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President Donald Trump is promising a windfall for millions of Americans — declaring that the spring of 2026 will bring “the biggest tax refund season of all time.” And one of his top economic advisers says the checks won’t just be big — they’ll be “massive.”
Kevin Hassett, director of the National Economic Council and a leading contender to become the next chairman of the Federal Reserve, says a wave of refund money is coming – all because of the timing of Trump’s “One Big Beautiful Bill.”
“We didn’t pass the Big Bill until mid-summer, so a lot of the tax changes affecting last year weren’t in any of the tax forms that people filled out at the beginning of the year,” he told Fox Business (1).
“So we’re going to see the biggest refund cycle ever in American history, and people are going to get massive refund checks.”
Hassett pointed out that the impact will be especially evident for a specific group of workers: those who rely on tips or overtime.
“For the typical person who is a tip worker or who gets paid overtime, we’re expecting that part of it alone to be worth a refund of a few thousand dollars,” he said.
This is because the One Big Beautiful Bill scrapped taxes on tips and overtime, giving these workers a noticeable boost in take-home pay.
Hassett added that the administration will launch “a big PR campaign at the beginning of the year encouraging people to file early” to ensure workers claim everything they are owed.
For many households, this raises an immediate question: What’s the smartest way to use a sudden cash infusion? Whether you’re thinking about consolidating your finances, preparing for uncertainty, or putting that extra cash to work, here are a few ways Americans can consider investing their potential earnings.
The US stock market has been a powerful wealth creation engine. Trump pointed to that strength, recently saying, “the only thing that’s really going up? It’s the stock market and your 401(k)s.” (2)
The benchmark S&P 500 is up about 16% year-to-date and has gained roughly 84% over the past five years.
Of course, consistently picking winning stocks is not easy. That’s why legendary investor Warren Buffett argues that most people don’t need to pick individual companies to benefit from the long-term growth of the stock market.
“In my view, for most people, the best thing to do is to own the S&P 500 index fund,” Buffett famously stated (3).
This approach gives investors exposure to 500 of America’s largest companies in a wide range of industries, and provides immediate diversification without the need for constant monitoring or active trading.
If you want to follow Buffett’s approach, getting started has never been easier.
With investment platforms like Robinhood, you can buy and sell stocks and ETFs — like an S&P 500 index fund — and trade options commission-free, track your portfolio in real time, and get 24/7 access to customer service.
For beginners, the app also lets you buy fractional shares for as little as $1, making it easy to build a diversified portfolio without breaking the bank.
The best part? new Robinhood customers can also get free stock curated from top US companies once you sign up and link your bank account to the app.
Read more: Warren Buffett used 8 solid and repeatable money rules to turn $9,800 into a $150B fortune. Start using them today to get rich (and stay rich)
Beyond stocks, real estate has long been another mainstay of wealth building in America.
In fact, Buffett often points to real estate when explaining what a productive, income-generating asset looks like. In 2022, Buffett declared that if you offered him “1% of all the apartment houses in the country” for $25 billion, he would “write you a check.” (4)
Why? Because regardless of what’s happening in the wider economy, people still need a place to live and apartments can consistently produce rent money.
Real estate also offers a built-in hedge against inflation. When inflation increases, property values often increase as well, reflecting the higher costs of materials, labor and land. At the same time, rental income tends to increase, providing landlords with an income stream that adjusts to inflation.
Of course, you don’t need $25 billion — or even to buy one property outright — to invest in real estate. Crowdfunding platforms like Arrived offer an easier way to gain exposure to this income-generating asset class.
Backed by world-class investors like Jeff Bezos, Arrived allows you to invest in rental housing shares for as little as $100, all without the hassle of mowing the lawn, fixing leaky faucets or managing difficult tenants.
The process is simple: browse a curated selection of homes that have been verified for their appreciation and income potential. Once you find a property you like, select the number of shares you wish to buy and then invest as you begin to receive any positive rental income distribution from your investment.
Another option is Mogul, a real estate investment platform that offers fractional ownership in blue-chip rental properties, giving investors monthly rental income, real-time appreciation and tax benefits — without the need for hefty down payments or 3 AM tenant calls.
Founded by former Goldman Sachs real estate investors, the team handpicks the top 1% of single family rental homes nationwide for you. In other words, you get access to institutional quality offerings for a fraction of the usual cost.
Each property goes through a rigorous verification process, which requires a minimum return of 12% even in downturn scenarios. Across the board, the platform has an average annual IRR of 18.8%. Offers often sell out in less than three hours, with investments typically ranging between $15,000 and $40,000 per property.
You can sign up for an account and then browse available properties here.
You don’t need a large investment portfolio to start building wealth. Even your extra money – such as a tax refund – can earn income, rather than sitting idle in a low-yielding account.
One of the simplest ways to put that money to work is by moving it into an account that actually rewards you. High yield savings accounts (HYSAs) won’t make you rich overnight, but they offer a low-risk way to earn interest on money you may need access to at any time.
And the gap can be significant. While the average national interest rate on savings accounts is 0.39% APY, online banks can offer you much more competitive returns – in some cases up to 10x more.
You can check the Moneywise list of Best High Yield Savings Accounts 2025 and find an offer that matches your savings goal.
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Fox Business (1), NTD (2), CNBC (3, 4)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
