Low-Income Families Get More Help in 2011 Budget

The 2011 budget President Obama proposed yesterday contains some hopeful news for low-income families -- namely, his budget makes permanent the Earned Income Tax Credit (EITC) and the Child Tax Credit (CTC) expansions from the American Recovery and Reinvestment Act. Both of these tax credits put more money in the pockets of low-income working families. In fact, last year the combined EITC and CTC programs lifted almost one in 10 Americans above the poverty line. That includes 5 million kids.

Obama's proposed budget also makes permanent expansions in the size of EITC benefits for families with three or more children, and lowers the income threshold to $3,000 in the CTC. At a time when so many families are experiencing stagnant wages, double-digit unemployment, and rising living costs, these tax credits make a big difference -- these stories show how.

That's why Bread is focusing on the EITC and CTC in our 2010 Offering of Letters. Help us urge Congress to protect and strengthen these key tax credits -- check out out our Web site for more information and to get involved in our campaign.