Reasons Americans May Experience Delays in Receiving DOGE Stimulus Check Payments

0
10
Reasons Americans May Experience Delays in Receiving DOGE Stimulus Check Payments

play

The proposed $5,000 stimulus checks from the Department of Government Efficiency could provide a financial boost to qualifying Americans, yet recipients may face delays before seeing any DOGE checks.

In a bid to curb government spending, the DOGE agency, led by Elon Musk, has begun to cut federal jobs and funding. The USPS is set to eliminate 10,000 positions in the coming month as part of an effort to collaborate with DOGE in reforming its “broken business model” and reducing expenses, as stated in a letter from Postmaster General Louis DeJoy to Congress.

When are DOGE checks expected to be distributed? Here’s what we know.

Are DOGE stimulus checks on the horizon? Potential reasons for potential delays

The concept, initially introduced by investment firm CEO James Fishback, is still under consideration by President Trump. However, we are quite far from actually receiving DOGE stimulus checks.

To begin distribution of $5,000 checks to taxpayers, DOGE must first achieve its ambitious $2 trillion savings target. According to DOGE and President Trump, the agency has already saved over $100 billion and is “considering allocating 20% of the DOGE savings to American citizens and 20% towards debt repayment,” Trump noted during a summit in February. While $100 billion is significant, it represents only 5% of the $2 trillion goal.

Moreover, the distribution of the $5,000 per household checks requires Congressional approval. However, some members, like House Speaker Mike Johnson, are not yet in favor of the initiative, preferring to address the national debt instead of issuing DOGE refund checks, as reported by USA TODAY.

“From a political standpoint, that would be advantageous for us, as it would benefit everyone,” Johnson stated at a conference in February. “However, if we consider our core values—fiscal responsibility is our priority as conservatives. With a $36 trillion federal debt, we face a significant deficit. I believe we need to focus on reducing our debt,” he added.

Who is eligible for DOGE dividend checks? Lower-income Americans may not qualify

According to Fishback’s proposal, DOGE would distribute payments exclusively to households at a designated income level that are net-income taxpayers (those who pay more in taxes than they receive in refunds), effectively excluding lower-income Americans from qualifying for the return, as reported by USA TODAY.

In contrast to the pandemic stimulus checks issued during Trump’s first term, Fishback explained, “Many low-income households benefited from transfer payments that comprised 25 to 30% of their total annual income.” He emphasized that “This initiative targets households that are net-payers of federal income tax, implying that they exhibit a lower tendency to spend and a higher inclination to save a DOGE dividend.”