NY Agrees On $400 Inflation Refund Checks For Over 8 Million Residents

As the cost of everything continues to rise, a little bit of financial relief is officially in the works for eligible New Yorkers.

New York Governor Kathy Hochul announced today that lawmakers have agreed in principle on the state budget for 2026. New Yorkers will be pleased to hear the budget includes some measures to help ease the financial burden of skyrocketing inflation over the last few years.

Read More: Plan Revealed Inflation Refund Checks For New Yorkers

The Governor's office says these budget measures include:

• A $1 billion tax cut for middle-class and low-income residents
• Inflation Refund checks for 8 million plus New Yorkers (up to $400 per family)
• Increase Child Tax Credit to $1000 for children under 4; $500 credit for children 4-16 years old

The Governor's office says the tax credit will lower tax rates to those eligible to their lowest level in 70 years, and the Child Tax Credit will double for the average family. Other measures include free community college for adults "...pursuing associate degrees in certain high-demand industries..." and free school breakfast/lunch for every student grades K-12.

Read More: New York Inflation Refund Checks Could Be Offset By Tax Increase

When Can New Yorker's Expect Refund Checks?

While today's announcement from the Governor did not go into detail on when refund checks would be mailed out, the initial plan announced late last year targeted a fall 2025 timeframe.

While the financial effect of the refund checks on their own will be minimal, coupled with the above tax cut and Child Tax Credit expansion, New Yorkers (Especially families) could finally feel a little relief from the overall high cost of living in New York State.

With an agreement now in place on the $254 billion budget, the Governor's office expects state lawmakers to enact it this week.