In September 2017, MDRC released interim findings from the Paycheck Plus demonstration and evaluation of an enhanced Earned Income Tax Credit for low-wage workers without dependent children in New York City. Here are a few answers to questions we’ve received about the results.
Boosting the Earned Income Tax Credit for Workers Without Dependent Children
The Earned Income Tax Credit (EITC) promotes work and raises over six million Americans out of poverty each year. Early results from an ongoing demonstration suggest that expanding the EITC for singles, an idea with bipartisan support, is feasible and can increase employment and income while reducing poverty.
Even in good economic times, workers with limited education may need help getting or regaining a foothold in the job market. Effective career training programs exist. Approaches that target in-demand industries and closely involve employers can get results, benefiting high school students, adults without diplomas, and long-term unemployed workers.
Improving the employment outlook of disadvantaged young people on a large scale will require a stronger focus on engaging private employers on potential solutions. On June 4, 2014, MDRC and The Rockefeller Foundation convened a group of experts to discuss such demand-driven approaches.