Laura Beck
Aug 26, 2024
Trump’s tax policy has been a cornerstone of his economic approach. Anthony DeLuca, expert contributor at Annuity.org, explained, “One of the bigger dialogues surrounding former President Trump’s first term was the Tax Cuts and Jobs Act in 2017, which was supposed to create tax relief for all Americans.”
A recent GOBankingRates survey shows that 37.35% of Americans believe Donald Trump’s policies would best protect their finances in the 2024 presidential election. The article explores four ways Trump’s policies might affect Americans, with expert insights, including from Anthony DeLuca of Annuity.org.
Some Tax Cuts: Trump’s 2017 Tax Cuts and Jobs Act aimed to provide tax relief for all Americans. However, DeLuca noted that while the wealthiest benefited most, “the middle 20% of America will only realize about $80 a month.” He also highlighted Trump’s plan to further lower taxes, including on corporate profits and restaurant tips, which could immediately benefit consumers.
Stimulating Domestic Production: Trump advocates for universal tariffs on U.S. imports to boost domestic productivity. DeLuca commented, “This would force more domestic productivity and stimulate American companies,” potentially creating more jobs and increasing wages. However, he warned that “the potential inflation kick would occur from consumers having to rely on more costly products versus imports.”
Cutting Business Regulations: Trump’s pro-business policies aim to reduce compliance and regulation costs. DeLuca stated, “This will help small-to-medium-sized businesses and reduce the cost of goods and services,” which could benefit consumers and spur economic growth through job creation and wage increases.
Potential Stock Market Growth: During Trump’s first term, the stock market saw significant gains. DeLuca pointed out that “the Dow Jones returned over 55% during former President Trump’s first presidency,” which boosted consumer confidence. While future growth is uncertain, many Americans hope for continued stock market gains.
While Trump’s policies could stimulate the economy and offer benefits like tax cuts and business growth, there are potential risks, such as inflation and long-term economic effects. As Anthony DeLuca concluded, these policies may have both immediate and long-term impacts on Americans’ finances.