The administration is considering various ways to forgive some student loan debt through executive action. In recent weeks, senior Biden aides have examined limiting the relief to people who earned less than either $125,000 or $150,000 as individual filers the previous year, the people said. That plan would set the threshold at around $250,000 or $300,000 for couples who file their taxes jointly, the people said.
But the loan forgiveness under consideration would go much further. In 2019, the most recent year for which data is available, 97 percent of all student debt was held by people earning below the threshold of $150,000 per single and $300,000 per couple, according to Matt Bruenig, the founder of the People’s Policy Project, a left-leaning think tank.
But Biden faces substantial pressure to take substantial action, particularly during the collapse of the rest of the White House economic agenda aimed at lowering health-care, housing and other household costs. The congressional Hispanic Caucus and Congressional Black Caucus are among those that have pushed the administration to take aggressive action, in part because Black Americans represent a disproportionate share of student debtors. Black people are 16 percent of the U.S.
Economist Larry Summers, who served under presidents Bill Clinton and Barack Obama, said he would prefer Biden approve policies targeted at the half of the population that did not go to college, who on balance have less money than those who did. He also said there are “concerns” student debt cancellation could increase inflation, depending on the total amount of loans forgiven.
Agree ...if not it just sounds like more tax breaks or government stimulus money for those that don't need it and just adds to inflation and increases taxes for those already struggling in these challenging economic times
this will not help America ! Pay your own way that is what wrong with America too many free loaders!!!
This is just another form of taxation. Transfer payments earmarked for a subset of low & middle class wage earners
I'm all4debt forgiveness as it invests in our human infrastructure&puts more $ in pockets2spend on stuff but I don't I believe income caps4 student loan eligibility is wise. It's no-one's business how a fam is using $. They may folks in pricey elderly care. etc. WHCOS POTUS
In recent weeks, senior Biden aides have examined limiting the relief to people who earned less than either $125,000 or $150,000 as individual filers, or around $250,000 or $300,000 for couples who file jointly. No final decisions have been made.
Punishing people for using their student loans to get jobs that would allow them to pay them back makes no sense. $10k for everyone or no one.
The problem I have with a cap is that the so called higher earners are the middle-class who are paying back twice as much because once again we fall into that tax bracket that gets penalized, so we end up having to pay back our loans and the loans of the lower income population!!
JonLemire So now we’re only rewarding people who spent $150,000 on a lit degree?
This is CRAZY!!! DO SOMETHING ABOUT THE SOUTHERN BOARDER!!!
If you post a story, kindly unlock the pay wall so we can actually read it.
If I knew this shit was gonna happen, I would have went to YALE!!!!
I’ve said all along that this vote pandering issue will backfire. Now it will backfire worse. Most people don’t attend college. This is piss them off. Then the people who miss out on eligibility due to income will be pissed. It’s as if his advisors want to lose the midterms.
If they do it has to be everyone alive retroactive who ever paid gets his money back fair
Canceling debt to a class of Americans who are and will become the highest earners is only helping the rich, yet, dems claim to be for the people who are the poor,what a joke! I really have to thank former Vice President Joe for shedding light on the hypocrisy and radical left BS
So we are going to reward the idiots who’s degree in 7th century basket weaving is useless and punish those who chose wisely. Sounds about right.