The Trump administration began the year with a strategy focused on easing the economic burden on Americans through tax cuts and a calibrated tariff policy. A sweeping bill consolidated twelve initiatives, including the elimination of taxes on tips, overtime pay, and Social Security benefits for seniors, which could translate into savings of between $11,000 and $20,000 per family. The Treasury Secretary anticipates that 2026 will be the “year of the giant refund,” as millions of taxpayers are believed to have overpaid in 2025. In parallel, the government delayed planned tariff increases on certain household goods for one year, keeping rates at 25 percent while trade negotiations continue, with the aim of protecting consumers without easing international pressure.
