuse reported.
Meanwhile, Congress is hesitant to expand stimulus checks and the Biden administration’s proposal to extend child tax payments to 2022 was rejected by the Senate. In a new proposal, however, direct payments designed to help families would be reinstated.
In January, Sen. Mitt Romney, R-Utah, introduced the Family Security Act, a proposal that would provide $350 per month to families with children 0-5 and $250 per month to families with children 6-17. Furthermore, expectant parents would be able to apply for benefits four months before the due date of their child. A maximum of $1,250 would be paid monthly.
“American families are facing greater financial strain, worsened by the COVID-19 pandemic, and marriage and birth rates are at an all-time low,” Romney stated.
“On top of that, we have not comprehensively reformed our family support system in nearly three decades, and our changing economy has left millions of families behind.”
The end-of-year tax return currently received by a married couple earning $38,990 a year – 150% of the federal poverty line – is $7,041. Family Security Act will increase their benefit by $2,318 annually through monthly installments of 75%.
According to Romney’s plan, benefits will be reduced by $50 for every $1,000 above the income threshold – $200,000 for single filers and $400,000 for joint filers. The plan would also place work requirements for beneficiaries.
Last year, the bill initially proposed by Romney failed to gain traction with lawmakers. Recently, it has been revived as Biden’s Build Back Better Plan – which included an extension of the child tax credit – has failed.
“Now that it’s clear “Build Back Better” isn’t moving forward and with bipartisan opposition to extending the President’s ill-crafted Child Tax Credit, the Administration has an opportunity to actually work with Republicans and Democrats on lasting, fiscally-responsible family policy,” Romney said.