Breaking Down the Budget

After years of rising prices, higher taxes, and out-of-touch policies from Washington, the House has passed a budget focused on common sense and real results. This plan delivers meaningful tax relief for working families and seniors, strengthens small businesses, secures our borders, reforms important government programs, and invests in the future of our communities. Here’s how this budget puts you, your family, and your community first:

Delivering Tax Relief

Heading into this year, tax cuts for every American were set to expire. Without action, the average taxpayer would have seen a 22% tax hike. After four years of rising prices, working families, seniors, and small businesses in the Greater Lehigh Valley, that outcome was unacceptable. Local families didn’t need the greatest tax increase in American history, they needed tax relief. 

That’s why we’ve passed a historic budget reconciliation package that not only prevents tax increases, but delivers real tax savings — putting more money back into the pockets of those who need it most.

 Putting Money Back in Your Pocket

• Delivers tax relief for tipped and overtime workers, giving a break to hardworking Americans who rely on tips or put in extra hours to support their families.
• Eliminates taxes on Social Security for 88% of seniors, helping those on fixed incomes keep more of what they’ve earned.
  • 6,000 deduction for those making under $75,000, and a $12,000 deduction for married couples earning up to $150,000, which phases out gradually beyond those thresholds
• Permanently increases the Child Tax Credit from $1,000 to $2,200 per child, giving families extra support as the cost of living rises.
• Raises the standard deduction by $750 for individuals and $1500 for couples starting in 2025
• Extends the 2017 tax cuts to protect families from an average $1,700 tax hike

Supporting Working Families

• Expands the Adoption Tax Credit, making it easier and more affordable for families to open their homes to children in need.
• Increases the Child and Dependent Care Tax Credit, helping parents offset the rising cost of childcare and better balance work and family life.
• Expands the employer-sponsored childcare tax credit, encouraging more businesses to offer childcare support to their employees.

Strengthening Small Businesses and U.S. Manufacturing

• Permanently extends the 20% Small Business Deduction for family-owned farms and 30 million small businesses, providing long-term relief and allowing owners to reinvest in their businesses and communities.
• Permanently allows 100% immediate expensing for business investments, giving small businesses the flexibility to grow, hire, and expand without burdensome tax penalties.

Protecting Our Communities

After four years of open borders and rising global instability, it’s time to invest in a safer and stronger nation. That’s why we’ve passed a historic budget reconciliation package that modernizes our military and secures the border once and for all. These commonsense steps will protect our communities and restore peace through strength, at home and abroad.

Securing the Border and Combating Illegal Drugs

• $46 billion to complete the border wall and barrier system, giving law enforcement the tools they need to protect our communities.
• Expands the use of advanced detection technology, helping stop dangerous illegal drugs like fentanyl before they reach our neighborhoods.
• Hires over 8,000 new personnel — including border agents, customs officers, and immigration judges — to strengthen enforcement, speed up processing, and increase security at the border.

Restoring American Strength

• $150 billion total investment in our armed forces
• Authorizes the creation of a national missile defense system, ensuring America is prepared for modern security threats.
• Rebuilds America’s shipbuilding industry and modernizes naval fleets, keeping our military strong and our supply lines secure.
• Restocks critical munitions and strengthens onshore supply chains, making sure our armed forces have what they need when they need it.
• Improves servicemember quality of life with $9 billion for upgrading barracks and increasing allowances, showing our men and women in uniform the respect and support they deserve.

Reforming Government

Taxpayer dollars should be spent responsibly and targeted to those who need them most. That’s why we’ve passed a historic budget reconciliation package that takes commonsense steps to reduce waste, close loopholes, and strengthen the safety net for vulnerable Americans. 

Strengthening Medicaid

• Establishes commonsense part-time work requirements for able-bodied adults under 65, making sure benefits go to those who truly need them while encouraging workforce participation.
• Prevents illegal immigrants from accessing taxpayer-funded benefits, protecting program integrity and American taxpayers.
• Reduces the backwards and broken provider tax cap from 6% to 3.5%.
• Protects Medicaid benefits for vulnerable Americans, including low-income individuals, families, children, pregnant women, seniors, and people with disabilities. 

Fixing SNAP and Cracking Down on Waste

• Improves work requirements for able-bodied adults on SNAP, helping more Americans move from assistance into the workforce.
• Reduces costly errors in state-run SNAP programs by requiring states with high error rates to share in the cost of those mistakes, encouraging better oversight and protecting taxpayer dollars.

Investing in Our Future

America’s future depends on smart investments in our people, our economy, and our critical industries. This budget supports rural healthcare, expands opportunity, and unlocks the potential of American agriculture and energy.

 Meeting Critical Needs

• Invests $50 billion in rural hospitals and healthcare services, making sure families in rural communities have access to essential care close to home.
• Provides over $12 billion to modernize our nation’s outdated air traffic control systems, improving safety and reducing delays for travelers across the country.
• Invests $9.9 billion in NASA’s Artemis program and Mars exploration, along with $1 billion to upgrade key space centers.

Preparing the Workforce and Expanding Opportunity

• Increases funding for affordable housing tax credits, helping families find and afford safe, reliable housing.
• Expands access to school choice, giving parents more options to find the best education for their children.
• Broadens Pell Grant eligibility, supporting students pursuing trades, technical training, and credentials beyond traditional college
• Creates $1,000 starter savings accounts for children born between 2025-2028, helping to give millions of American parents a head start on saving for their children’s future. 

Supporting Agriculture and Energy

• Invests in agriculture research, expands trade opportunities, and improves livestock biosecurity, strengthening the backbone of our food supply.
• Cuts red tape and unlocks American energy production, lowering costs for families and reducing our reliance on foreign energy sources.
• Makes the largest investment in U.S. Coast Guard history with $25 billion to modernize infrastructure and strengthen anti-trafficking, rescue, and maritime operations