This document discusses three courageous policy proposals to help alleviate financial stress and promote economic well-being: 1) Providing tax incentives for savings targeted at low to middle income individuals to encourage savings and long-term stability, 2) Expanding college debt forgiveness programs to encourage enrollment and career choice, and 3) Placing limits on the high interest rates credit companies can charge to help the poor and middle class avoid excessive credit card debt driven by other costs like housing and medical expenses. Resources on each of these proposals are provided.

1. Pathways to Happiness
for economic well-being
feeling
stress
about
finances

2. Pathways to Happiness are ways
to increase our economic well-being
and alleviate feelings of stress about finances

3. We are
doing
well in
the area
of
standard
of living
compared
to other
areas
100= happiest

4. Let’s look at one aspect of economic well-being:
feelings of stress about finances

5. A score of 40 and below means we have low levels of stress, and of 60 and above means we feel high levels of stress about our finances
Overall, we feel
moderate levels of
stress about our
finances

6. Courageous Policies
3 Courageous
policies

7. Tax incentives for savings for low and
middle income people
Personal savings leads to higher investment in long term
economic societal stability.
Healthy household savings leads to reduced personal stress.
Tax incentives available for low and middle income tax
payers to save are far and few.

8. Resources for Incentives for Savings
White paper
Better Ways to Promote Saving through the Tax System by Karen Dynan
https://www.brookings.edu/research/better-ways-to-promote-saving-through-the-tax-system/
Article
Brookings Institute’s 5 Ways Rethink the Federal Deficit –(see p. 36)
http://www.hamiltonproject.org/assets/legacy/files/downloads_and_links/THP_15WaysRethinkFedDeficit_Feb13_rev_1.pdf

9. College Debt forgiveness
Expand college load forgiveness beyond public service, teacher, the poor,
and only certain lenders.
Growing proportion of debt is from higher education.
Encourage enrollment in higher education and students to pursue careers
in areas they love and excel in.

10. Resources for College Debt Forgiveness
Programs
Article:
Five Countries that Know How to Handle Student Debt by Natalie Abrams and Cody Hounanian
https://www.thenation.com/article/five-countries-that-know-how-to-handle-student-debt/
Example Policies:
National Student Fee and Support Systems in European Higher Education – Eurydice
http://eacea.ec.europa.eu/education/eurydice/documents/facts_and_figures/fees_support.pdf
Student Debt in Selected Countries by E Del Rey
www.eenee.de/dms/EENEE/Analytical_Reports/EENEE_AR25.pdf

11. Limits on interest rates charged by credit
companies
Credit card companies can charge up 79.9% interest rates.
The poor and middle class suffer more than others from credit card debt, driven to
credit card debt from high housing and medical costs.
Enforcing transparency and easier-to-understand terms by credit card companies is
important, but does not ensure limits on interest rates.
The Credit Card Accountability, Responsibility and Disclosure Act of 2009, or CARD
Act, does not include a control on the interest rate credit card companies can
charge.

12. Resources for reducing and controlling credit
card interest rates
Usery Laws by State
http://www.loanback.com/category/usury-laws-by-state/
Article:
Proposed Limits on ATM Fees and Credit Card Interest Rates: Counter-Productive
Punishment That Goes Too Far by Robert E. Litan
https://www.brookings.edu/research/proposed-limits-on-atm-fees-and-credit-card-interest-rates-counter-productive-
punishment-that-goes-too-far/

13. What’s it going to take?

14. Buy Less, Spend more time on
activities that do not cost money

15. 10% of earnings in savings as a norm
Adopting the goal of 10% of saving 10% of earnings.

16. Other policies in the Pathways to Happiness tool series
Campaign finance reform
Guaranteed basic income
Media reform
Massive public transportation
Local food reliance
Village living (cities and rural)
Multi-use zoning
Public spaces
Political festivals
Participatory governance
Participatory budgeting
Anti-corruption policies
Transparency in government
Compassion training for police
Community-based monitoring
Sousveillance
Vote holiday
Vacation laws
Family & Sick leave laws
Flex time and job share laws
Telecommuting policies
Babies at work policies
Intergenerational care
Department of Neighborhoods
Volunteer programs
Conservation Easements
Expansion of Parks
Adult & Kid Park Programs
Parent Support Program
Self-Discovery Programs
Job Placement Programs
Urban Growth Boundary Ordinances
Urban Stream Daylighting
Green and Living building ordinances
Solar and Green Energy Development
Same Sex Marriage Laws
Public child care
Age-friendly cities
Loneliness awareness campaign
Heritage Programs
Rural Colleges
Arts & Culture Policy
Lifelong Learning Programs
War on Adult illiteracy
Low Cost & Tuition Free College
Mindfulness practice in schools
Social justice awareness raising
Mental health –priority counseling
Part time worker choice protection
Compassionate Charter & Games
Ban on Advertising to Children
Elimination of Food Deserts
Zero Waste Restaurant and Supermarket
Limits on Rates Charged by Credit Card Companies
College Loan Forgiveness
Savings Tax Incentives for Low and Middle Income

17. We envision a world where all beings can thrive.
Can you envision it too?
happycounts.org