A plan to issue $5,000 stimulus checks to tax-paying households, sourced from savings within the Department of Government Efficiency (DOGE), has ignited a lively debate in Washington.
While the proposed “DOGE Dividend” has attracted attention and backing from figures such as President Donald Trump and Elon Musk, it also encounters doubts from some senators wary of financial accountability and the national debt.
Newsweek reached out to Senators Rand Paul, Josh Hawley, Thom Tillis, Elizabeth Warren, Bernie Sanders, and John Kennedy for comments via email on Friday.
Why It Matters
The DOGE check proposal has initiated a broader conversation about fiscal responsibility, government efficiency, and the government’s role in utilizing and redistributing savings.
According to the plan, 20 percent of the total savings generated by DOGE would be designated to provide a one-time payment of $5,000 to every qualified tax-paying household.
Chip Somodevilla/Getty Images
What To Know
The “DOGE Dividend” initiative, conceived by investment firm CEO James Fishback, is portrayed as a way to reward American taxpayers for the government’s previous inefficiencies.
However, prominent senators have voiced hesitations. Republican Speaker Mike Johnson highlighted prioritizing fiscal responsibility over political gain at the Conservative Political Action Conference (CPAC) on Thursday, citing the nation’s staggering $36 trillion debt as a significant concern.
“We have a $36 trillion federal debt. We have a massive deficit that we’re dealing with. I believe we need to pay down the credit card. Right? That’s what I think we need to do,” Johnson expressed.
Senators Cynthia Lummis and Ron Johnson have also mentioned the need to focus on achieving a balanced budget and tackling inflation before contemplating dividend payouts.
Lummis’ team directed Newsweek to a statement the senator made to Scripps News, indicating her view: “If there’s money left after we address inflation, and the debt, and the deficit, it’s always a good idea to send taxpayers their money back. But when we’re $36 trillion in debt, we’ve dug ourselves a pretty considerable hole,” Lummis said.
Johnson told Newsmax that any savings should first be utilized to help balance the budget.
“Well I’m happy to do that once we balance the budget… those savings ought to contribute to spending reductions so we can balance the budget and start returning more money to the American taxpayer,” Johnson stated.
North Carolina’s Republican Senator Thom Tillis echoed these thoughts, suggesting that savings should focus on reducing national debt rather than issuing checks—informing Business Insider that “sending checks is not the smartest way to utilize savings.”
Conversely, Republican Senator Josh Hawley expressed to Scripps his support for returning money to taxpayers but suggested that directing funds toward direct relief efforts, such as a child tax credit, might be a more effective strategy.
Read more: DOGE Stimulus Check Creator Defends Plan Against Inflation Concerns
What People Are Saying
Senator Cynthia Lummis’ team cited Newsweek quotes from the senator: “I’m very interested in eliminating the debt and the deficit, as well as getting inflation under control. So those would be my top priorities for the savings associated with DOGE.”
“If there’s money left after we address inflation, and the debt, and the deficit, it’s always a good idea to send taxpayers their money back. But when we’re $36 trillion in debt, we’ve dug ourselves a pretty big hole, so we need to address that first.”
The team of Senator Ron Johnson pointed Newsweek to the senator’s comments on X (formerly Twitter) regarding the proposal: “I’m always happy to let the American people keep more of their hard-earned money, but DOGE savings should first go toward reducing spending so that inflation doesn’t act as a stealthy tax robbing them of their purchasing power.”
Senator Josh Hawley of Missouri told Scripps News: “I appreciate the idea of returning money to the American taxpayer. Bernie Sanders and I endorsed direct relief for taxpayers during COVID, so I see value in that model. Whether it’s delivered directly to individuals or used to support measures like a child tax credit, which benefits every working family that pays payroll taxes, I think that would be fantastic.”
Senator Thom Tillis of North Carolina mentioned to Business Insider: “I have three grandchildren, all under the age of eight years old. Their fractional share of the national debt is about $100,000. It might make sense to consider paying down that debt obligation.”
Speaker Mike Johnson remarked at the CPAC Thursday: “Politically, that would be excellent for us; you know, you can send everybody a check… But if you consider our core principles, fiscal responsibility is what we uphold as conservatives, that’s our brand. We’re dealing with a $36 trillion federal debt. We face a substantial deficit. I believe we need to address that credit card. Right? That’s exactly what I think we ought to do.”
Representative Jasmine Crockett, a Democrat from Texas, expressed her thoughts on X: “I declared that the DOGE checks were dead on arrival, and MAGA went wild… I also noted that $5,000 isn’t sufficient. If you lose your job due to a recession where people are going to be unemployed, I’m sure the average person would prefer consistent income, yet these individuals can’t grasp a complete thought.”
Moreover, what does $5,000 mean when you lack social security, Medicaid, Medicare, SNAP, housing benefits, and so much more?”
What Happens Next
With a spectrum of opinions among lawmakers and the necessity for congressional approval, the fate of the “DOGE Dividend” is still in limbo.
Fishback informed Business Insider that the proposal has been sent to White House Chief of Staff Susie Wiles, although no response had been received as of Wednesday.
