Cuts in payroll taxes and eviction ban would be contemplated within the next economic support program
Congress has promised to pass a new stimulus bill in the coming weeks, which will likely include additional help for small businesses and new provisions to help people who have lost their jobs across the country.
So far nothing is written and these would be some of the benefits that the new stimulus package could include:
Prohibition of eviction
At the beginning of the month it was revealed that a third of households in the United States did not meet their housing payments . Federal and state eviction bans have already expired so the next bill could include some form of housing assistance.
Experts like Flora Arabo, Senior National Director of State and Local Policy for Enterprise Community Partners, and other experts have estimated that at least $ 100 billion in aid alone is needed to pay the rent and ensure that people remain in their homes. The HEROES Act includes a section, however it is not clear if the Senate will accept it.
Payroll tax cut
Payroll taxes are used to fund government programs like Social Security and Medicare . Employees currently have 7.65% of their paychecks withheld for these programs . President Donald Trump has been pushing for the tax to be temporarily removed from the next bill.
The Center for Budget Priorities and Policy states that millions of unemployed people “are not benefiting at all, ” because they are not paying taxes at the moment. Conversely, those who earn a lot of money and have less need for financial aid would be the most benefited if approved.
Senate Mitch McConnell said Tuesday that Congress requires a new round of direct payments to help families .
This second payment should target families with lower income levels than the first round. Steve Mnuchin , the Treasury secretary, said the White House would support sending a new round of payments.
Nearly 32 million people will receive $ 600 federal unemployment insurance through the end of this week . Republicans are currently discussing a package that would cut insurance by $ 100 to $ 200 a week arguing that the benefits are discouraging people from returning to work as many are earning more than their previous salary. However, a large number of experts and economists disagree with the statement.
The president has suggested that unemployment benefits could be extended but cut to $ 200 a week, The Washington Post reported .
The next stimulus package would be expected to be approved until August, after Congress can reach an agreement.