Press Releases

Bigger Paychecks, Bigger Tax Refunds, and a Stronger Start for Every Child

The Working Families Tax Cuts delivers immediate relief for parents and long-term opportunity for children

Washington, January 29, 2026

WASHINGTON — In 2026, as tax filing season opens, Americans are beginning to see bigger paychecks, bigger tax refunds, and new opportunities to build long-term financial security for their children because President Trump and Congressional Republicans kept their promise to put more money back in family budgets through the Working Families Tax Cuts.

This law delivers bigger paychecks and permanent tax relief today — and creates a transformative new pathway to financial stability for the next generation through Trump Accounts.

BIGGER TAX REFUNDS IN 2026

Americans will see historic refund levels this tax season:

  • Nearly $4,000 average tax refund
  • $100 BILLION in total tax refunds projected nationwide
  • Refund levels among the highest in years
  • 66% of the WFTC’s tax cuts benefits families earning less than $500,000

MORE MONEY IN EVERY PAYCHECK

Tax relief is boosting take-home pay all year long:

  • Over $10,000 more in annual take-home pay for working families
  • 15% average tax cut for Americans earning $15,000–$80,000
  • More than 94% of middle-income working families receive a tax cut

PERMANENT TAX RELIEF FOR WORKING FAMILIES

The Working Families Tax Cuts locks in long-term tax benefits:

  • Standard deduction permanently doubled — used by 90% of American taxpayers
  • Lower tax rates and brackets made permanent — locks in reduced rates from the Trump tax cuts

TRUMP ACCOUNTS: A STRONG FINANCIAL START FOR EVERY AMERICAN CHILD

The Working Families Tax Cuts also establishes Trump Accounts, giving every newborn American a financial foundation from day one.

WHAT FAMILIES RECEIVE

  • $1,000 federal contribution for every American child born between January 1, 2025 – December 31, 2028
  • Account is fully in the child’s name, and parents are custodians until age 18
  • Families have the option to contribute up to $5,000 per year 

WHAT $1,000 BECOMES OVER TIME

Even without additional contributions, long-term growth can provide:

  • $6,000 by age 18
  • $15,000 by age 27
  • $243,000 by age 55

All from a one-time $1,000 federal investment.

###