Disability:IN and the American Institutes for Research (AIR) jointly released a study on June 23, 2026, revealing the U.S. disability consumer market is worth $675 billion. The report, titled "The Next Growth Market: Inside the $675 Billion Consumer Opportunity," highlights significant revenue opportunities for businesses as people with disabilities enter labor markets at record rates, boosting discretionary income to $107 billion annually. This market size is equivalent to the global beauty and cosmetics industry.

The research focuses on working-age individuals (16-64 years) using the American Community Survey (ACS) definition of disability, which includes vision, hearing, mobility, self-care, cognition, and independent living. It does not cover chronic illnesses, cancers, neurodivergence, learning disabilities, or mental health conditions, suggesting the actual spending power may be higher. The study follows AIR's 2018 report, "A Hidden Market: The Purchasing Power of Working-Age Adults with Disabilities," though methodological differences prevent direct comparison between the two datasets.

Key Financial Findings

The study presents data on the income and spending power of people with disabilities, emphasizing the economic potential of this demographic. The table below summarizes the key financial metrics disclosed in the report.

Discretionary income is concentrated among approximately 10% of working-age people with disabilities, who have an average of $40,000 in discretionary spending power annually. The report notes that as people with disabilities continue to make gains in the labor market, their purchasing power is expected to follow, narrowing the gap with those without disabilities.

Strategic Opportunities for Businesses

The report identifies several strategies for businesses to tap into this expanding market. Companies are encouraged to integrate disability into market research and customer strategies, design wealth-building opportunities reflecting income profiles, and partner with disability customers for co-creation. Additionally, allocating capital through disability-focused funds and embedding accessibility into consumer and enterprise technology are highlighted as key drivers for sustained growth.

Jill Houghton, President and CEO of Disability:IN, stated that the opportunity is enormous for businesses that develop accessible products and include people with disabilities in their strategies. Kathleen Murphy, Managing Researcher at AIR and lead author, emphasized that the significant discretionary income in many states provides a clear path for companies to expand their reach and capture new demand.

A new report released in June by the U.S. Congress Joint Economic Committee Minority said America’s child care crisis is hurting families, businesses and the broader economy, with the lack of affordable and reliable care potentially costing the U.S. economy as much as $329 billion over the next decade. The report found parents can wait as long as two years for a child care slot, while care costs an average of $13,184 annually per child, often forcing parents to leave the workforce, cut work hours or miss work. These disruptions increase employee turnover, reduce productivity and raise hiring and training costs for businesses.

Tax Benefits Remain Underused

The report said Congress has created multiple tax incentives to encourage employer-supported child care, but usage remains low because many businesses either do not know about them or find the rules too complex. Only 13% of private-sector workers currently receive child care benefits through employers. The report highlighted three major tax programs: the 45F employer-provided child care tax credit, the Dependent Care Assistance Program, and the Child and Dependent Care Tax Credit.

Under 45F, businesses can offset 40% of eligible child care expenses, or 50% for small businesses, with tax savings capped at $500,000 annually, or $600,000 for small businesses. Despite this, tax filing data from 2016 showed less than 1% of corporate tax returns used the credit. A newly introduced bipartisan bill, the Child Care Tax Benefit Outreach and Assistance Act, led by Sen. Maggie Hassan (D-N.H.) and Sen. Dan Sullivan (R-Alaska), aims to improve awareness by creating a dedicated liaison at the Internal Revenue Service to help businesses navigate child care tax benefits.

Business Case For Child Care

The committee said employer-sponsored child care can generate significant returns. Studies cited in the report found every $1 invested in employer-provided child care returns an average of $2.90 in business benefits through improved retention, higher productivity and fewer absences. In one example, a business with 700 employees that builds an on-site child care center could spend $2.8 million over five years but save $820,000 in taxes and potentially generate $8.1 million in productivity-related benefits.

In another scenario, a business with 2,500 employees covering $4,000 of annual child care costs for eligible workers could save nearly $440,000 annually in taxes while generating about $3.2 million in operational benefits. Real-world examples cited in the report included Patagonia, which reported 100% of new mothers return to work, and Etsy Inc (NYSE: ETSY), where 82% of employees said child care benefits influenced their choice of employer.

Affordability Pressure Keeps Rising

The findings come as financial pressure on American families continues to build. A recent LendingTree report found Americans now spend nearly 22% of their income raising a child, with total child-rearing costs climbing to $303,418 over 18 years. Child well-being has also weakened since the pandemic. The 2026 KIDS COUNT Data Book from the Annie E. Casey Foundation found children in 29 states are worse off than before COVID-19, while 22.4 million children live in cost-burdened households.