At first it seems like there would be no connection between tax time and co-op advertising funds, but that is not true for a couple of reasons. First, many of the H&R Block offices are franchises that are independently owned. However, Corporate offers these owners co-op advertising funds to help get more people through their doors. But what we are really going to talk about here is the average tax refund and how people use this extra influx of cash.
Let’s look at a few tax refund facts that you may be able to incorporate into some great ad campaigns.

Tax Refund Facts

• As of early 2025, the average tax refund was approximately $3,100. This shows an increase of about 3.5% to 7.5% compared to the same period in 2024. For the 2026 tax season, the average refund is projected to be significantly higher, potentially $1,000 or more. Estimates suggest averages could reach $4,200. This higher amount is due to the new tax cuts signed as part of the One Big Beautiful Bill. Folks will now receive deductions for tips, overtime, and increased standard deductions.
• So, what do people spend their tax money on? It was interesting to read that “Generational Differences” affect the spending. For instance, Gen Z will use that money to invest rather than pay down any existing debt. Millennials and Gen X are the two groups most focused on using their refund to pay down existing debt, while Baby Boomers pad their emergency savings.
• 90% of folks plan to use their refunds for practical purposes like groceries, overdue car repairs, and even the basics like rent and utilities. It’s the 10% of people that you would want to reach with your advertising – these are the folks that spend on luxury and “fun” items.

Below are just a few of the brands (a couple of luxury brands) that can be tied into a tax-related ad (and appear in the Co>Op Connect platform):

Brand Name – Products/Services – High-Level Guidelines

H&R Block – Tax Preparation
They offer Brand Management Budget (BMB) to their franchisees. Radio, Outdoor, Billboards, Direct Mail, Newspapers, Yelp, Geofencing, and more are eligible for the co-op funds. You must submit the invoice and proof of payment to the manufacturer.

General Motors – Cadillac – New Vehicles
Co-op funding is earned on a 12-month rolling basis. Reimbursement is 100% for traditional and digital advertising.

Cunard Cruise Line – Cruises
Co-op funding is available to Silver, Gold, and Platinum Partners. Reimbursement is 50%. Co-op funds are available for TV, Radio, Email Marketing, Online Display, Social Media, Direct Mail, Magazines, Newspaper, and Trade Show advertising.

Summary
To find out more about our Co-Op Connect Platform or our Co-op Concierge Services, call us at 877-990-2667 or email [email protected].

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