As the election nears, the economic stakes for our families have rarely been higher. Between rising living costs, child poverty rates, healthcare needs, and the demand for affordable housing, we are looking for our presidential candidates to present viable solutions that will relieve the household budget stress and create the economic mobility we need. The National Parents Union Action Fund poured over the economic plans proposed by Kamala Harris and Donald Trump – and the evidence was clear: Harris’ plan promising targeted relief and investments for middle- and working-class families, while Trump’s approach focuses on extending tax cuts and tariffs that will benefit the wealthy, while failing to provide the relief hardworking American families need.
Child Tax Credit (CTC): A Lifeline for Families
One of the most meaningful benefits to family budgets has been the Child Tax Credit (CTC). This critical support, temporarily expanded by the Biden administration in 2021, helped reduce child poverty by nearly 30%, sending monthly checks to families that helped cover childcare, groceries, housing, and healthcare. Harris would further build on this success by making the CTC fully refundable and raising the per-child amount. For example, under her plan, families with newborns would receive a $6,000 credit, while those with children under six would receive $3,600. Harris also plans to expand CTC eligibility to 17-year-olds, ensuring that parents with teens also benefit.
Trump’s economic plan, by contrast, does not propose any changes to the CTC, meaning families would not see additional direct support for children. And although Trump has promised to make the tax cuts under the Tax Cuts and Jobs Act (TCJA) permanent, this mainly benefits high earners, with less impact on middle- and lower-income families who need the most support. Notably, an analysis by the Center for American Progress estimates that Trump’s economic approach would actually cost families an additional $3,900 annually, compounding financial strain for millions.
Cost of Living: Tackling Housing and Healthcare Costs
Harris' plan tackles two of our highest household expenses: housing and healthcare. With affordable housing programs at the forefront, Harris plans to support first-time homebuyers with a tax credit and boost affordable housing through tax incentives for developers. Her proposal to expand Affordable Care Act subsidies further reduces our out-of-pocket healthcare costs, an especially meaningful change for those of us who struggle with employer-provided or limited coverage options. According to recent National Parents Union polling, 83% of K-12 parents support capping the cost of out-of-pocket spending on prescription medications at $2,000 per year and 74% support providing up to $25,000 in down payment support for first-time home buyers. Together, these policies signal a plan focused on easing financial stress for families where it matters most—at home and in healthcare.
Trump’s plan leans on tax incentives alone to address housing costs, without specific guidance on how this will directly support families struggling with today’s high mortgage and rental rates. For healthcare, his campaign has not proposed a comparable expansion to ACA subsidies or other direct family healthcare relief, leaving a key gap in coverage for families unable to afford rising medical costs. Further, his threats to dismantle ACA improvements pose significant risks and chaos, particularly for American families dealing with preexisting conditions and parents supporting young adults on their plans. These proposals could unravel the critical safety net families rely on to provide health security for their children as they transition into adulthood, introducing uncertainty and potentially higher costs for care.
Economic Impact and Revenue
While both candidates must contend with the national deficit, their plans to increase revenue reflect starkly different priorities. Harris plans to tax high earners and large corporations to generate $4.3 trillion, while capping these taxes for households earning less than $400,000. Harris also proposes saving an additional $250 billion through prescription drug cost controls, a direct savings for family budgets.
Trump, on the other hand, intends to raise revenue through heavy tariffs and environmental deregulation, generating $3.7 trillion over a decade. While these tariffs on foreign imports may benefit some domestic industries, they are also likely to raise prices for families on everything from everyday goods to energy. This tariff-heavy approach would also rely heavily on opening protected lands for drilling, an action expected to increase environmental costs for communities, with no direct benefit to family budgets.
The Verdict: A Plan to Help Families Now
For families, Harris’ plan offers far more direct financial relief. Her policies would expand the Child Tax Credit, lower healthcare costs, and boost affordable housing options, providing tangible support in areas that matter most to American households. The Trump plan, while extending tax cuts and offering new tariffs, would primarily benefit higher earners and industries, with limited relief for middle- and working-class families.
The bottom line is clear: Harris’ economic plan aims to strengthen the American family by reducing costs and targeting aid where it is needed most, making her proposal the better choice for families looking to get ahead.