Tax refunds are often the biggest payment many Americans receive all year, and this year those refunds could be much larger than usual. According to USA Today, about 75% of Americans get a tax refund each year. In 2025, the average refund was $2,939, based on data from the Internal Revenue Service.
Refunds in the current tax season could be as much as 30% higher because of new tax provisions included in President Donald Trump’s major tax and spending law, said James Knightley, chief international economist at Dutch bank ING.
Direct deposit is the fastest and safest option
USA Today reports that the fastest and safest way to receive a tax refund is through free electronic direct deposit. Nearly nine out of 10 taxpayers already use direct deposit, but the IRS wants even more people to switch.
The agency began phasing out paper refund checks on Sept. 30, warning that paper checks are more than 16 times more likely to be lost, stolen, altered or delayed than electronic payments. Direct deposit also reduces the risk of refund checks being returned as undeliverable.
Combining e-filing and direct deposit speeds things up
The IRS says refunds arrive even faster when direct deposit is combined with electronic filing. Most taxpayers who file online and choose direct deposit receive their refunds in less than 21 days.
Once the IRS approves a refund, the money usually reaches bank accounts within five days.
How to sign up through a tax preparer or paper filing
For taxpayers who use a professional tax preparer, signing up for direct deposit is simple. USA Today notes that taxpayers just need to tell their preparer they want their refund deposited electronically, and the preparer will handle the process. Those who file paper returns must mark direct deposit on their forms and carefully enter their bank routing and account numbers. Even a small mistake can cause delays or result in a paper check being mailed instead.
Using tax software for direct deposit
Taxpayers who use tax software can select direct deposit as their refund option and enter their bank details directly. The routing number can usually be found on the bottom left of a check or on a bank’s website, while the account number appears on the bottom right of a check or in online banking apps.
Options for people without a bank account
USA Today explains that taxpayers without a bank account still have options. They can open an account through a bank listed on the Federal Deposit Insurance Corporation website or find a credit union using tools from the National Credit Union Administration. Many banks and credit unions allow accounts to be opened quickly.
Some people may also receive refunds on reloadable prepaid debit cards or mobile payment apps, as long as those services provide routing and account numbers that can accept direct deposits.
How long refunds usually take
Refund timing depends on how a return is filed. Electronic filers who choose direct deposit usually receive refunds within 21 days, while paper returns can take four weeks or longer to process.
Taxpayers who claim the Earned Income Tax Credit or the Additional Child Tax Credit face extra delays, because the IRS is legally required to hold those refunds until mid-February. The agency expects most of those refunds to be available by March 3 for early filers who chose direct deposit and have no other issues.
Tracking your refund status
USA Today also reports that taxpayers can track their refunds using the IRS “Where’s My Refund?” tool on its website or by calling 800-829-1954. Refund status is available 24 hours after electronic filing or four weeks after mailing a paper return, and updates are made once each day. Taxpayers need their Social Security or taxpayer ID number, filing status and exact refund amount to check their status.