New York State has officially announced a relief plan to help families cope with the rising cost of living. Governor Kathy Hochul confirmed that 8.2 million households in the state will receive inflation rebate checks of up to $400 each.
This move is part of the 2026 State Budget, aimed at supporting working families affected by inflation, especially with everyday expenses like rent, groceries, and utilities. The payment will be sent automatically to eligible residents of New York City — no extra paperwork needed.
What Is This $400 Rebate Check?
This one-time rebate is not a bonus or a loan. It’s a refund for the higher sales taxes people paid due to inflation. The state collected more money than expected, so instead of keeping it, they’re giving it back to the people.
This rebate is funded through state surpluses, not the regular budget, so it doesn’t impact future services or programs.
Who Is Eligible for the Inflation Relief Payment?
To qualify, you must meet all of these conditions:
- You must live in New York City
- You must have filed Form IT-201 for the 2023 tax year
- You must not be claimed as a dependent by someone else
- Your income must fall within the eligible range
The government will use the information from your 2023 tax return to decide your eligibility. If your address has changed, make sure to update it before September 2025 to avoid delays.
How Much Will You Get?
Here’s how the rebate amounts break down depending on your filing status and income:
Single Filers
- Income up to $75,000 → $200
- Income between $75,001–$150,000 → $150
Married Filing Jointly
- Income up to $150,000 → $400
- Income between $150,001–$300,000 → $300
Married Filing Separately
- Income up to $75,000 → $200
- Income between $75,001–$150,000 → $150
Head of Household
- Income up to $75,000 → $200
- Income between $75,001–$150,000 → $150
Qualified Surviving Spouse
- Income up to $150,000 → $400
These payments are automatic, so you won’t need to apply or fill out any extra forms.
When Will You Get the Check?
The inflation relief checks will start going out by mid-October 2025. The process will take a few weeks, so not everyone will receive it at the same time. There is no tracking system, and officials say there’s no order by ZIP code or area.
The Department of Taxation and Finance will send checks through regular mail. They will come in plain envelopes without any state labels to help avoid theft.
Important: There won’t be any reminders or notifications. Be careful of scams pretending to help you get your check faster — the government will never ask for personal info like your bank details via phone, text, or email.
Other Budget Benefits
Besides the rebate checks, New York’s 2026 Budget includes other helpful programs:
- Middle-class tax cuts
- Child tax credit increased to $1,000 per child, per year
- Free school meals for all students
These changes are part of a wider plan to make living in New York more affordable, especially for families facing pressure from rising prices.