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The Leading Indicator of Remodeling Activity, a measure that provides an outlook of the national home improvement and repair spending to owner-occupied homes conducted by the Joint Center for Housing Studies at Harvard University, has been in a consecutive decline since 2022.
“We’re coming off such high levels of spending,” said Abbe H. Will, senior research associate and associate director of Remodeling Futures at the JCHS.

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Fewer homeowners have been taking on remodeling projects, reports show. But don’t mistake it for a slow market.
The Leading Indicator of Remodeling Activity, an outlook measuring home improvement and repair spending on owner-occupied homes, peaked at 17.3% in the third quarter of 2022. The LIRA has been declining since, and slid 1.2% in the first quarter of 2024 compared to the prior quarter.

The NAHB/Westlake Royal Remodeling Market Index by the National Association of Home Builders reflects a similar decline. The RMI, which measures remodelers’ sentiment about the market, peaked at 87 points in the third quarter of 2021, and like the LIRA, has been consistently declining since. In the first quarter of 2024, the measure fell to 66 points, down one point from the previous quarter.
However, the RMI is still in territory where more remodelers see the conditions as “good” rather than “poor,” said Robert Dietz, chief economist of NAHB.
In a release for the group’s first quarter report, NAHB Remodelers Chair Mike Pressgrove noted that “demand for remodeling remains solid, especially among customers who don’t need to finance theirprojects at current interest rates.”

Covid lockdowns, inflation influence remodeling activity

The height of the Covid-19 pandemic brought with it a burst of home renovation activity.
Homeowners were eager to invest in the spaces they were spending so much time in: updating key spaces like kitchens and bathrooms, building out home offices and adding pools.

Some also had savings built up thanks to stimulus checks, and from activities they couldn’t do during early lockdowns — and rerouted that money toward home improvements and remodels, said Abbe H. Will, senior research associate and associate director of Remodeling Futures at the Joint Center for Housing Studies at Harvard University. In 2021, owners used cash from savings to pay for nearly four out of five projects, according to a JCHS report.
“We’re coming off such high levels of spending,” Will said.
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As Covid-era savings have dried up, so has that boost in activity.
Homeowners are doing fewer and smaller remodels. Yet they are spending more per project, in part due to broader inflation and higher costs for materials and construction labor.

Homeowners spent an average $9,542 on home improvements in 2023, a 12% increase from a year prior, according to the State of Home Spending by Angi. At the same time, the amount of projects decreased to an average of 2.8 projects in 2023 from 3.2 in 2022. The survey polled 6,400 consumers between Oct. 22 and Oct. 23.
The increase in home improvement spending, along the decrease in projects, suggests inflation corroded household budgets, according to the home services website.

‘We haven’t built a lot of new housing’

While home improvement activity is expected to further moderate from pandemic highs, remodelers continue to be busy with work.
Contributing to demand: Owners are living in their homes for longer and the existing housing stock in the U.S. is getting older. Both factors are going to require homeowners to invest in the upkeep of their properties, experts say.
As of 2024, the typical homeowner’s tenure in their home is 11.9 years, according to Redfin, a real estate brokerage site. That’s nearly double the average 6.5 years in 2005.
It’s largely driven by baby boomers aging in place; nearly 40% of boomers have lived in their homes for almost 20 years, while 16% have stayed in their home for at least a decade, Redfin found.

“Aging-in-place remodeling” has turned into a big subsector in the remodeling market as baby boomers move into their retirement years, said Dietz. Instead of relocating, some retirees plan to stay in their neighborhoods or close to family.
“But that means they’re investing in their homes, whether it’s energy efficiency items [or] safety items like lighting and railings,” Dietz said.
However, the real driver for remodels is the aging housing market. In 2021, the median age of all owned homes was 41 years old, according to the 2021 American Housing Survey by the U.S. Census Bureau. Homes built in the 1980s or earlier make up about 60% of existing stock, according to a U.S. Census data analysis by the NAHB.
“It really speaks to the fact that we haven’t built a lot of new housing over the last decade. That aging housing stock is going to require investment,” Dietz said. More

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As investors grapple with macro uncertainty and a cloudy path on the Federal Reserve’s rate cuts, they will need to adopt a long-term mindset to pick the best names for their portfolios.
To make the right decisions, investors can track the recommendations of Wall Street experts, who carefully assess the financial performance of a company and its growth strategies before assigning their ratings.

Bearing that in mind, here are three stocks favored by the Street’s top pros, according to TipRanks, a platform that ranks analysts based on their past performance.
Domino’s Pizza
This week’s first pick is restaurant chain Domino’s Pizza (DPZ). The company recently reported a beat on earnings per share for the first quarter, driven by higher U.S. franchise royalties and fees, as well as improved gross margin within the supply chain.
Following the Q1 print, Deutsche Bank analyst Lauren Silberman reiterated a buy rating on DPZ stock and increased the price target to $580 from $555, citing increased visibility in the same-store sales growth outlook.
Silberman noted that U.S. same-store sales growth of 5.6% reflected broad-based momentum, with improved traffic experienced in carryout and delivery. She added that the traffic growth was driven by Domino’s revamped loyalty program, strong value proposition, operations and innovation.
The analyst also noted that DPZ is benefiting from increased contributions from Uber Eats, thanks to growing marketing efforts and awareness. Overall, the Q1 results reinforced Silberman’s positive view on DPZ, backed by the company’s initiatives to support an increase in same-store sales, accelerating unit growth with improving franchisee profitability and better margins.

“We believe a premium valuation is warranted, and given the improving fundamental story, we think DPZ offers a favorable risk/reward,” she said.   
Silberman ranks No. 446 among more than 8,800 analysts tracked by TipRanks. Her ratings have been profitable 69% of the time, with each delivering an average return of 13.9%. (See Domino’s Technical Analysis on TipRanks)
Shake Shack
We move to burger chain Shake Shack (SHAK), which reported mixed first-quarter results earlier this month. Nonetheless, investors were pleased with the company’s commentary about improving business trends.
BTIG hosted an investor meeting with the company’s management following the Q1 results. The firm’s analyst Peter Saleh reiterated a buy rating on SHAK stock and increased the price target to $125 from $120 based on the key takeaways from the management meeting.
“We believe the combination of technology (kiosks), enhanced operating model (less labor), and greater marketing are adding up to a very powerful, and profitable combination,” said Saleh.
The analyst thinks that the company’s strategic initiatives will enhance same-store sales growth and drive meaningful restaurant margin expansion in the near and long term. 
Saleh highlighted that management is witnessing a high-teens check growth in kiosk orders compared to traditional in-store orders, as consumers like the customization options available at the kiosks. The analyst sees more sales benefit from the kiosks going forward, in addition to the labor savings and efficiency.
Saleh ranks No. 353 among more than 8,800 analysts tracked by TipRanks. His ratings have been successful 61% of the time, with each delivering an average return of 12.1%. (See Shake Shack’s Ownership Structure on TipRanks)
Apple
Finally, we look at tech giant Apple (AAPL), which recently reported better-than-expected fiscal second-quarter results despite a decline in its revenue. The company cited tough comparisons with the prior-year quarter as the reason for the lower revenue.
Investors reacted positively to the results and the company’s announcement of an expanded buyback program. Apple’s board authorized an additional $100 billion worth of share repurchases.
Calling Apple’s fiscal Q2 results “solid,” Baird analyst William Power reaffirmed a buy rating on the stock with a price target of $200. The analyst noted that the company exceeded his estimates for revenue, earnings per share and gross margin.
Power added that Apple’s Services revenue grew 14.2% year over year, marking an acceleration from the 11.3% growth experienced in the fiscal first quarter. He also observed that Apple’s performance in China was better than feared. Greater China revenue declined 8.1%, reflecting an improvement from the 12.9% drop seen in the previous quarter.
The analyst thinks that the company’s AI update at its June developer conference could be a catalyst for the stock. Power explained that his price target for AAPL stock indicates a premium valuation compared to the peer group, “reflecting strong execution, growing services contribution, continued eco-system benefits and strong free cash flow.”
Power ranks No. 245 among more than 8,800 analysts tracked by TipRanks. His ratings have been profitable 56% of the time, with each delivering an average return of 16.1%. (See Apple Stock Buybacks on TipRanks) More

Historical data suggests a key factor in bringing down prices is a slowdown in consumer spending.
Despite nearly half of Americans reporting they’re in a worse financial situation than five years ago, they’re still spending.
Retail sales were up 2.1% year over year in the first quarter of 2024 and consumer spending jumped in February and March.

Jenn Lueke, 27, is a recipe developer based in Boston who creates content online showing people how to eat well on a budget.
“I think it’s no secret that prices are going up in pretty much every area right now,” Lueke told CNBC.

About two thirds, 65%, of U.S. adults surveyed by CNBC/SurveyMonkey this spring said inflation is the main driver of their financial stress. The same share said they are living paycheck to paycheck. Nearly half feel like they’re in a worse financial situation than five years ago.
In January last year, Lueke started a series on social media where she took one grocery list between $50 and $75 and turned it into five different recipes for their families. She was inspired to show people they can still eat well while cutting down on grocery costs.

Jennifer Lueke, 27, creates budget-friendly recipe for her audience of millions on social media.
Zac Staffiere for CNBC

“It’s really hard. I’m not here to, like, share toxic positivity about how to shop on a budget,” Lueke said. “I’m just trying to empower people to feel like they can get a little bit of control, at least in this one area of their food costs.”

Disinflation, deflation and the ‘money illusion’

“I think Americans are a little perplexed when they see news reports of inflation coming down, and yet they don’t notice any of their prices coming down,” said Lindsay Owens, executive director of the nonprofit think tank Groundwork Collaborative.
There’s an important difference between inflation increasing more slowly — a phenomenon called disinflation — and inflation reversing itself, which would lead to prices coming down. Economists call the latter deflation, which is typically associated with a shrinking economy and potential recessions.

Historical data shows that prices rise a lot easier than they fall. When they do fall, it is typically a result of people spending less, which isn’t currently the case. Retail sales were up 2.1% year over year in the first quarter of this year and consumer spending jumped in February and March.

“This cycle is a concept called money illusion,” said Sabrina Romanoff, a clinical psychologist.
“People with money illusion … don’t take into account the level of inflation in an economy,” she said. “So they wrongly believe that a dollar today is worth the same amount that it was the year prior.”
Experts have raised concern about possible “pockets of trouble” as total credit card balances in the U.S. spiked to a record high of $1.08 trillion in the third quarter of 2023. Nearly half, 49%, of Americans with credit cards say they are carrying a balance from month to month, according to a November 2023 survey by Bankrate.
Wage-increase data may also seem inconsistent with consumer experience. Wages have been rising since January 2022, but the pace of the increase has been slowing down and, on average, it is just keeping up with rising prices. An analysis from Bankrate estimates the gap between inflation and wages won’t fully close until the fourth quarter of 2024.
“For many Americans, wage growth is very overdue,” Owens said. “They have gone years, if not decades in some cases, with stagnant wages or small raises.”

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Watch the video above to learn more about why prices likely won’t come back down. More

Connecticut has several programs in place to improve college access and affordability, in part by establishing pathways to college and lowering the debt burden.
Here’s a closer look at three of those initiatives — and how they’ve fared so far.  

Hartford, Connecticut
Sean Pavone | Istock | Getty Images

When it comes to improving access to higher education, each state is largely left to its own devices. Some are trying a broader array of tactics than others.
Connecticut, for example, recently rolled out several programs to establish pathways to college and lower the debt burden.

Connecticut has also maintained one of the largest wealth gaps in the country for years. The state is hoping its college aid endeavors could help change that.
Getting a degree offers the best shot at social mobility, according to Anthony Carnevale, director of Georgetown’s Center on Education and the Workforce, which could help narrow the income divide.
Still, these plans have mostly flown under the radar. “We have these incentive programs, but nobody knows about them,” Connecticut Gov. Ned Lamont told CNBC.
Here’s a closer look at three of those initiatives — and how they’ve fared so far.  

Free college program

“We’re trying to do everything we can to make education less expensive to start with,” Lamont said.

Like a growing number of states, Connecticut recently introduced a free tuition program for students attending community college either full- or part-time. In Connecticut, students receive “last-dollar” scholarships, meaning the program pays for whatever tuition and fees are left after federal aid and other grants are applied.
Since the program started, in the 2020-21 academic year, nearly 34,000 students have participated.

Free college is one of the best ways to combat the college affordability crisis, some experts say, because it appeals more broadly to those struggling in the face of rising college costs, rather than the student loan burden after the fact. A federal effort has yet to get off the ground, although President Joe Biden continues to push for free community college nationwide and included it in his $7.3 trillion budget for fiscal 2025.
However, critics say that lower-income students, through a combination of existing grants and scholarships, already pay little in tuition to two-year schools, if anything at all.
Further, free college programs do not generally cover books or other expenses, such as room and board, that lower-income students also struggle with.

Automatic admission program

To make a four-year degree more accessible, Connecticut introduced an automatic admission program to some Connecticut colleges for high school seniors in the top 30% of their class.
The program, signed into law in 2021, aims to make it easier for high school students, especially those from underserved communities, to go to college. In the most recent application cycle, 2,706 students were offered direct admission through the program.
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Connecticut State Colleges and Universities Chancellor Terrence Cheng said the free-tuition program and the automatic admissions program “are just two examples of steps CSCU and the state have taken to remove barriers to higher education, particularly for first-generation college and minoritized students.”
And yet, for lower-income students, the cost can still be a deterrent, said Sandy Baum, senior fellow at Urban Institute’s Center on Education Data and Policy.
“Both admitting students and telling them how easy it is to pay for it is most helpful, but for students on the margin, they face so many expenses in addition to tuition they will still need to overcome,” Baum said.

Student loan payment tax credit

Next up, the state is rolling out a student loan repayment program to lessen graduates’ debt burden.
In 2019 Lamont signed Public Act 19-86, which created a new tax credit for Connecticut employers who help pay off their employees’ student loans. The tax credit was expanded in 2022 and will be implemented in the months ahead.
“It helps the student, it pays down their debt, makes it very predictable [and] gives businesses an incentive to hire, so it’s a great economic development driver,” Lamont said.
Still, some graduates already pay little or nothing through the federal government’s income-driven repayment plans, Baum said, so borrowers may be better served with a salary increase. “If employers paid more, that would be a lot more fair.”

Ultimately, these programs are all helpful to some degree, but successfully narrowing the wealth gap — in Connecticut and elsewhere — should include assistance for students while they are in college, Baum said.
Improving student outcomes by providing academic and social support in addition to financial aid is the best way to level the playing field, she said.
Many young adults start college, fewer finish. “Rather than focusing on getting people in the door … getting people through is going to have a much bigger impact,” Baum said.
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Company: Sensata Technologies (ST)

Business: Sensata Technologies is an industrial technology company that develops, manufactures and sells sensors, electrical protection components and other products. The company has two units: Performance Sensing and Sensing Solutions. The Performance Sensing segment serves the automotive and heavy vehicle and off-road industries through its development and manufacture of sensors, high-voltage solutions and other offerings. The Sensing Solutions segment serves the industrial and aerospace industries through development and manufacture of a portfolio of application specific sensor and electrical protection products used in a range of industrial markets.
Stock Market Value: $6.38B ($42.34 per share)

Stock chart icon

Sensata Technologies’ performance in 2024

Activist: Elliott Investment Management

Ownership: Elliott is the company’s largest investor, which puts the firm’s economic ownership at or above $600 million (10%), but given Elliott’s history we would not be surprised if it were closer to $1 billion.
Average Cost: n/a
Activist Commentary: Elliott is a very successful and astute activist investor. The firm’s team includes analysts from leading tech private equity firms, engineers, operating partners – former technology CEOs and COOs. When evaluating an investment, the firm also hires specialty and general management consultants, expert cost analysts and industry specialists. Elliott often watches companies for many years before investing and has an extensive stable of impressive board candidates. The firm has historically focused on strategic activism in the technology sector and has been very successful with that strategy. However, over the past several years, Elliott’s activism group has grown and evolved, and it has been doing more longer-term activism and creating value from a board level at a much larger breadth of companies.

What’s happening

On April 29, the company announced that Jeff Cote will retire as CEO and president and will step down from the board, and Martha Sullivan will be appointed interim president and CEO. At the same time, Sensata also noted that Elliott settled for a board seat for Phillip Eyler (president and CEO of Gentherm), effective on July 1. The company also agreed to establish a CEO search committee, to which Eyler will be appointed. He will also join the nominating and governance committee.

Behind the scenes

Sensata has a strong core business making sensors, mainly in the auto-supply space. The products they make include car seats, airbags, tires and CO2 sensors. Sensata is the clear leader among its peers with 80% market share – three times the size of its closest competitors. Manufacturing over 1 billion sensors per year, the company has a tremendous scale advantage and manufacturing overseas. It has low costs and high margins. Moreover, these sensors are not sold off the rack. Rather they are custom made for each application, and Sensata has proven to add value to this process. Yet, over the past one-, three-, and five- year periods from Elliott’s initial action date on April 29, the company has lost 7.28%, 30.23% and 19.33%, respectively. That compares to the Russell 2000’s one-, three-, and five- year returns of 14.99%, -8.10%, and 34.11%, respectively. Sensata has also significantly underperformed peers.

Sensata’s stock price underperformance is tied to various capital allocation missteps that took place under the tenure of president and CEO, Jeff Cote, who served from March 1, 2020 until April 30, 2024, when he resigned from all company positions. Specifically, the company entered the non-core telematics industry with the acquisition of Xirgo Technologies for $400 million in April 2021. Later that year, Sensata acquired SmartWitness Holdings, an innovator of video telematics technology for commercial fleets. The telematics business took focus, capital and resources away from the core business, leading to declining operating margins and compressed trading multiples. The stock is now trading in line with worst-in-class peers.
There are multiple paths to value creation here. The first is to fix the flawed capital allocation practices. This will require a refreshed management team that will resist the urge to chase new trends and significantly overpay for non-core businesses that will end up getting written down in a matter of months. The company has already taken a big stride in this direction, announcing Cote’s retirement and appointing Martha Sullivan as interim president and CEO. Sullivan served as Sensata’s CEO prior to Cote from 2013 to 2020 and had a record of creating value through capital allocation as opposed to destroying it.
Secondly, Sensata has a host of good assets in its portfolio, some of which could be attractive for a strategic transaction. There are both opportunities to divest non-core businesses – like Dynapower and the aerospace business, which could collectively be worth $2 billion – and the potential to sell the entire company. Whenever a company is between CEOs, it is an ideal time for it to be acquired. Even more so when an activist shows up, which always seems to put companies in pseudo-play. Potential acquirers have been snooping around Sensata, and they must be looking even harder now after the recent developments.
Third, regardless of what the company does strategically, there is a secular tailwind that could provide significant value to the core sensor business. As Sensata sensors are used in both combustion and electric vehicles, the current trend to hybrid gives the company a sort of 2-for-1 demand for its products. Sensata has already started seeing the increased demand from this, and it should continue as hybrids become more in demand.
The initial uphill battle for most activist campaigns is getting a foot in the door and getting the company to listen. That part is done here. On April 29, Elliott settled for a board seat for Phillip Eyler and for the establishment of the new CEO search committee. It is also no coincidence that there was a CEO replacement in connection with Elliott’s agreement. In fact, the very first point of the cooperation agreement was Sensata agreeing to accept Cote’s resignation. Elliott has a storied history of taking board seats, often for its own principals. It is telling that the firm chose to settle for a non-Elliott board member, and we would expect that Eyler was appointed, given his qualifications and industry experience. He should be a very valuable board member in supporting management with operational issues. However, if the company or its divisions are potential acquisition targets, it would be nice to have an Elliott executive on the board to help evaluate competing offers.
Ken Squire is the founder and president of 13D Monitor, an institutional research service on shareholder activism, and the founder and portfolio manager of the 13D Activist Fund, a mutual fund that invests in a portfolio of activist 13D investments. More

Almost 40% U.S. millionaires plan on buying a home overseas within the next 12 months, according to the latest Trend Report by Coldwell Banker Global Luxury.
While it can be a dream to buy a home abroad, many challenges can arise.
“Living in a country is not the same as spending a lovely three weeks there,” said certified financial planner Jude Boudreaux, a partner and senior financial planner at The Planning Center in New Orleans.

Courtneyk | E+ | Getty Images

Mortgages, currency exchange complicates a purchase

While there may be similarities to the U.S. market when buying a home overseas, there are also unique challenges on the financial side of the purchase.
Oftentimes, Americans buying properties abroad end up financing the transaction with cash outright, experts say. If you do want to finance your home purchase, assess the options to consider how often you may be exposed to interest rate changes.
That’s because mortgage structures in foreign countries are more likely to have variable rates, or short terms if they are fixed-rate loans. It is rare to encounter financing options similar to the 30-year fixed rate mortgage, which is a “very American phenomenon,” said Boudreaux, a member of the CNBC Financial Advisor Council.

You also have to be mindful of the exchange rate on the foreign currency you will be transacting with, as well as the cost to trade your U.S. dollars. Fluctuations in rates, and the differences in banks’ rates and fees, can make a significant difference in how far your dollars go.
A bank wire is often the “least expensive way” to exchange currency, and with a large enough bank, they’ll have facilities that can reduce the cost of the foreign transfer like a favorable exchange rate, said Boudreaux.
But in most cases, the U.S. buyer will need to open a bank account in the country they’re buying real estate. And that process is not always straightforward.
For one, many banks will refuse to work with U.S. citizens because the Bank Secrecy Act of the U.S. requires foreign entities to report assets, he explained.
In addition, smaller, regional banks might not be equipped to handle that reporting, so U.S. citizens will generally need to seek larger institutions, Boudreaux said.
Before you acquire a property outside of the U.S., it’s also important to make sure you have a clear picture of what you will use it for; your tax responsibilities to the foreign country and the U.S. may change depending on that answer.
Here are three steps experts recommend you take before you become a homeowner overseas:
1. ‘Do a lot of due diligence’
When you visit the city or town where you want to buy, make sure to walk around a lot, said Bojan Mujcin, a real estate associate of Sotheby’s International Realty in Barcelona and the nearby region of Costa Brava.
“Get familiar with the city, get familiar with the streets … do a lot of due diligence,” Mujcin said.
Rent in that area for a significant time to get a sense of the place before you “buy something on a dream,” said Boudreaux. Doing so can give you a better sense of what it’s like to live in a place.
You also may want to consider the country’s political environment, as it can be important for the long-term investment value of your property, said Erin Boisson Aries, a global luxury real estate advisor of Douglas Elliman.
“Less spontaneity and more study is important,” she said. “It’s wonderful to go on vacation and have a wonderful time, but the long-term geopolitical stability is very important.”
Boudreaux agreed: “There is political risk … and we have to be prepared for what that might entail for our investments.”
2. ‘Understand what your needs are’
It will be important for you to “understand what your needs are,” Boisson Aries said.
“Is this an investment? Are you planning to retire there? Are you planning to visit and rent it out?…You have to really understand the environment you’re purchasing into,” she said.
For example, if you plan to rent out the property for long- or short-term stays, “zoning very much factors into that,” Boisson Aries said.
Rules that determine what areas are eligible for short-term rentals can change over time, Boudreaux said.
“Buying these direct properties for that purpose is something that comes with far more risks than people realize,” he said.
And if you do decide to use the property for rental or commercial use, you may have additional tax burdens in that country, Boudreaux added.

3. Contact local experts and expat communities
“Make sure you have local experts and professionals advising you” when shopping in housing markets outside of the U.S., said Boisson Aries. “There are so many variables that affect each purchase.”
Such factors can include ownership rights, zoning implications and investment opportunities, she said.
“You might go over and fall in love with the property, but without really understanding the overall market, all of the other implications to purchasing and ownership, you’re flying a little blindly,” she said. “Just as we’re experts and advisors on the ground in Manhattan … you really do need that level of expertise on the ground.”
Speak with a legal advisor in the foreign country who can help navigate tax issues and other questions you may have, Sotheby’s Mujcin said.
“You definitely always need to have some legal support from some type of lawyer in the transaction,” he said.
It’s also important to find out if there’s an expat community in the country you’re eyeing, Boudreaux said.
Usually it will consist of other Americans who have gone through a similar process who can provide recommendations and resources, he added.

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President Joe Biden’s top economic advisor Lael Brainard called for higher taxes on the ultra-wealthy and corporations to pay for expiring middle-class tax breaks.
Without changes from Congress, several provisions from the Tax Cuts and Jobs Act of 2017 will sunset after 2025.
Expiring provisions include lower federal income tax brackets, a higher standard deduction and doubled estate and gift tax exemption, among others.

Director of the National Economic Council Lael Brainard speaks at the White House in Washington, D.C., on January 11, 2024.
Drew Angerer | Getty Images

It’s clear we need to end the 2017 tax breaks for the ultra-wealthy and scale back costly permanent corporate tax breaks.

Lael Brainard
White House national economic advisor

The multitrillion dollar tax battle comes amid the ongoing debate over the national debt, and extending the TCJA tax breaks would boost the budget deficit, according to the Congressional Budget Office.
Trump and other Republicans have pushed for a full extension of expiring TCJA tax breaks, which could add an estimated $4.6 trillion to the deficit over the next decade, according to a Congressional Budget Office report released this week.

‘The stakes could not be higher’

“As we approach the tax debate next year, the stakes could not be higher for the fairness of our tax system and our nation’s fiscal future,” Brainard said.
Renewing Biden’s pledge for “tax fairness,” she said the administration aims to extend expiring TCJA provisions for middle-class Americans. Those extensions would be funded by raising taxes on the ultra-wealthy and corporations.
Brainard said the original legislation primarily benefited the wealthiest Americans and “the trickle-down never happened.”
“Achieving a fairer tax system also means we can’t extend expiring Trump tax cuts for those with incomes above $400,000,” she added.
The administration also wants to quadruple the tax on stock buybacks and add a 25% minimum income tax for billionaires, Brainard said.

Meanwhile, House Republicans have assembled teams to study and propose solutions to address the upcoming 2025 tax cliff.
“If the 2017 Trump tax cuts expire an average family of four earning $75,000 would see their taxes increase by $1,500 a year,” House Ways and Means Committee Chairman Jason Smith, R-Mo., said in an April press release.

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There’s good news for at least some of the student loan borrowers who missed the April 30 deadline to qualify for quicker debt forgiveness: They may still be eligible for other relief options.
Here’s what to know.

Tim Robberts | Stone | Getty Images

There’s good news for at least some of the student loan borrowers who missed the April 30 deadline to qualify for quicker debt forgiveness: They may still be eligible for other relief options.
Borrowers with multiple student loans who requested a so-called loan consolidation by the end of April 30 — a move that combined their federal student loans into one new federal loan — are able to get their debt sooner than they would have otherwise.

For some, that cancellation will be immediate.
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The temporary policy allowed borrowers who consolidated to get a one-time adjustment on their payment count. They earned credit toward all their loans based on the one they had been making payments on the longest. To qualify, borrowers just had to be enrolled in an income-driven repayment plan, which, after 10, 20 or 25 years, depending on the plan, leads to debt cancellation.
It was an especially good opportunity for those who had been paying off their student loans for many years and had returned to school and graduated in more recent years, because now all those loans could be soon forgiven.
If you missed that deadline, you may still be eligible for relief.

Here’s what to know.

You could still try to consolidate

There’s no guarantee, but you may still qualify for the Biden administration’s loan consolidation account adjustment, if you can manage to apply for a consolidation and complete the process quickly, explained higher education expert Mark Kantrowitz.
“Borrowers who missed the April 30 deadline may be out of luck,” Kantrowitz said. “However, maybe not.”
Here’s his reasoning: Borrowers had to apply for a consolidation by that deadline. But the process, which can take up to 60 days, didn’t need to be complete by then.
As a result, it’s possible the U.S. Department of Education will wait until the beginning of July to figure out borrowers’ new forgiveness timelines.
“So, if the borrower applies for a consolidation now, and the consolidation is completed quickly, and the borrower is really lucky, maybe the payment account adjustment will still apply,” Kantrowitz said.
“There is no guarantee that this will happen,” he said. “But, maybe it will.”
The Department of Education did not immediately respond to a request for comment.

But consolidation isn’t a smart move for all borrowers.
Usually, doing so restarts a borrowers’ forgiveness timeline. So borrowers who have made it close to the end of their student loan forgiveness timeline may not want to risk consolidating their loans, Kantrowitz cautioned.
Other risks that come with consolidating your loans include the capitalization of interest and a new, longer repayment term, he added.

Other student loan forgiveness options to know about

You may still be eligible for other relief options.
If you’re not already enrolled in a program that leads to student loan forgiveness, you can find “great information” on the Department of Education’s website, Studentaid.gov, about the different opportunities, said Betsy Mayotte, president of The Institute of Student Loan Advisors, a nonprofit.
Two of the most popular debt cancellation avenues are the Public Service Loan Forgiveness program, which leads to a debt jubilee after a decade of payments for qualifying workers, and the income-driven repayment plans.
Those plans, which cap a borrowers’ monthly bill at a share of their discretionary income, lead to debt erasure after 10 to 25 years of payments. There are currently four different plans, each with different rules.

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But there are also “over 100 other forgiveness programs out there to explore,” said Mayotte in an earlier interview with CNBC.
“Many are offered by states looking to encourage certain types of employment, such as health care and public defenders,” she said.
Mayotte’s website, FreeStudentLoanAdvice.org, has a database of these programs, she said.
Meanwhile, after the U.S. Supreme Court blocked President Joe Biden’s sweeping student loan forgiveness plan last June, his administration began working on a revised, more targeted relief plan. People could see that aid later this year, if the program survives legal challenges this time. More