Inflation Refund Checks Are Coming to NYC Parents in October, Plus New Child Tax Credit Increase!
There’s good news for NYC parents with inflation refund checks and a new child tax credit plan!
Gov. Kathy Hochul recently announced two major changes that will put money back into the hands of New York families: new inflation refund checks and an increase to the child tax credit. With the mounting cost of living, putting significant pressure on household budgets, these initiatives will help many New York families with young kids. After all, with prices still climbing on everything from groceries to gas, every bit of extra cash helps.
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Inflation Refund Checks Coming This Year
Hochul first shared her plan for inflation refund checks back in December, and now, New York will get them later this year. If you filed taxes in 2023 and made less than $150,000 for single filers or less than $300,000 for joint filers, you can expect a check in the mail starting this October. Over 8 million residents will be getting direct payments as part of a $2 billion plan to return some of the state’s extra tax revenue. Hochul says this money comes from higher sales tax collections due to inflation, and it’s only fair to send it back to the families who paid it.
Here’s the breakdown:
- $400 for joint filers earning up to $150,000
- $300 for joint filers earning between $150,000 and $300,000
- $200 for single filers earning up to $75,000
- $150 for single filers earning $75,000 to $150,000
Child Tax Credit Is Getting a Major Boost
Starting in 2026, New York families could see up to $1,000 per child under age 4 and $500 per child aged 4 to 16 in child tax credit payments. This boost is nearly double what many families currently receive. The current average credit is about $472, and it’s expected to jump to around $943.
This credit is designed to help cover the everyday costs of raising kids in New York, which has been increasing at a fast pace, including daycare, school supplies, clothes, and food. It’s also part of a bigger push to tackle child poverty and strengthen the local economy. The thinking is that when parents have more money to spend on essentials, it not only helps at home but also supports neighborhood businesses and keeps money flowing through the community. It’s a targeted and practical move with long-term benefits for families and the state as a whole.
The eligibility rules aren’t changing. You’ll still need to meet the usual requirements: your child must be under 17, have a valid Social Security number, live with you for more than half the year, and be your child or a qualifying relative.
More Initiatives for New Yorkers: Child Care, School Breakfasts, and Cell Phone Policies
Governor Hochul’s plan includes big investments to help families, including a $2.2 billion to expand access to child care, with $350 million dedicated to keeping child care subsidies for tens of thousands of New York City families. On top of that, $340 million will go toward making sure every K-12 student in the state gets free breakfast and lunch, saving families around $1,600 per child each year.
The plan also includes a new statewide policy for distraction-free schools, with a $13.5 million investment to help schools enforce bans on cell phones and other internet-enabled devices during school hours. This makes New York the largest state in the country to implement a statewide ban, in an effort to help students stay focused and cut down on distractions during the school day.
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