Working families are able to keep more of what they earn through the EITC. (WJBC File Photo)
By Andy Dahn
BLOOMINGTON – The EITC, or Earned Income Tax Credit, helps families that work but struggle to get by on low wages keep more of what they earn to support their families.
Voices for Children spokesperson Emily Miller said the EITC is a hand up, rather than a hand out.
“The more that you work, the more the EITC pays,” Miller said. “It’s really the only tool that we have that really boosts the importance of work for families and makes work pay more for them.”
From 2009 to 2011, over 300,000 Illinois families were lifted out of poverty thanks to the EITC. Miller said it helps families pay for necessities such as childcare and transportation.
“There are folks who are working just as hard as they always have been, but for less,” said Miller. “And it’s important that those people be able to continue to take care of their families, put a roof over their heads, keep the car running. So making sure that work actually pays for those people is really important.”
Miller said assisting families also benefits local businesses.
“Low-income workers and low-income families spend their money locally,” Miller said. “Instead of putting it in savings or going on vacations, they actually spend the money on services in their community. So it’s something that local businesses have always supported.”
The amount of credit given is dependent on income and family size. To learn more about the EITC and how doubling it can impact families and local businesses, you can visit EITCworks.org.
Andy Dahn can be reached at andy.dahn@cumulus.com.
