Millions of Americans desperately need the support and skills to achieve and sustain financial independence,” said Gallagher. Over 20 million working adults still live below the poverty level despite the fact that many hold down multiple jobs. Meanwhile, the personal savings rate is the lowest in almost 75 years.

The EITC

The Earned Income Tax Credit (EITC) is a federal tax benefit for low and moderate-income workers who are eligible for and claim the credit. The credit reduces the impact of payroll and income taxes paid by these workers, supplements the earnings of very low-wage workers, and may be returned in the form of an IRS refund check.

Many families with children who qualify for the EITC may also be eligible for the Child Tax Credit (CTC), which reduces federal income tax liability. Some low-wage families who don’t earn enough to owe income tax may still qualify for a CTC refund.

General Resources

The IRS’ general page on the Earned Income Tax Credit

• Ascension Healthcare
• Phizer
  Any initiative would center around access to health care, including preventative measures.

A quarter of United Way’s money goes toward healthcare, but a lot of it is in legacy giving (e.g. “We give to the ACS because we always have”).

Overlaps between FSP and health: 50% of bankruptcies in 2005 were caused in part by health care costs.

• Look for a study by the Social Development School at Washington University called “Assets, Health, and Well-being.”
• Brookings Institute

• List of “Partners in Progress”
• New America Foundation
  • http://www.assetbuilding.org
• Washington University
  • rsch on IDAs
• Brookings and Casey Foundation
  • The high cost of being poor

• Santorum
• Clinton – kids accounts

• Increase income
  • EITC (Earned Income Tax Credit)
  • Credit repair/debt reduction
  • Workforce development
  • Accessing public & employer benefits
• Build savings
  • Savings campaigns
  • Split refunds
• Gain and sustain assets
  • IDAs
  • Asset protection

External resources (mostly in asset building)

• CFED
• The New American Foundation
• The Aspen Institute
• Center for Social Development
• Demos
• Consumer Federation of America
• Center for Financial Services Innovation

• Assets for Independence Act
• The Federal Assets for Independence Program

• IRS Toolkit for working with the EITC