{"id":7044,"date":"2024-10-31T12:54:04","date_gmt":"2024-10-31T12:54:04","guid":{"rendered":"https:\/\/finderica.com\/election-2024-where-the-candidates-stand-on-personal-finance-issues\/"},"modified":"2024-10-31T12:54:04","modified_gmt":"2024-10-31T12:54:04","slug":"election-2024-where-the-candidates-stand-on-personal-finance-issues","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=7044","title":{"rendered":"Election 2024: Where the Candidates Stand on Personal Finance Issues"},"content":{"rendered":"
\n
\n

Consider this your election cheat sheet to find out what <\/span>Vice President Kamala Harris<\/span> and former <\/span>President Donald Trump<\/span> are promising to do as they vie for the nation\u2019s highest office. Here\u2019s where the candidates stand on top economic and personal finance issues. <\/span><\/p>\n<\/div>\n

\n

Both presidential candidates want to lower prices and slow <\/span>inflation<\/span>, but whether a president can directly do so is less certain. Inflation, as measured by the consumer price index, has already slowed to 2.4%, well off its pandemic-fueled peak.<\/span><\/p>\n<\/div>\n

Trump:<\/span><\/h3>\n
\n
    \n
  • \n
    \n

    Place tariffs on imports. <\/span><\/span>Trump wants to place a 10% to 20% tariff on all foreign imports; up to 60% tariff on imports from China; and 100% to 200% imports on automobiles produced in Mexico. He says his tariffs would support U.S. manufacturing and raise revenue. But experts from all over the political spectrum say that his tariff plan is more likely to increase prices in the U.S.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

  • \n
    \n

    Lower gas prices. <\/span><\/span>Trump has pledged to increase oil and gas production on federal lands. The president\u2019s <\/span>ability to lower gas prices<\/span> is limited as the price at the pump is more directly influenced by global market forces.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

  • \n
    \n

    Weaken the power of the Federal Reserve. <\/span><\/span>Trump says he wants to bring the Federal Reserve under the power of the president; experts say it could weaken the central bank\u2019s credibility in making interest rate decisions.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

  • \n
    \n

    Cap credit card interest rates at around 10%<\/span><\/span>. The average credit card interest rate is 21.51%, according to Federal Reserve data from May 2024. It would require Congress to enact and would likely face legal pushback.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n<\/ul>\n<\/div>\n

    \n
    \n
    \n
    \n
    \n
    \n
    \n
    \n
    \n
    \n
    \n

    Nerd out on investing news<\/span><\/p>\n

    A SS account is the smartest way to see the latest financial news and what it means for your wallet.<\/span><\/p>\n<\/div>\n

    \n
    \n
    <\/div>\n<\/div>\n<\/figure>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

    Harris: <\/span><\/h3>\n
    \n
      \n
    • \n
      \n

      Ban price gouging.<\/span><\/span> Harris wants to create rules that would prevent corporate grocers from raising prices arbitrarily. The ban would require approval by Congress. Critics say her plan is mainly an election promise rather than a sound economic policy.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

    • \n
      \n

      Lower prescription drug costs. <\/span><\/span>Harris plans to extend to all Americans a $35 cap on insulin and $2,000 cap on out-of-pocket expenses for seniors. She also wants to make it quicker and easier for Medicare and other federal programs to negotiate prescription drug prices. Experts say her plans could be effective in bringing down costs, but will face pushback from Big Pharma lobbyists.\u00a0\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

    • \n
      \n

      Increase the minimum wage. <\/span><\/span>Harris says she would push to raise the <\/span>federal minimum wage<\/span> to at least $15 per hour, up from the current minimum wage of $7.25. The federal minimum wage hasn\u2019t been touched since 2009 and raising it would require approval in Congress.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n<\/ul>\n<\/div>\n

      \n

      The campaign proposals that would most directly impact consumers are tax cuts and credits. <\/span><\/p>\n<\/div>\n

      Trump:<\/span><\/h3>\n
      \n
        \n
      • \n
        \n

        Extend tax cuts in his 2017 Tax Cuts and Jobs Act<\/span><\/span> that are expiring at the end of next year. The TCJA includes estate tax cuts and individual income tax cuts.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

      • \n
        \n

        Replace personal income taxes<\/span><\/span> <\/span>with tariffs<\/span><\/span>. His new plan would place a 10% across-the-board tariff on foreign imports with much more for China. More on that above.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

      • \n
        \n

        Lower the corporate tax rate by one percentage point.<\/span><\/span> Trump wants to cut the corporate tax rate from 21% to 20%.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

      • \n
        \n

        Implement R&D tax credits for businesses.<\/span><\/span> The tax credits would allow businesses to write off 100% of expenses in its first year, including machinery and equipment. It\u2019s a reversal of his 2017 tax cuts that phased out write-offs for R&D expenses in a business\u2019 first year.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n<\/ul>\n<\/div>\n

        Harris:<\/span><\/h3>\n
        \n
          \n
        • \n
          \n

          Increase taxes for the wealthy.<\/span><\/span> Harris wants to raise the net investment income tax up to 5% on those with incomes above $400,000. She also wants to increase the highest tax rate on long-term capital gains to 28% on taxable income above $1 million.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

        • \n
          \n

          Increase taxes for corporations.\u00a0<\/span><\/span><\/p>\n<\/div>\n<\/li>\n

        • \n
          \n

          Expand <\/span><\/span>Child Tax Credit<\/span><\/span>: <\/span><\/span>Harris wants to increase the credit to $6,000 for children under the age of 1; $3,600 for children ages 2-5; and $3,000 for older children.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

        • \n
        • \n
          \n

          Permanently extend the expanded premium tax credits<\/span><\/span> for those who purchase health insurance through the health insurance marketplace. \u00a0<\/span><\/p>\n<\/div>\n<\/li>\n

        • \n
          \n

          Increase tax incentives for small businesses. <\/span><\/span>An increase in federal tax incentives from $5,000 to $50,000. The deduction would be available to new businesses until they turn a profit. The incentive feeds into her goal of creating 25 million new small businesses in the next four years.\u00a0<\/span><\/p>\n<\/div>\n<\/li>\n<\/ul>\n<\/div>\n

          \n

          No tax on tips<\/span><\/span>: The candidates\u2019 aims are vastly different, but there\u2019s one proposal they both support: exempting workers from paying taxes on their tips. But experts say it\u2019s just bad policy that doesn\u2019t get to the fundamental needs of tipped workers. <\/span><\/p>\n<\/div>\n

          \n

          When it comes to health care, the candidates have been light on the details, although both candidates promise to protect Medicare. Here\u2019s where they differ. <\/span><\/p>\n<\/div>\n

          Trump:<\/span><\/h3>\n
          \n