WASHINGTON – President Joe Biden’s administration wants to make a $1.8 trillion down payment on the future of children, families and higher education, saying it would produce lasting benefits for the economy. Paying for it would be $1.5 trillion of tax hikes over the next decade on the wealthiest households.
A closer look at where the money is going and where it’s coming from:
— $200 billion to provide free preschool to all 3- and 4-year-olds. The administration estimates that 5 million children would benefit and an average family would save $13,000.
— $109 billion to offer two years of free community college to all Americans. Eligible for the program would also be young immigrants living in the U.S. illegally who were brought to the country as children to remain here.
— Increase the maximum Pell Grant award by $1,400 per eligible student. Pell Grants are financial aid for low-income students, and the increase would help to reduce the dependence on education loans.
— $46 billion for historically Black colleges and universities as well as tribal colleges and universities. This would include $39 billion to provides two years of subsidized tuition for students from families earning less than $125,000 a year.
— $9 billion for scholarships and training for teachers.