Families are struggling so when headlines announce new non-taxed federal investment accounts for kids or private schools scholarships for Philadelphia kids, they sound like good ideas. But don’t be fooled – these are not lifelines, they are distractions. They’re not enough to make a substantial difference for working families and not even close to what low-income families need to move out of poverty.
New research by Children First and the Maternity Care Coalition lays out specific policy changes that could have a huge impact on the lives of PA children and teens, not just a select few. Atop the list is paid family and medical leave.
A recent national survey of parents revealed that about six out of ten new parents took six weeks or less of parental leave; most wanted more time than they were able to get. “[The most challenging thing about being a parent of a young child is] having to leave and return to work,” reported an Iowa mom of two kids.
The four million PA workers without paid leave have to make heartbreaking choices like not being able to care for a newborn or even forgoing having the children they want because they can’t afford to lose their jobs or their financial security. Paid leave legislation passed the PA House but is still waiting for a Senate vote. Click here to send an email to your senator.
A state child tax credit is another way to cut parents a break. While state child tax credits can vary widely, on average, state child tax credits give caregivers $3,273 back. That can go far to pay some bills, buy groceries or clothes, or make household repairs. PA is not among the 17 states that has a state child tax credit (CTC).
Over the long run, tax breaks for families with children reduce child poverty and improve economic stability and enhance child health, education and long-term outcomes. Let’s not forget how the expanded Child Tax Credit cut child poverty rates in half during COVID! That money goes directly to helping parents and caregivers pay bills, co-pays, medication, and education expenses. We were thrilled to hear that Representative Tina Davis from Bucks County is in the process of introducing a state CTC bill – we’ll keep you updated.
PA leaders also need to do more to keep health care accessible and affordable. Trump’s budget overhaul last year (H.R. 1) has made buying health insurance on the ACA marketplace so expensive that new data predicts that five million Americans will drop their ACA coverage this year. Cuts to health care funding in H.R. 1 is expected to kick 310,000 Pennsylvanians off Medicaid and close 17 rural hospitals in the Commonwealth.
Fortunately, the PA House passed a budget that adds over $104 million for the Children’s Health Insurance Program (CHIP), which covers children and teens from working families. It’s now up to the Senate to vote on. While this may not benefit every family, it’s a step in the right direction.
Still, there are big ways our legislators can show up for working families, like making child care more affordable and investing in quality public education. The past two state budgets included major increases in public education funding and some boosts in early learning investments but they’re below the billions of dollars needed. The FY 26 budget included $913 million more in K-12 funding and $34.5 million more in child care and pre-k; the FY 25 budget included $1 billion more in K-12 and $15 million more in early learning.
Ironically, the people who oppose these measures that actually help families are the same people who launch niche programs like investment accounts and private scholarships in the name of helping families. That’s more about cultivating a good public image than building real supports for families that result in generational change. It’s important that we recognize that a true blueprint to keep families strong is less optics and more true opportunity.