August 14, 2022
  • August 14, 2022

Lack of childcare harms women

By on July 16, 2022 0

Here are the three most important financial information of the week, gleaned from the web:

Lack of childcare harms women

Difficulties in finding affordable childcare and elderly care continue to hold back women in the labor market, said Lydia DePillis, Jeanna Smialek and Ben Casselman in New York Times. It is estimated that around 500,000 childcare and nursing home workers have left the industry as of 2020, and their impact is still being felt – mainly by working mothers. Since 2019, the proportion of women in employment or job seekers has increased “approximately as much as the proportion of men”. However, federal figures show that the return was uncertain. Many mothers became self-employed. Others looked for reduced hours “to balance caring responsibilities” at home. Single mothers were among the slowest returning to work, “a sign that lack of care makes them vulnerable.”

Shock for Obamacare

Obamacare contributions could increase this fall if Congress fails to act, David Wainer said in: Wall Street Journal. Affordable Act insured people have “largely saved” the increase in health care costs due to generous federal funding in the US Emergency Plan Act 2021. The COVID-19 Relief Package “temporarily increased subsidies across all areas” and allowed more people to qualify for care. However, if subsidies expire, a person enrolling at the low $ 60,000 “Silver” level will “see a 36 percent increase, or about $ 1,800 per year.” Families and older members will see even greater increases in contributions. Congress is trying to negotiate a deal before subsidies expire, and Open Enrollment begins on November 1, one week before the mid-term elections.

Lending for everyday shopping

Consumers are increasingly using ‘buy now, pay later’ programs to even cover everyday purchases such as groceries and gas, Alicia Wallace said in CNN. Companies such as Affirm, Afterpay and Klarna, which allow customers to split their purchases into four or more installments, exploded during the pandemic. Their attractiveness was obvious: no credit checks and zero or low interest rates; instead, services make money by charging sellers. But payment plans can trick some buyers into buying more than they can afford. Since these services are not regulated like loans, it is unclear how much debt Americans accumulate. “Young people and the underfunded are badly disadvantaged,” said Marshall Lux, a colleague at Harvard Kennedy School, “potentially ruining their credit for years to come.”

This article was first published in the latest issue Week magazine. If you want to read more like this, you can try the six risk-free issues of the magazine here.