Is there a possibility of $5,000 DOGE stimulus checks? Here’s what we know.
The idea of $5,000 stimulus checks from the Trump administration’s initiative to cut federal spending has been discussed, but will it actually come to fruition?
As inflation continues to strain American budgets, many still harbor hopes for a DOGE dividend, despite a notable lack of new information on the matter.
The concept, initially proposed by Azoria CEO James Fishback, has gained traction since February. Fishback has indicated that he and his associates are collaborating with lawmakers to present a proposal for the stimulus checks to Congress.
However, the proposal faces additional challenges, including the current economic landscape in the United States and the need to achieve sufficient savings through efficiencies suggested by the Department of Government Efficiency.
Here’s the latest scoop on DOGE stimulus checks, detailing eligibility for the payments and potential timelines for when dividends may be distributed.
Latest updates on DOGE stimulus checks
Fishback mentioned that discussions with both House and Senate lawmakers have been “productive” and yielded valuable feedback.
“The next step involves a bill, which will be arriving very soon,” he stated in an interview with Newsweek.
Nonetheless, the Federal Reserve has yet to provide any substantial commentary on the proposal.
“It’s not appropriate for me to speculate on political matters or fiscal policies,” stated Jerome Powell, chair of the Federal Reserve, during a recent news conference shared on social media.
With discussions of a potential recession in the air, economists are also cautioning that the payments might not be practical given ongoing inflation and tariffs.
Jonathan Ernest, an economics professor at Case Western Reserve University, told CNBC that the Trump administration’s policies could create enough instability in the economy to justify a stimulus check.
Who qualifies for stimulus check payments?
Fishback’s proposal aims to allocate dividends solely to households exceeding a particular income threshold, contrasting the pandemic-era checks which were distributed “indiscriminately.”
“Many low-income households effectively received transfer payments amounting to 25% to 30% of their yearly income,” Fishback remarked regarding the pandemic stimulus checks, adding, “This initiative is exclusively for households that are net-payers of federal income tax, meaning they pay more in taxes than they receive back. Such households are less likely to spend and more inclined to save transfer payments like the DOGE dividend.”
The proposed refund would be limited to households that pay federal income taxes, excluding lower-income Americans based on news reports. According to the Pew Research Center, most Americans who report an adjusted gross income of under $40,000 effectively pay no federal income tax.
When will DOGE stimulus checks be disbursed?
The DOGE stimulus checks have not yet received formal approval from Congress.
Until Congress passes a bill authorizing the dividends, which Fishback claims is forthcoming, no checks will be distributed currently, and there is no set timeline for payments.
