The Trump administration may start distributing $5,000 checks to millions of Americans next summer if Elon Musk and the Department of Government Efficiency have their way.
Musk shared on X that he “will consult with the president” regarding what supporters are calling a DOGE Dividend, envisioned as a 20% rebate of funds that the quasi-government agency saves taxpayers through budget cuts.
On Tuesday, Azoria Partners CEO James Fishback presented the proposal, articulating a four-page letter that could lead to stimulus-style payments for nearly 80 million households.
“President Trump and Elon Musk should announce a ‘DOGE Dividend’—a tax refund check sent to every taxpayer, financed solely by a portion of the total savings generated by DOGE,” he stated.
Fishback promotes the concept as a refund rather than a stimulus, indicating that the funds would solely come from spending reductions identified by Musk and DOGE. So far, DOGE claims that 1,127 government contracts have been terminated, resulting in $55 billion in savings.
However, there are several caveats.
First, the checks would not be distributed until July 2026, when DOGE is expected to complete its mandate. Additionally, only households that have paid federal income tax would qualify, which Fishback suggests could motivate those not currently employed to enter the workforce this year.
Roughly 79 million households meet this criterion, with each potentially receiving up to a $5,000 payment.
Another factor affecting this proposal is its dependence on the extent of spending reductions achieved. Musk previously highlighted a goal of cutting $2 trillion during his campaign with President Donald Trump last year, with the $5,000 figure hinging on reaching that remarkable target. If DOGE achieves less, the payments would be scaled down.
The initiative would likely necessitate Congressional approval, though Republican lawmakers might be inclined to support large payouts shortly before the midterm elections. Trump has yet to comment on the proposal.
Several rounds of stimulus checks were issued under both Trump and President Joe Biden during the pandemic, a contentious measure that has been partially blamed for the soaring inflation currently affecting the nation.
According to Fishback, this initiative would not be inflationary, as it relies on significant budget cuts, and tax-paying households are more inclined to invest their funds or pay off debt rather than spend immediately.
Nevertheless, if the proposal moves forward, it is likely to encounter resistance, similar to many of Trump and Musk’s actions in recent weeks. Numerous individuals have been laid off or dismissed across various federal agencies, and Democrats are organizing protests almost daily at different government buildings or on the National Mall.
Trump famously attached his name to two stimulus checks in 2020, although this was not sufficient to secure his reelection that year. Biden refrained from putting his name on the checks issued during his administration, a choice he later regretted and called foolish.
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In the early stages of the pandemic, around 70 million individuals received $1,200 checks featuring “President Donald J. Trump” in the bottom-left corner, a detail that raised concerns among some Democrats about potential repercussions in last year’s elections.
The Washington Examiner has reached out to the White House for comment.
