2. Mission: The Omaha EITC Coalition promotes the claiming of tax credits through quality volunteer tax return preparation with a goal of providing educational tools and community resources for family asset development. Vision: The Coalition promotes financial stability through empowered customers who use tax credits and tax refunds to own and maintain assets. Values: Inclusiveness, Non-partisanship, Customer Empowerment, and Quality Service

3. Report on 2011 Tax Year Be Amazing: An African-American Economic Journey Increasing the Latino Stake in Omaha’s Economy At the Crossroads of Risk & Opportunity for Persons with Disabilities Change our Constant Companion Context of Change Poverty Dialogue Series to spur discussion Goal: Customer Input and Action

4. VITA Means to Me

5. The Omaha EITC Coalition’s priority is customer empowerment The preparation of tax returns provides a complete look into a person’s income, family composition, expenses, opportunities and challenges The opportunity to influence financial decisions presents itself as our certified volunteers dialogue with a customer about their financial life – Our approach to financial education is intense, personal, honest, and direct We want our customers to come to know themselves and to see and take advantage of opportunities that arise through the involvement of our Coalition partners in improving their financial stability – We welcome new partners to the Coalition to help low income communities progress in economic success

6. Coalition’s approach to poverty reduction : Increasing access to financial services Increasing wealth by building savings Using tax credits (especially EITC, CTC, DC), Savings, CDs, bank accounts, education investment, credit repair leading to more access to mainstream financial services, better interest rates, more access to credit, stronger relationships with banks Promoting programs that help families and children because of the cyclical effect of poverty and the damaging impacts of childhood poverty The Omaha EITC Coalition understands asset development to be a universal process whereby people of all income levels aspire to accumulate, maintain and preserve economic resources to build lasting wealth and participate fully in the community as empowered and educated owners with increased financial knowledge and capability, access to credit, savings and investments

7. Severe recent recession has produced a changing climate in part focused on new accountabilities and a new structure of investment, public and private The old service-based economy is being replaced by an emerging economic model in part characterized by: – Long-term unemployment – Knowledge-based jobs with greater expectations and more stringent qualifications Nebraska’s strengths – Agriculture basis – Diversified urban and semi-rural businesses – Still, not immune to national trends

8. On a Clear Night, you can see forever…. …except for the Icebergs in your path.

9. 23% of Americans (18% of Nebraskans) live in asset poverty 14% of Americans (12% of Nebraskans) live in extreme asset poverty = ZERO assets Accessed from: http://scorecard.cfed.org/state_data/nebraska.phphttp://scorecard.cfed.org/state_data/nebraska.php

10. Community Strengths Between 2003-2010, the percentage of African-American high school graduates attending college rose from 53% to 69% (Empowerment Network, 2012) An amazing 82% growth rate in the first decade of this century in Omaha for Latino Community Nearly half of Latinos filed Married Filing Jointly Other important recent gains in the community: – A recent fall in gun violence – The launching of community orientated organizations (Communities in Schools, Impact One, and the North Omaha Neighborhood Alliance) – The opening of new businesses – New housing units

11. Overall Tax Results from 2011 Average Adjusted Gross Income (AGI) was $20,111 The total amount in federal tax refunds was $6,862,194 (average tax refund of $1,857) State Refunds were $1,200,814 (average state refund was $255) The percentage of the total refund amount derived from income tax credits was 48 For many customers, income tax credits supplement annual earned income and lift an individual or family from poverty.

12. 2011 Tax Results

13. Banked Vs Unbanked

14. 2011 Tax results

15. 2011 Tax Results

16. Financial Behaviors

17. Savings Habits

18. Go from This to That

19. Health Care Coverage

20. A paramount concern for the Coalition’s customers is the overwhelming large proportion of total income tax credits to total income tax refunds. – Most tax credits will be significantly reduced or expire on 12/31/12; this is the “fiscal cliff” we hear about in the news Progress in formal education and job training skills are at risk due to the loss of the Education Credits The loss of the Mortgage Forgiveness Act of 2007 is also a dramatic blow to the low to middle income

21. Inside Look “The Computer can’t tell you the emotional story. It can give you the exact mathematical design, but what’s missing is the eyebrows.” Frank Zappa

22. Expiring Issues: – “Bush Tax Cuts” – EIC – CTC – Education Credits – Social Security Holiday – General Sales Tax Deduction, AMT Patch, Educator Expenses, Tuition and Fees Deduction – Mortgage Forgiveness Act Mandatory Cuts (Sequestration) Real Impact of the Affordable Care Act

23. A Typical Family MFJ, 2 small children, $46,800 earned income, job loss & unemployment, lost home to foreclosure. In 2012: Refund $3,870 In 2013 (given no changes): Amount Due: $11,895

24. Anticipate what will happen in the future Don’t get too comfortable with your “goodies” Prepare for higher taxes Educate your family and kids to save and prepare for the worst Empower clients to raise their voices Educate customers to deal with: finances, economic hardships, and poverty

25. Outreach Conversations about the tax code, role of credits, reweaving a safety net for the neediest Partnering with Community Leaders and Organizations Writing letters and Visiting Elected Officials Notifying Customers of Tax Law Changes Conversations about the tax code, role of credits, reweaving a safety net for the neediest Partnering with Community Leaders and Organizations Writing letters and Visiting Elected Officials Notifying Customers of Tax Law Changes

26. VITA =

27. BE THE CHANGE

28. At Your Service Ed Leahy Director, Omaha EITC Coalition 3605 Q St Omaha, NE 68107 402-250-9781 omahaeitc@cox.net Facebook.com/OmahaEITC