Apr 24, 2018

Tax Reform is Working for Middle-Class Americans

Post by Freedom Partners

Today, the Senate Committee on Finance is scheduled to review their early impressions on the new Tax Cuts and Jobs Act. As they begin their hearing this afternoon, it’s worth reflecting on the impact this law has had on the economy, American businesses, and hardworking taxpayers across the nation thus far.

Since its passage in December 2017, tax reform has helped to grow our economy by allowing millions of Americans and their families across the country to keep more of their hard-earned money. Several hundred companies and businesses have announced employee bonuses, increased wages, enhanced employee retirement plans, expanded health insurance benefits, and announced new hiring, workforce training and development initiatives.

For example, Apple announced that, thanks in part to tax reform, it will create 20,000 new jobs, open a new campus, and contribute $350 billion to the American economy over the next five years. Mastercard, Heinz, FedEx, UPS, and Best Buy, among many more, have all announced similar benefits that directly impact middle-income Americans.

Community banks, car dealerships, and other small businesses are also passing along benefits to their workers, which highlights the widespread and positive impacts of tax reform. These benefits are geared toward non-executive employees, meaning the average American worker will see more money back into their pockets. As New Jersey Business reported, Central Jersey car dealership, Flemington Car and Truck Country Family of Brands, gave each full-time employee a $500 bonus at its eight different locations; In Michigan, Traverse City Business News noted that the city’s local bank, Traverse City State Bank, gave each of its 90 employees a $750 cash bonus; In Maine, where Pottle Transportation is planning on purchasing 25 tractors and 25 trailers this year to increase business capacity, per Transport Topics.

With new investments, higher wages, and a positive outlook for the economy, it’s clear that tax reform is already working for Americans. Hardworking Americans can feel these real, positive impacts from tax reform in their everyday lives.