President Biden’s Budget Proposal

President Biden’s budget proposal for 2024 has the potential to provide significant relief for American families struggling with the high costs of childcare. For many middle- and lower-income families, the cost of childcare, particularly for children under 5 years old, has been a source of frustration.

The US ranks worst in the developed world for early childcare, and Biden’s budget proposal acknowledges that 75% of private sector workers do not have access to paid family leave through their employers, GoBanking Rates reported. In states without paid family leave laws, parents are often forced back to work immediately or must pay exorbitant childcare costs.

To address these issues, Biden’s budget proposal proposes five measures.

These measures include restoring the enhanced Child Tax Credit to 2021 levels, which would provide families with $3,600 per child under 6 years old and $3,000 per child aged 6 and over. This would help to reduce child poverty, as demonstrated during the pandemic.

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Biden’s budget proposal also proposes a national, comprehensive paid family and medical leave program administered by the Social Security Administration. This would provide up to 12 weeks of partial wage replacement for caring for and bonding with a new child, caring for a loved one, or healing from a serious illness. Leave would also be available for situations related to domestic violence, sexual assault, or stalking.

Biden’s budget proposal proposes expanding access to affordable, high-quality childcare, including allocating an additional $22.1 billion to Head Start’s early care and education programs and $9 billion for the Child Care and Development Block Grant. The proposal estimates a total allocation of $600 billion to childcare and preschool programs over 10 years.

Furthermore, Biden’s budget proposal calls for an additional $500 million for demonstration grants to provide free, high-quality preschool for children in high-poverty areas. This expansion of programs would make preschool available to all of the approximately four million four-year-old children in the US.

Finally, Biden’s budget proposal proposes an expanded tax credit for businesses that offer childcare benefits to their employees. These changes could help support American families and strengthen the workforce while setting children up for a lifetime of success. The budget represents an important step towards reducing the financial burden of childcare and improving access to high-quality early childhood education.

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