Governor Kathy Hochul announced a major win for middle-class families during a visit to the Capital District YMCA BOCES Preschool. She highlighted new investments in child care and education in New York’s FY 2026 budget. At the center is an expanded child tax credit—now up to $1,000 for children under 4 and $500 for kids aged 4 to 16.
“This budget was all about my fight for your family,” Hochul said. “We got it done.”
Bigger child tax credits for families
The FY 2026 budget doubles the average credit for working families in New York:
- $1,000 credit for each child under age 4
- $500 credit for children ages 4–16
These credits aim to ease financial pressure on households with young children. Families can use the extra money to help cover bills, groceries, rent or child care.
$2.2 billion invested in child care statewide
New York is also investing $2.2 billion to improve access to child care. This includes $350 million to stabilize subsidies for thousands of families in New York City.
Governor Hochul emphasized the long-term importance of these investments. “Right next door are students training to become child care providers. This budget ensures the system will support their future,” she said.
More relief for working families
In addition to tax relief and child care, the budget includes:
- Free school meals for more students
- Free college tuition for high-demand career programs
- Stronger workforce development tied to early childhood education
Hochul said the goal was clear from the start—deliver real financial relief and long-term support for families. “I said this budget wouldn’t be complete until we put money back in parents’ pockets,” she said. “And we did just that.”
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