The 2024 presidential election has highlighted divisions between voters and politicians; However, there may be common ground on economic policy, as some of the presidents-elect have pointed out. Donald TrumpThe proposals reflect ideas previously supported by some Democratic lawmakers.
News week contacted Democratic leaders in the House and Senate for comment by email Friday.
Interest caps on credit cards
In September, Trump said on the campaign trail, “We’re going to cap it at about 10 percent. We can’t let them get 25 or 30 percent.” He added: “While American workers catch up, we will temporarily cap credit card interest rates.”
Progressives like Sanders and Representative Alexandria Ocasio-Cortez of New York has already introduced the Loan Shark Prevention Act to Congress. The law would limit the annual percentage rate for granting consumer credit to 15 percent.
Earlier today, the The New York Times The Daily podcast, Sanders said he would “absolutely” work with and support Trump’s proposal if it reflects what the Republican campaigned.
Sanders added: “I think it’s a very good idea. I think it’s time to tell the people on Wall Street that they can’t charge desperate workers who are struggling to pay their bills higher rates. interest of 25, 30, 40 percent.
The current average credit card interest rate is 21.5%, according to Federal Reserve data. This is six percentage points more than before the Covid-19 pandemic.
Allison Robbert-Pool/Getty Images
End Social Security Taxes
Trump has pledged to eliminate taxes on Social Security benefits once he takes office.
In January of this year, Democratic Rep. Angie Craig, alongside six Democratic co-sponsors, reintroduced a bill called the “You Earned It, You Keep It Act” that would eliminate federal taxes on Social Security benefits. This would increase the Social Security payroll tax cap.
The bill has been referred to the House Ways and Means Committee but is otherwise stalled.
News week reached out to Craig’s press team for comment via email Friday.
No tax on tips
Senator Ted Cruzalongside several Republican senators, presented the law this summer on no tax on tips. The proposal sought to eliminate income tax on cash tips, a policy position of both Trump and the vice president. Kamala Harristhe Democratic candidate, repeated during the election campaign.
In July, Nevada Democratic Senators Jacky Rosen and Catherine Cortez Masto signed the bipartisan bill.
Expanded Child Tax Credit
Today, the child tax credit offers families a $2,000 reduction on their tax bill for each child under 17 in their care.
Both Harris and Trump supported expanding the credit on the campaign trail, and Sen. J.D. Vancethe vice president-elect floated the idea of increasing the credit to $5,000.
In 2023, more than 40 Democratic senators supported the Working Families Tax Relief Act which sought to make child tax credit expansions permanent in 2021.