New York Is Sending Out Free Money — Are You on the List?

Life’s gotten more expensive, and New York knows it. To help ease the burden, the state is sending out one-time “inflation refund” checks to millions of residents this fall. If you paid state taxes in 2023 and meet the income limits, you could be getting some money back—no forms, no fuss.

Here’s everything you need to know in plain English.

What Is the Inflation Refund?

This is a one-time payment from the state of New York meant to give taxpayers a little relief from rising costs. It’s funded by higher-than-usual tax collections driven by inflation. Lawmakers decided to return some of that surplus back to residents instead of holding onto it.

No need to apply. If you’re eligible, a check will show up in your mailbox automatically.

So, How Much Will You Get?

The amount you’ll receive depends on your 2023 income and your tax filing status. Here’s a simple breakdown:

If You’re Married and Filed Jointly:

• Earned $150,000 or less: $400

• Earned between $150,001 and $300,000: $300

If You’re Single or Head of Household:

• Earned $75,000 or less: $200

• Earned between $75,001 and $150,000: $150

In total, around 8.2 million households are expected to receive payments, costing the state close to $2 billion.

Who’s Eligible?

To qualify, you must:

• Have filed a 2023 New York State resident income tax return (Form IT-201)

• Meet the income limits mentioned above

• Not be claimed as a dependent on someone else’s return

• Still be a New York resident

There’s no separate application, and the check will be sent to the address listed on your 2023 return.

When Will the Checks Arrive?

The state says the checks will begin going out in mid-October 2025, with most mailed by the end of November. These will be paper checks, even if you usually get refunds by direct deposit.

There’s no way to track the status of your check, so it’s important to keep an eye on your mailbox this fall.

Why Is the State Doing This Now?

With inflation driving up the cost of everything—from groceries to gas—people are feeling the pinch. The state collected more in sales and income taxes than expected, so officials decided to give some of it back. It’s a short-term solution, but it’s meant to offer a bit of breathing room.

This move is also part of a larger affordability plan that includes:

• Tax cuts for middle-class families

• Expanded child tax credits (up to $1,000 per child under 4)

• Free school meals for all public school students

A Word of Caution

While this payment may help, it won’t solve bigger financial struggles. As one official in Syracuse pointed out, rising property taxes and other long-term costs are still a concern. This refund is helpful—but it’s not a fix-all.

What Should You Do Now?

1. Make sure your 2023 return was filed correctly. If you used a tax preparer, they can help double-check.

2. Check the mailing address on your return. If you’ve moved since filing, your check may go to your old address.

3. Be patient. The checks will come automatically between October and November—no need to call or email the tax department.

4. Use the money wisely. It might not be a huge amount, but it can help with groceries, bills, or a cushion for the holidays.

If you qualify, this refund is free money—sent automatically, no hoops to jump through. For many New Yorkers, it’s a much-needed break in a time when everything feels like it costs more.

And while it’s not a long-term fix, every little bit helps.

If you want help figuring out exactly how much you’ll receive—or how to put it to good use—I can help with that too. Just ask.