(WASHINGTON) – With the economy a priority for many Americans in the upcoming 2024 election, Democrats and Republicans are laying out plans to address the financial burden on families across the country.

Vice President Kamala Harris, the 2024 Democratic presidential candidate, is proposing a new plan that would give middle- and low-income families tax credits of up to $6,000 in the first year of their child’s life, a plan that could cost $100 billion over a decade, according to the Committee for a Responsible Federal Budget.

If elected president, Harris also wants to increase the child tax credit to $3,000 for all children and $3,600 for infants. The CRFB estimates this will cost $1.1 trillion over ten years.

Republican vice presidential candidate JD Vance also recently raised the idea of ​​raising the child tax credit to $5,000 in an interview with CBS.

Financial support for new or expectant mothers has also been available for years through income guarantee programs. The data so far shows that support in early childhood leads to increased savings, housing stability, food security and more.

“It’s a smart economic investment for our country, and I’m very pleased that both parties recognize the bipartisan nature of this and both step forward and say we could do a better job of taking care of our youngest and most vulnerable citizens,” said Holly Fogle, president of The Bridge Project, a privately funded effort to provide guaranteed income for new mothers.

The Bridge Project gives young mothers in low-income New York neighborhoods $1,000 a month, unconditionally, for three years. One recipient, a 34-year-old from the Bronx, said the program “saved her life.”

The recipient, who asked to remain anonymous for privacy reasons, told ABC News she and her husband separated during her pregnancy. When she quit her job to have her child, she was financially vulnerable and the program helped her get essentials for her baby.

“When I got accepted, I honestly just cried,” she said. “I had a complete breakdown because I was so stressed about everything at that point.”

To be eligible, women must reside in the specified region, be at least 18 years old, be 23 weeks or less pregnant with their first child, and have an annual household income of less than $52,000.

The Bridge Project found that among the first cohort of mothers, savings increased by 242% and access to childcare increased by 63%.

In the second group of recipients, 63% of mothers living in transitional housing moved to more permanent housing, and after one year of payments, food security increased by 53%.

The payments helped parents pay for everyday items — 46 percent of the money went to baby expenses, 20 percent to pay bills and the rest to other expenses, including debt repayment and savings, according to the Bridge Project.

A study by the Institute for Research on Poverty at the University of Wisconsin-Madison also found that financial support “in infancy can have profound and long-lasting effects, including educational, behavioral, economic and labor market benefits.”

A similar concept, the Healthy Beginnings Project, privately funded by children’s accessories manufacturer Goldbug, offers pregnant participants in Colorado who are experiencing economic hardship a guaranteed monthly income of $750 for 15 months.

“This is a transitional period in a person’s life when they have a child, have a new child, and the money is being spent very wisely,” said Katherine Gold, CEO of Goldbug. “They are only buying the necessary things to live, like food, utilities and transportation.”

According to a study by Columbia University’s Center on Poverty and Social Policy, expanding the child tax credit during the COVID pandemic by $3,600 per child under 6 and $3,000 per child between 6 and 18 reduced food insecurity and financial hardship and brought child poverty to historic lows.

However, this extension expired at the end of 2021.

According to the White House, approximately 40 million families currently receive up to $2,000 in child tax credits per child each year.

Critics of the child care tax argue that in its current form, the neediest families receive less than the full $2,000 child tax credit, or no tax credit at all, because their families’ incomes are too low. Some call the tax a subsidy for middle- and upper-income Americans.

The Center on Budget and Policy Priorities points out that families receive no tax credit based on their first $2,500 of income. Starting at $2,501 of income, the tax credit gradually increases to just 15 cents on the dollar – regardless of whether a family has one, two or more children.

“For example, a family earning $12,500 will receive a child tax credit of $1,500 whether they have one or two children,” the center explains. Some advocates argue for eliminating the minimum income threshold to cover those in deep poverty, while others see the minimum income threshold as an incentive for parents to enter the labor market.

Some critics, including Senator Joe Manchin (IW.Va.), denounced the costs involved and argued that some recipients might abuse the payments.

“Because of the way the tax is adjusted for income, 19 million children from low-income families receive less or no credit than children from higher-income families,” according to the Center on Budget and Policy Priorities. “This is a mistake because it does the least to help the children who need it most.”

Copyright © 2024, ABC Audio. All rights reserved.