How President Trump's Tax & Spending Law Will Affect Americans' Wallets

The recent tax and spending law signed by President Trump mainly extends previous tax breaks and adds new temporary cuts, but most benefits go to the wealthy.

Scott Horsley explains that about 60% of the savings go to the top 20% of earners, while middle-income families see smaller gains, and those earning under $55,000 may be worse off due to cuts in safety net programs.

The law is not expected to give a significant boost to the economy, and as it adds trillions to the deficit, it will likely raise interest rates, increasing borrowing costs for consumers in housing and business.

Despite the tax savings, tariffs and future Medicaid cuts could offset or worsen the financial impact on many Americans.

Politically, this law mainly serves as a win for Trump, demonstrating his control over the Republican party rather than addressing economic concerns for his new voter coalition.

• Most tax savings from the new law go to the top 20% of earners, especially the wealthy.
• Lower-income individuals may be worse off due to cuts in safety net programs outweighing tax benefits.

• The new tax and spending law isn't expected to significantly boost the economy.
• It adds to the federal debt, which may lead to higher interest rates and slow growth.