The big picture: The 2026 tax season reveals that gig work is making tax refunds harder to obtain for many Americans, particularly the nearly 70% living paycheck to paycheck. This intensifies financial strain for contingent workers who rely on refunds.

Why it matters: For staffing and corporate leaders, this trend signals potential financial instability among a significant portion of the contingent workforce, impacting retention, engagement, and overall labor market fluidity.

Between the lines:

• Nearly 70% of Americans live paycheck to paycheck, making tax refunds crucial.
• Those facing the greatest financial strain are statistically least likely to receive a refund.
• Gig work structures often lead to more complex tax situations, reducing refund likelihood.

Staffing & HR impact: Increased financial precarity for contingent workers could lead to higher turnover and reduced availability, potentially affecting staffing firm margins and requiring HR to consider financial wellness support. Compliance around worker classification and tax withholding remains critical.

The bottom line: Expect ongoing financial challenges for gig workers, potentially influencing talent supply and demand in the contingent labor market.