Strong families are the backbone of strong businesses and a strong nation. When families are struggling with exploding costs, on everything from groceries to energy to childcare, it strains them. That strain trickles up to the businesses those families serve, and it weakens the overall national economy. Conversely, when families have ample opportunity and incentive to work hard and be rewarded for their contributions to business and industry, the economy and the family are strengthened together.
That reality has been at the center of our work at the Christian Employers Alliance since our founding. The businesses that make up our membership have long embraced our families as our missions, knowing that we rise or fall together. It is why we have been enthusiastic supporters of a vibrant pro-family agenda to achieve greater economic security for our families, and why we were so heartened by the positive achievements enacted in the Working Families Tax Cut of 2025. Of particular value to our member businesses are the expanded Child Tax Credit (CTC) and the enhanced 45S tax credit for businesses who provide paid family and medical leave (PFML).
These provisions incentivize the very behaviors that make our economy thrive, such as the prioritization of family, even—and I would argue, especially—in the workplace. President Trump and Congress should be applauded for these very positive pro-family strides.
Looking ahead, there are several ways to further underscore this commitment to American working families. I joined a number of my colleagues in highlighting these opportunities in a recent letter to President Trump and congressional leaders.
For starters, we should make sure the CTC is restored to the inflation-adjusted value of the credit that was enacted under President Trump’s Tax Cuts and Jobs Act in 2017. That would mean increasing the current maximum credit of $2,200 to $2,500, an increase that is supported by a clear majority of Americans on both sides of the aisle.
Next, one of the most important aspects of the CTC is that it is tied to work. No work, no credit, and the more you work, the more of the credit you earn. This runs counter to the way much of our tax code works, and for the better! It is critical that we reward and incentivize work, as this approach strengthens families and businesses. But there is one critical fix we must make. Currently, the first $2,500 of earned income does not count toward earning the CTC. This acts as a disincentive to work at the most critical juncture—the point of entry into the workforce. It is time to eliminate this exclusion and strengthen the CTC as a welcome mat into employment. Our businesses need new entrants into the labor force, and our families need the flourishing that rewarding work provides.
Finally, we want to strengthen families and encourage workforce participation, but it is critical that families, not the government, have the power to make decisions about care for their children. Every family has a unique set of circumstances to weigh against their income and childcare needs.
While many two-parent families will choose to have both parents work, a family who chooses to sacrifice one income in order to have a parent raise and care for their own children gets disqualified from the Child and Dependent Care Credit (CDCTC). However, they still often have some childcare costs, and should not be punished for the decision to structure their lives around what’s best for their children. Every family with earned income and childcare expenses should qualify for the CDCTC.
Together, these three changes would bolster families, as well as the businesses they serve and, by extension, the communities in which they live.
For too long, the public policy debate on these issues has been rooted in the false premise that corporate interests and family interests are competing for the same resources. This could not be further from the truth. When families are strong, businesses prosper, and the economy grows. At CEA, we are grateful this understanding is taking hold, and we look forward to the continued strengthening of both the American working family and the businesses with which those families partner.
Margaret Iuculano is the president of the Christian Employers Alliance, promoting policies that support religious freedom and biblical principles in the workplace.
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