2 weeks Ago By GOBankingRates
As Election Day draws near, middle-class Americans are curious about how their finances might change. While a Harris victory could impact workers nationwide, experts suggest that residents of certain states might see more significant benefits to their . GOBankingRates spoke with financial experts to uncover which states could see middle-class paychecks get a boost .
Earning passive income doesn't need to be difficult. Cliff Ambrose, FRC, founder and wealth manager at , pointed to states with higher living costs as potential beneficiaries. “If Kamala Harris wins, middle-class paychecks in states like New York [.
..] could see some relief,” Ambrose said.
“Harris’s policies, which support higher minimum wages, tax credits for families and expanded access to healthcare, might boost take-home pay for middle-class workers.” Paul Carlson, managing partner at , added that California, Harris’s home state, could see particular benefits. “With her proposal to increase the corporate tax rate to 28%, larger companies in the state may be encouraged to invest more in their workforce to offset costs,” Carlson explained.
He also highlighted potential benefits for families: “Harris’s plan to enhance the child tax credit to $6,000 for newborns would directly impact many families in California, where the cost of living is high.” While there may be potential tax increases for high earners in New York, the state could still see benefits for the middle class. Ben Johnston, COO of , explained that Harris’s policies could lead to increased federal funding.
“Vice President Harris...
has directed government funds toward infrastructure improvements, green manufacturing and high-tech manufacturing by passing the Infrastructure Bill, the Inflation Reduction Act and the CHIPs Act,” Johnston said. This increased funding could potentially create more job opportunities and boost wages for middle-class workers in New York. Carlson suggested that Texas could see significant benefits under a Harris presidency.
“Texas could experience a boost in middle-class paychecks if Harris’s plans to increase taxes on corporations and the wealthy are implemented. The additional revenue could be used to improve education and healthcare,” he said. Carlson also highlighted potential benefits for small business owners: “Her proposal for a $50,000 tax deduction for small business startup expenses could encourage entrepreneurship in Texas, leading to job creation and higher wages for workers.
” Brandon Galici, CFP and founder at , pointed out that states with higher median incomes could benefit from Harris’s proposed tax credits. “States with the highest median incomes stand to gain the most from tax credit extensions. According to U.
S. News & World Report, these include New Jersey and Maryland,” Galici said. He explained that a reduction in effective tax rates has a more significant dollar impact on higher incomes, potentially benefiting middle-class families in these states.
Johnston brought up Harris’s focus on green energy, which could particularly benefit states like Massachusetts. “One of the stated goals of this spending is to reinvigorate the U.S.
manufacturing base and provide quality jobs for American workers,” Johnston explained. This could lead to increased job opportunities and higher wages for middle-class workers in Massachusetts’s growing green energy sector. It’s worth remembering that campaign promises don’t always translate directly into policy.
Any big changes would need to get through Congress first, which can take time and often involves compromise. Also, the economy is complex and influenced by many factors beyond just who’s in the White House. Global events, technological changes and market forces all play a role in shaping economic outcomes.
As November approaches, middle-class Americans would do well to stay informed about potential policy changes. Being prepared is always a wise move, regardless of who wins the election. This article originally appeared on :.
