The Council of Economic Advisers (CEA) Report

The Council of Economic Advisers (CEA) has released a report indicating promising economic outcomes from President Trump’s proposed ‘One, Big, Beautiful Bill.’ According to the report, this legislation could lead to increased take-home pay for families, with projections ranging from $7,800 to $13,300, and higher wages for workers, estimated between $6,100 and $11,600. Furthermore, the CEA predicts that implementing these policies might boost U.S. investment from 4.9% to 7.5% and potentially create or save approximately 4.2 million jobs in the long term.

The report highlights specific provisions within the proposed bill, such as a new deduction for seniors that could raise their average take-home pay by around $400 to $450 annually. Additionally, it notes that the ‘no tax on tips’ proposal could increase the earnings of tipped workers by an average of $1,675 each year. The elimination of taxes on overtime wages is also expected to encourage workers to increase their hours, resulting in a slight increase in overall labor supply and a GDP rise of 0.1% to 0.2% in the short run.

Overall, the CEA’s analysis provides a positive outlook on the potential impacts of President Trump’s tax policy, emphasizing the expected financial benefits for families and workers while also forecasting significant economic growth. As discussions around the proposed legislation continue, these projections serve as a basis for understanding the potential economic landscape following its implementation.

Original: article