How President’s Proposals can Affect Salon Pros

Mar 1st, 2021

Democratic presidential candidate former Vice President Joe Biden gives a speech on the Supreme Court at The Queen Theater, Sunday, Sept. 27, 2020, in Wilmington, Del. (AP Photo/Andrew Harnik)

President Biden outlined several proposals that will impact salon professionals. Most of these proposals benefit the average salon worker, including childcare, eviction ban, a freeze on student loan payments and raising the minimum wage to $15 an hour. Some proposals were already implemented by executive order, and others need approval by Congress. BUT you must act on many of these to receive the benefit, so knowledge is king. Read on.
The recommendations below are part of the $1.9 trillion proposal as of this writing:

Increase stimulus checks to $2,000. President Biden calls for more than $1,400 to bring the recent stimulus checks to $2,000 per person. If you earned $75,000 or less a year, you would receive an added $1,400 besides the $600 you already received. If you didn’t get your $600, you could deduct it from your tax return this April.

This time, adult dependents would qualify for the direct payments. Previously, only child dependents in qualifying households who were under 17 could receive a stimulus check. Mixed status households, where one spouse does not have a valid Social Security number, would also be eligible under Biden’s plan. In those families, spouses and children with Social Security numbers would qualify.

Student Loans. Biden wants to extend the student loan payment pause and interest waiver for federal student loans through at least September 2021. There are growing calls for Biden to forgive a part of the country’s $1.7 trillion in outstanding student loan debt, but this was not included in his stimulus package. Biden would like to cancel $10,000 from every student loan, but this was not part of Congress’s plan

Create a $25 billion emergency fund to help childcare centers stay open and expand childcare aid by $15 billion to subsidize childcare for low-income families. Millions of children go without childcare. Parents are left to choose between caring for their children or putting food on the table. Women are particularly hit when no childcare is available. The proof is how women accounted for 100% of the lost jobs in December 2020, according to an analysis by the National Women’s Law Center.

Freeze on evictions. President Biden directed the Centers for Disease Control and Prevention (CDC) to extend a nationwide ban on evictions through March 2021. The executive order also extends the foreclosure moratorium on government-backed mortgages, including those backed by the USDA, VA, and HUD. It allows homeowners to apply for mortgage forbearance if they need it.

If you owe back rent, Biden wants $30 billion in rental help and another $5 billion to help those experiencing a risk of homelessness find housing. About 14 million Americans are behind on their rent because of the pandemic crisis. Look for Biden to request keeping the moratorium in place through September 2021.

Boost weekly unemployment benefits an added $400. Biden’s $1.9 trillion Covid relief package, the American Rescue Plan, would boost unemployment benefits by $400 a week through September.