U.S. Senator Cory Booker (D-NJ) announced the Keep Your Pay Act, a new proposal that cuts taxes for working Americans and unrigs America’s tax system by requiring the wealthiest few and big corporations to finally pay their fair share.
This calculator shows what Americans can expect to pay under Senator Booker's plan, and compare it to the tax they will pay on income under current tax law. The calculator does not include additional bonuses like the baby bonus for newborns, or the expansion of the Earned Income Tax Credit.
The centerpiece of Booker’s plan is a straightforward idea: the first $75,000 of income would be tax-free for households filing jointly, with proportional tax relief for single filers and heads of households. The plan would more than double the standard deduction for all taxpayers. This means the majority of all taxpayers will pay no federal income tax on the first $75,000 of their earnings.
Booker’s plan also includes an expansion of tax credits that put more money in the pockets of working families, like the Child Tax Credit, and would be fully paid for by closing unfair tax loopholes used by the ultra-wealthy and big corporations and requiring them to pay their fair share.