Americans received more from tax refund than predicted

This story version has been formatted as an on-air script for broadcast outlets. See the original research story here.

ARE ‘RESPONSIBLE TAX REFUNDS’ ON THE RISE? 

A NEW SURVEY FROM TAXSLAYER SHOWS TAXPAYERS ARE MORE LIKELY TO SPEND THEIR REFUNDS ON RENT, GROCERIES AND OTHER NECESSITIES, RATHER THAN LUXURIES.

THE POLL OF 2,000 U.S. TAXPAYERS FOUND NEARLY TWO IN THREE (64%) HAVE EITHER ALREADY SPENT THEIR TAX REFUND MONEY OR ARE PLANNING TO SOON. AND ALL AGREE THEIR REFUNDS WILL BE SPENT ON NECESSARY PURCHASES.

CONDUCTED BY TALKER RESEARCH, THE SURVEY FOUND FOUR IN FIVE WHO HAVE ALREADY SPENT THEIR REFUNDS SPENT IT ON ESSENTIALS; TOP SPENDS INCLUDE BILLS LIKE RENT (58%), GROCERIES (48%), PAYING DOWN CREDIT CARD DEBT (29%) AND HOME REPAIRS (13%). 

LIKEWISE, 72 PERCENT WHO HAVEN'T ALREADY SPENT THEIR REFUNDS ARE PLANNING TO INVEST IT ALL IN NECESSITIES.THE STUDY REVEALED THAT PARTICIPANTS RECEIVED MORE THAN $2,300 ON AVERAGE IN THEIR REFUNDS THIS YEAR — HIGHER THAN THE AVERAGE $1,700 THAT WAS PREDICTED WHEN THE FIRST STUDY ON THIS TOPIC WAS CONDUCTED IN DECEMBER 2024.

WHAT WERE THE ACTUAL TOP NECESSITIES PEOPLE SPENT THEIR REFUNDS ON?

Respondents were asked to choose all the necessities they spent their refunds on. Here’s what they said:

NECESSITIES

• Bills, like rent and utilities - 58%
• Groceries and essential goods - 48%
• Credit card debt - 29%
• Home repair/improvement - 13%
• Miscellaneous spending - 10%
• Savings accounts - 7%
• Childcare costs - 4%
• Paying down student debt - 3%

Survey methodology:

Talker Research surveyed 2,000 Americans who pay taxes and have received any kind of tax refund this year; the survey was commissioned by TaxSlayer and administered and conducted online by Talker Research between Dec. 13 and Dec. 20, 2024 and between Apr. 10 and Apr. 27, 2025.

We are sourcing from a non-probability frame and the two main sources we use are:

• Traditional online access panels — where respondents opt-in to take part in online market research for an incentive
• Programmatic — where respondents are online and are given the option to take part in a survey to receive a virtual incentive usually related to the online activity they are engaging in

Those who did not fit the specified sample were terminated from the survey. As the survey is fielded, dynamic online sampling is used, adjusting targeting to achieve the quotas specified as part of the sampling plan.

Regardless of which sources a respondent came from, they were directed to an Online Survey, where the survey was conducted in English; a link to the questionnaire can be shared upon request. Respondents were awarded points for completing the survey. These points have a small cash-equivalent monetary value.

Cells are only reported on for analysis if they have a minimum of 80 respondents, and statistical significance is calculated at the 95% level. Data is not weighted, but quotas and other parameters are put in place to reach the desired sample.

Interviews are excluded from the final analysis if they failed quality-checking measures. This includes:

• Speeders: Respondents who complete the survey in a time that is quicker than one-third of the median length of interview are disqualified as speeders
• Open ends: All verbatim responses (full open-ended questions as well as other please specify options) are checked for inappropriate or irrelevant text
• Bots: Captcha is enabled on surveys, which allows the research team to identify and disqualify bots
• Duplicates: Survey software has “deduping” based on digital fingerprinting, which ensures nobody is allowed to take the survey more than once

It is worth noting that this survey was only available to individuals with internet access, and the results may not be generalizable to those without internet access.