Let us start with the main reason you asked the question and I answered it: a tax refund is what the government gives you back when you paid too much in taxes. Based on data collected through March, the IRS estimated that the average would be $3,221. This is about the same as the amount in 2024.
It is interesting that people who choose direct deposit usually get an extra $60. Professionals say that there is less room for error in the process. The average in February was $2,169, but it went up when tax returns with credits like the EITC and ACTC started to come in.
Wait until after the middle of February to get these benefits; if you did, your check might be bigger. Yes, pay close attention to the numbers. You will not be able to get fast money if your SSN or bank information is wrong.
Errors that could withhold your tax refund
American taxpayers often make the following mistakes. We have listed them here so that you can avoid making the same ones:
This is a list of things you should not do:
- Putting your SSN or name wrong: It seems obvious, but it is the most common mistake. The IRS has no magic to guess who you are.
- Forget credits or deductions: Did you pay off student loans? Did you donate to a cause? Claim it! The EITC, for example, is a lifeline for low incomes.
- Wrong direct deposit: One misspelled account number and your money could end up in limbo (or in someone else’s hands).
Keep in mind that if you owe old taxes, support, or student loans, the IRS may offset your refund. They warn you with a notification, but it’s better to be safe.
What happens if I file my tax return late?
You will be fined up to 25% of what you owe every month after April 15 if you file after that date. There is no charge if you were hoping for a refund… But why risk it? You should use tools like Where is My Refund? to keep track of your money and deal with issues quickly.
The IRS can take up to 6 weeks to process your return if you file it by mail. Many people get their money in less than 21 days, though, thanks to direct deposit and e-filing. Also, if you have to go through an audit (which we hope you don’t!), having everything digital makes things easier.
Check your refund against what you got in the past if it seems too low. If your tax situation changes, like if your income goes up, that could explain the difference. And if you think something is wrong, call the IRS right away.