After many speeches and listening to all the talking heads speak, President Obama finally unveiled his job plan. The American Jobs Act is a nearly $450 billion investment in our country designed to get Americans back to work, reform the tax code and rebuild our country so it lives up to its full potential. The chances everything gets passed is slim to none, however the ideas in the bill are solid. To pay for the bill, taxes on the wealthy will finally have to increase and small and modest changes will have to take place to Democratic sacred cows like Medicare and Medicaid. President Obama has put out a bill that no real American could not be happy with. Investing in education and helping out our veterans is a win-win for everyone. Giving tax cuts to small businesses and the middle class who will actually spend the money as opposed to the wealthy who will put it in a savings account or Capital Gains, is the right way to go. There are a lot of good things in this bill and here are just 10 of the best.
1. Tax Credits for helping returning veterans. – This will help veterans who often struggle to find work after they defended our country, get back to work and be treated correctly. At the same time the veterans get back to work, businesses will receive a tax credit up to $5,600 for hiring the veterans who have looked for a job for more than 6 months and a tax credit up to $9,600 if they hire an unemployed veteran with a disability.
2. Modernizing at least 35,000 public schools & preventing up to 280,000 teacher layoffs – By rebuilding our schools, our children can compete with the best minds in the world. Our education system has fallen and this is a great way to get it back on track. In addition, saving hard-working teachers from being fired is always a positive thing.
3. A $4,000 tax credit to employers for hiring long-term unemployed workers – The right-wing often calls President Obama “anti-business” but this part of the bill is anything but that. What this provision does is kill two birds with one stone. The business will get a credit back while tackling the unemployment situation. Everyone wins.
4. Allowing more Americans to refinance their mortgages at today’s near 4 percent interest rates – The burst in the housing bubble and the deregulation of the banking industry led to the financial collapse of 2008. Many Americans saw their mortgages double and triple over time causing them to default. President Obama is looking to help Americans in their time of need and this is a great way for that to happen.
5. Cutting the Payroll Tax Cut in half for the first $5 Million in wages – This provision would cut the payroll tax in half on the first $5 million in wages, giving relief to all businesses but targeting the 98% of companies whose wages fall below this level. The average American will see a $1500 savings each year by paying into Social Security at a rate of 4.2% instead of the normal 6.2%. The money that is not covered to make up the difference in Social Security will than be made up by what is taken in from federal income taxes.
6. Making an Immediate Investment rebuilding our country – With a $50 billion investment in our countries infrastructure, we will actually see people working. Many of our roads, bridges and tunnels are under code and need fixing.
7. Bridge to work – The bridge to work programs let employers bring unemployed workers on board as trainees. The unemployed will not receive pay but will still get their unemployment benefits, at the same time get valuable training and help out the company.
8. Investing in our youth – President Obama knows that education and Americans children are the corner stone to our future. In the American Jobs Act we will see a large investment in getting low-income youth off of the street and into summer jobs and training that will lead to full time productive positions.
9. Closing corporate loopholes – While providing tax relief for small businesses, the President is looking to close the corporate loopholes that big businesses have used to cheat the country out of their fair share. This jobs plan will even the playing field and make sure everyone pays their fair share.
10. NOT another stimulus – To make sure the plan is paid for and not another stimulus, President Obama has announced that the Joint Super Committee ,that was put together as part of the Debt Ceiling deal, will come up with the cuts necessary to pay, in full, the new Jobs Plan.