ALBANY, N.Y. (WTEN) –The state’s Department of Taxation and Finance is issuing $475 million in child and earned income tax payments to 1.8 million New Yorkers. This relief was part of the state’s budget plan passed this year. The checks will be mailed out automatically for those who claimed the Empire State Child Credit, the Earned Income Credit or both on their 2021 state tax returns. This is a one-time relief. 

“The payment is meant to help taxpayers who are facing the pinch of inflation as well as taxpayers whose children are facing poverty,” said Robert Smith, Director of Community Outreach for NYS Taxation and Finance.

According to the Bureau of Labor Statistics energy costs are up 19.8% and all items minus food and energy are up 6.6%.  Staple food items like eggs up 39.8%, fruits & veggies up 9.4% and milk up 17%. So how much can New Yorkers expect to receive with this tax relief? 

“The amounts vary based on the original Empire State Child Tax Credit or Earned Income Tax Credit, however the average check will be $270,” said Smith.

Dennis Fagan is President and financial advisor at Fagan Associates. He said times are rough and any amount of financial aid helps, “Inflations running around eight percent or so and that’s causing families you know my guess about four or five thousand a year that it wasn’t costing them a year ago so $200 is a relative drop in the bucket compared to the cost of living now but it certainly is a help.”

Fagan says he thinks inflation costs are at its peak right now. Here are some things he recommends to ease financial burdens, “Make sure you go to your employer and ask for a raise because of the cost of living if nothing else, but I think at this point in time some of those things I mentioned, reducing your heat a little bit, maybe carpooling, changing to store brand … versus your nationally recognized brand those are some things that you can do. ” The Department has already mailed out 360,000 checks, most will arrive by the end of this October.