Major Change To Taxes For Parents In New York

There is good news for parents in New York. They will receive more money, and every parent who is struggling to make ends meet knows how important that is. The current administration is reportedly exploring ways to increase birth rates in America. They want to pay people to have children. But, having a baby and raising a child in New York is not cheap. According to LendingTree, raising a child in New York is not cheap,

- Basic annual expenses to raise a small child equal $26,017 in New York
- Families are projected to spend $131,094 over 18 years raising a child in New York
- New York families spend an average of 19.8% of their income on the basic annual expenses to raise a child

 

READ MORE: New Yorkers Urged To Have Kids For $5,000

We ended 2024 with a solid economy. Inflation was shrinking, jobs were being created, and 401Ks and the stock market were surging. Now, under the new regime, the whole U.S. economy has reversed course. Life is not getting better for New York families; it's getting worse. Uncertainty and higher prices are hurting New Yorkers. According to CBS6, the U.S. economy reversed course in the first quarter.

READ MORE: 50% Of Social Security Benefits Will Be Seized From Some New Yorkers

But, thanks to leadership in New York, there is some relief in sight! New York State Governor Kathy Hochul announced that a deal has been reached to pass her Fiscal Year 2026 New York State Budget. Within the budget, there is some relief for parents in the state.

The budget will deliver an increase to the Child Tax Credit. Eligible families will receive a $1,000 credit for kids younger than 4 years old and a $500 credit for kids between the ages of 4 to 16. This means more money going back into the bank accounts of New York families who have been suffering this year from job cuts, benefit cuts, 401K decreases, and high costs, due in part to Trump's tariffs.

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