The Senate's $149 Billion Jobs Bill: What Does It Do For You?

March 12, 2010— -- Now that the U.S. Senate has approved a $149 billion jobs bill that extends both unemployment benefits and tax breaks for businesses, just what does the legislation mean for ordinary Americans?

"If this bill gets through the House of Representatives, it will almost certainly be helpful for struggling individuals," says Cindy Hockenberry, an economist and research coordinator for the National Association of Tax Professionals, a nonprofit professional group. "The bill is designed to stimulate the economy, and to do that you need to offer folks tax breaks and other incentives."

The measure, which passed the Senate Wednesday on a 62-36 vote, offers up some $26 billion in tax breaks for businesses and individuals, including extending through 2010 a variety of popular tax breaks that expired at the end of 2009.

Other highlights of the bill include:

"Investing in our nation's small businesses, cutting taxes for America's businesses, and bringing relief to families hard hit by the economic crisis are key to our economic recovery and long-term growth," President Obama said in a statement Wednesday."I am grateful to senators in both parties who took one more step forward today in getting our nation back on a solid economic footing."

Other tax breaks in the bill include a deduction for college tuition for couples making less than $160,000 a year, and one for teachers who use their own money to buy school supplies.

There is a tax credit for community development agencies that invest in low-income neighborhoods, as well as a tax break for restaurant owners and retailers who remodel their stores.