President Obama made some pretty bold economic proposals to address America’s worsening wealth/income gap during last night’s State of the Union. Here’s a look into how those proposals might affect us here in the Hudson Valley.
More: Read the full State of the Union address here
Child Care Tax Credit
Proposal: Increase the childcare tax credit to up to $3,000 per child.
The average yearly cost of child care in the Hudson Valley, according to Gillibrand.senate.gov, is $13,341 for an infant, $11,261 for a toddler, and $11,254 for a school-age child. In the Capital Region, child care costs an average of $9,796 (infant), $8,918 (toddler), and $8,179 (school-age child). Here’s how it breaks down by county:
- Albany: $11,362 (under 2), $10,140 (age 3-5), $9,620 (age 6-12)
- Columbia: $10,660 (under 2), $9,516 (age 3-5), $9,204 (age 6-12)
- Dutchess: $12,350 (under 2), $10,244 (age 3-5), $11,596 (age 6-12)
- Greene: $8,736 (under 2), $8,060 (age 3-5), $7,072 (age 6-12)
- Orange: $11,622 (under 2), $10,140 (age 3-5), $9,620 (age 6-12)
- Putnam: $15,444 (under 2), $13,000 (age 3-5), $13,624 (age 6-12)
- Rensselaer: $10,660 (under 2), $9,516 (age 3-5), $9,204 (age 6-12)
- Rockland: $15,444 (under 2), $13,000 (age 3-5), $13,624 (age 6-12)
- Sullivan: $8,736 (under 2), $8,060 (age 3-5), $7,072 (age 6-12)
- Ulster: $11,362 (under 2), $10,140 (age 3-5), $9,620 (age 6-12)
- Westchester: $18,434 (under 2), $14,248 (age 3-5), $13,624 (age 6-12)
Community College
Proposal: First two years of community college free.
Here are the current costs of one full-time semester (12 credits or more) at a few of the region’s community colleges*:
- Columbia-Greene Community College (Hudson): $2,040 ($4,080 full year); $4,080 non-New York State residents ($8,160 full year)
- Dutchess Community College (Poughkeepsie): $1,600 ($3,200 full year); $3,200 non-New York State residents ($6,400 full year)
- Hudson Valley Community College (Troy): $1,990 ($3,980 full year); $5,970 non-New York State residents ($11,940 full year)
- Orange County Community College (Middletown): $2,200 ($4,400 full year); $4,400 non-New York State residents ($8,800 full year)
- Rockland Community College (Suffern): $2,149.50 ($4,299 full year); $4,299 non-New York State residents ($8,598 full year)
- Sullivan County Community College (Loch Sheldrake): $2,650 ($5,300 full year); $4,887 non-New York State residents ($9,774 full year)
- Ulster County Community College (Stone Ridge): $2,115 ($4,230 full year); $4,230 non-New York State residents ($8,460 full year)
- Westchester Community College (Valhalla): $2,140 ($5,280 full year)
*At many area community schools, prospective out-of-county residents MUST provide a certificate in order to obtain New York State resident tuition rates.
Gender Wage Gap
Proposal: “This Congress still needs to pass a law that makes sure a woman is paid the same as a man for doing the same work. Really. It’s 2015. It’s time.”
According to the National Women’s Law Center, women working full-time and year-round in New York State earn $0.86 cents for every dollar her male counterpart makes ($44,114 median earnings for women; $51,414 for men). That’s a considerable gap, even if it’s the second narrowest in the nation, behind only the District of Columbia, and above the national average of $0.78 cents for every dollar.
Tax Increases on the Wealthy
Proposal: Raise the tax on capital gains from 20 percent to 28 percent for couples who earn more $500,000 annually.
According to the Hudson Valley Regional Council, here’s the median household income* for Hudson Valley residents per county:
- Dutchess: $67,153
- Orange: $65,648
- Putnam: $87,248
- Rockland: $80,765
- Sullivan: $46,161
- Ulster: $54,060
- Westchester: $76,728
By comparison, the median for New York State is $55,233.
*According to 2013 report, which provides data from 2011.
Minimum Wage
Proposal: Raise the minimum wage to $10.10.
New York State’s minimum wage is $8.75. According to MIT’s Living Wage Calculator, the living wages for a single adult, an adult with one child, and an adult with two children, respectively, are:
- Albany: $9.50 / $21.08 / $28.67
- Columbia: $9.74 / $21.04 / $28.64
- Dutchess: $10.20 / $22.97 / $30.57
- Greene: $9.02 / $20.69 / $28.29
- Orange: $10.20 / $22.97 / $30.57
- Putnam: $12.75 / $24.69 / $32.30
- Rensselaer: $9.50 / $21.08 / $28.67
- Rockland: $12.72 / $24.69 / $32.30
- Sullivan: $9.12 / $21.32 / $28.92
- Ulster: $10.10 / $20.02 / $29.62
- Westchester: $13.05 / $26.64 / $34.25