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HELP WORKING FAMILIES KEEP THEIR HARD-EARNED MONEY. EARNED INCOME TAX CREDIT

working families

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• Franklin County’s population has increased 2.5 percent since 2000; the number of families living in poverty — below $20,000 for a family of four — has grown at nearly 20 times that rate. • Nearly 33 percent of central Ohioans live below the self-sufficiency level of $48,000 annual income for a family of four.

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Page 1: working families

help working families keep TheIRhard-earned

money.

s t a r t s m a r tEarNED INCOmE taX CrEDIt

Page 2: working families

wheRe does money go?For some families, it seems that no matter how hard they work, they can’t get ahead. This is especially true for lower income families. The Earned Income Tax Credit (EITC) enables families earning less than $40,000 annually to receive federal tax refunds or credits of up to $4,800 — enough to help an uninsured family pay for health insurance, or a worker who needs transportation to make a down payment on a car.

The EITC is our country’s largest and most powerful anti-poverty program, helping lift nearly 5 million people above the poverty line each year. But some eligible families do not apply for this credit – either because they don’t know the program exists or they can’t afford the high fees or interest charged by tax preparers; or maybe English is their second language and they can’t navigate the system.

and the

eaRned Income Tax cRedITunited way

The need In ouR communITy• The Internal Revenue Service estimates that up to 10,000 eligible Franklin County

households do not take advantage of the EITC annually.

• Franklin County’s population has increased 2.5 percent since 2000; the number of families living in poverty — below $20,000 for a family of four — has grown at nearly 20 times that rate.

• Nearly 33 percent of central Ohioans live below the self-sufficiency level of $48,000 annual income for a family of four.

• Annually, of the 83,000 households in Franklin County that received the EITC, 54,000 pay high tax preparation fees or high interest to get their money back.

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connecTIng famIlIes To cRITIcal ResouRcesUnited Way of Central Ohio maximizes community resources to assist low-income families needing financial guidance. We work collaboratively with more than 30 different community partners to organize and coordinate efforts of the public, private and non-profit sectors.

In October 2006, United Way of Central Ohio helped launch the Franklin County EITC Coalition to offer a network of support services such as free tax preparation and financial education workshops at many sites throughout Franklin County. These services help low- to moderate-income workers begin to build and protect their assets and become financially independent.

The paTh To economIc sTabIlITyThis year, the Franklin County EITC Coalition processed over 3,100 returns – a 74 percent increase over the previous year’s total, helping Franklin County residents get more than $2.8 million in returns and save almost $800,000 in tax preparation and loan fees.

Information about EITC and free tax assistance sites is available through FIRSTLINK’s 211 telephone center, accessible 24 hours a day, seven days a week. In 2008, FIRSTLINK took more than 6,000 calls over the period from January through March.

and the

eaRned Income Tax cRedIT

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360 South Third Street, Columbus, Ohio 43215-5485 • Tel 614.222.2700 Fax 614.224.5435 TTY 614.227.2710

If you believe, as we do, that families should get the tax credits and refunds that they deserve, then please invest in United Way and the Franklin County EITC Coalition.

We know that sometimes extra cash is the first step to achieving greater stability and that better education leads to higher savings. Your investment gives workers the knowledge and skills they need to save for and secure their futures.

Join us. Invest your money, use your voice, volunteer your time to help bring a family back from the edge.

you can make a dIffeRence.

we hope To RaIse $198,000 To benefIT haRd-woRkIng, low-Income famIlIes.

$134,000 for marketing, outreach and information and referral services

$47,000 for free tax preparation, including supplies and equipment

$11,000 for financial education

$6,000 for volunteer training, support and recognition