Wisconsin reports $3.3 billion general‑fund surplus as tax collections rise 3.4%
Wisconsin announced on Oct. 15 that its general fund ended the fiscal year with a $3.3 billion surplus, surpassing estimates by $350 million.
The surplus reflects stronger fiscal performance, with tax collections up 3.4% and overall revenues 2% above the state’s projections, offering a potential boost for taxpayers and public programs.
In addition to the surplus, the state’s rainy‑day fund now balances at $2.1 billion, an increase of $1.75 billion since Gov. Tony Evers took office in 2018, underscoring the administration’s focus on fiscal resilience.
"This is damn good news, Wisconsin," Gov. Evers said. "We’ve worked hard over the last eight years to cut taxes for working families and seniors, deliver historic investments in our kids and schools, expand high‑speed internet, fix our roads and bridges, support veterans and farmers, and make child care and health care more affordable—while still saving taxpayer dollars, paying down our state’s debt, and staying well within our means."
The Legislature’s Senate recently rejected a proposal that would have channeled part of the surplus into an income‑tax refund, eliminated taxes on overtime and tips, and earmarked $300 million each for special‑education funding and general school aid to replace property‑tax financing. All Senate Democrats opposed the measure, and three Republican senators voted against it.
Republican gubernatorial candidate Tom Tiffany has pledged to cut state income taxes by 10% for families earning less than $150,000, eliminate taxes on tips and overtime, and return the surplus directly to voters. In contrast, Democratic candidate David Crowley plans to use the surplus to increase state funding for schools, a move he argues could lower local property tax burdens.
As the Legislature drafts the next state budget, lawmakers will decide whether to direct the surplus toward tax relief, education spending, or other priorities, a decision that could shape Wisconsin’s fiscal landscape for years to come.
