Many working families in Colorado might soon get a big helping hand from the government. Thanks to strong support from Democratic leaders, a new bill is in the works that could increase the Child Tax Credit (CTC) to as much as $6,360 per child every year. This money could make a big difference, helping parents cover everyday expenses like groceries, rent, school supplies, and more.
If this change becomes law, Colorado could become a role model for other states, showing how to support working-class families better.
Why This Child Tax Credit Update Is So Important
In today’s times, with inflation making everything more expensive, many families are finding it hard to keep up. This proposed increase in the Child Tax Credit is both timely and much needed. For families struggling to balance income and rising costs, this money can offer real relief.
With the new plan, families with children could receive up to $6,360 per child every year. That’s $530 per month! For many, this could mean fewer worries about money and a better quality of life.
What’s New in This Plan?
This proposal is not like past child tax credits. Here’s what makes it different and more helpful:
Full Refundability
Even families with little or no income will qualify for the full benefit. This means no one is left behind just because they earn less.
Monthly Payments
Instead of waiting until tax season once a year, families will get monthly payments. That’s $250 – $300 a month depending on the child’s age.
Higher Monthly Amounts
Families will get $300 per month for each child under 6 years and $250 for each child aged 6 to 17.
This kind of regular monthly support can help parents plan better, avoid debt, and reduce the need to ask for emergency help from social services. It also improves stability at home, which is important for kids’ education and emotional well-being.
How It Works in Colorado
The increase in CTC is part of a renewed effort through the American Family Act, which was first introduced during the pandemic as part of the American Rescue Plan. Back then, the program helped lift millions of children out of poverty. Lawmakers now want to bring back that success with some improvements.
Who Can Qualify for the Higher CTC?
To get the full benefit, families need to meet these basic rules:
- Have children under 18 years old.
- Income must be within the limit:
- Married couples: below $150,000 per year
- Head of household: below $112,500
- Single parent: below $75,000
What Will Be the Impact?
This is not just about helping families for a few months. Experts believe the new Child Tax Credit can have a long-lasting positive effect on:
- Children’s education – Better learning because of fewer financial problems at home.
- Health and food security – More money means better meals and stable homes.
- Local economy – Families spend more locally, helping small businesses grow.
- Reduced poverty and stress – With steady income, parents can focus on work and parenting instead of only surviving.
Political Support Growing in Colorado
The bill is gaining attention, with both Democrats and some Republicans showing interest. While some leaders are worried about the cost, many agree that supporting working families is the right step.
Senator Michael Bennet is leading this movement, with strong support from Senators Booker, Durbin, Warnock, and Cortez Masto. They believe this improved child tax benefit can change the future of millions of kids across the U.S.
Their focus is clear: create long-term economic security, not just short-term help.
The proposed Child Tax Credit increase in Colorado is a big step toward building stronger families and better futures. If the law passes, families will not only get some financial relief but also feel more secure in giving their children a good life.
While it’s still waiting for final approval, the move has already started an important conversation about how America supports its next generation. This could be the beginning of real change, not only in Colorado but across the country.
