The Cost-of-Living Refund incorporates key modernizations to the current EITC by:
Providing support for more people (reaching further into the middle class, having no upper age limit for recipients, and including childless workers) to reduce financial instability up the income ladder
Expanding the definition of work to include caregivers and students, to help families and individuals take care of one another, acquire skills, and still get ahead
Making the EITC user-friendly by providing the option to receive the credit monthly and through automatic filing, simplifying the complexity of the federal EITC and making the benefit more predictable and easier to understand
“Supporting family caregivers through the EITC,” Caring Across Generations, 2019.
PAYING THE CREDIT MONTHLY
The value of monthly payments from the perspective of the “Submerged State,” The New Republic, 2011.
Monthly payment policy recommendations:
SIMPLIFYING THE CREDIT TO IMPROVE ACCESS
Simplified/automatic filing policy recommendations:
ComplementING the minimum wage
“State earned income tax credits and minimum wages work best together,” Center on Budget and Policy Priorities, Mar. 2019.