DOGE dividend is a concept where taxpayers could potentially receive a refund check of $5,000 sourced from the savings targeted by Elon Musk’s Department of Government Efficiency by the 2026 deadline. This idea was introduced on X by James Fishback, CEO of an investment firm and an external adviser to DOGE. In response, Elon Musk indicated he would review the proposal with President Donald Trump.
Fishback provided detailed calculations demonstrating that if DOGE meets its savings target and allocates 20 percent of these savings to the 79 million tax-paying households, each household would receive a refund of $5,000. He referred to this initiative as the ‘DOGE dividend’.
The goal for DOGE is to achieve $2 trillion in savings, and as of Monday, the department led by Elon Musk has already secured $55 billion. DOGE is focusing on government departments, combating fraud, and streamlining government operations, which has drawn criticism for suggesting the elimination of the US Agency for International Development (USAID) that funds aid in war-torn countries, and the Department of Education. Further recommendations from the department are expected. President Trump commended the department’s effective work led by Elon Musk, dismissing any concerns regarding conflicts of interest.
Why taxpayers should receive a DOGE dividend
Fishback’s proposal argues that taxpayers deserve compensation since DOGE has asserted that their tax contributions were mismanaged by the previous administration. According to the proposal, offering this refund would enhance tax morale as taxpayers would feel they are receiving fair value in return for their contributions.
The DOGE dividend could motivate many individuals to rejoin the labor force in 2025 to qualify for the refund.
Only households that pay taxes should be eligible, distinguishing it from past stimulus checks to avoid inflation. The initiative aims to function more like a tax refund, funded entirely through spending cuts. Furthermore, the remaining funds from DOGE’s target are proposed to go towards reducing national debt, as outlined in the proposal.
