Republicans in the House of Representatives are set to vote on a massive budget resolution this week that includes $4.5 trillion in tax cuts and $2 trillion in cuts to several federal programs, including Medicaid and student loans.
“For low-income borrowers, the House Republican proposal requires monthly payments at a lower income threshold, thereby protecting less income for basic needs,” the institute said in a statement last month.
The plan could also mark the end of other income-driven repayment plans for borrowers, as Republicans want to streamline the plans into just two options for loans that began after June 30, 2024, according to The Hill.
Speaker of the House Mike Johnson claims the massive resolution — and the subsequent reconciliation process — will help lower the cost of living.
“The way to do that is to make sure small businesses have certainty to make sure we don't have the largest tax increase in US history, which is what will happen by default at the end of this year if we're not successful in this mission to get taxes down, reduce regulations, and free up the free market again.”.
