Who Might Be Eligible for Dividends?

Americans are actively contemplating the feasibility of DOGE stimulus checks amidst a challenging economic landscape characterized by inflation and elevated costs.

Nonetheless, there are several prerequisites that must be fulfilled before these checks can come to fruition. Aside from the Department of Government Efficiency achieving its $2 trillion savings target, Congressional approval is vital before the checks can be issued. James Fishback, the CEO who proposed the concept, indicated that the legislation may soon be presented to lawmakers.

Moreover, even if the proposal advances, not every individual in the United States may qualify for a stimulus check, as per draft proposals shared by Fishback.

Here’s what you need to know about DOGE dividends, including eligibility criteria and critiques surrounding the idea.

Who would qualify for the stimulus check payments?

The initial concept surrounding DOGE stimulus checks suggested they would be allocated to taxpayers.

Fishback’s four-page outline for a DOGE dividend articulated that it would be a refund “directed only towards tax-paying households.” He emphasized that the checks would not contribute to inflation since they would be “exclusively funded by DOGE-derived savings, unlike COVID stimulus payments, which were financed by deficits.”

According to Fishback’s proposition, dividends would only be granted to households earning above a certain threshold, contrasting the pandemic-era checks that were distributed “without discrimination.”

“Many low-income households essentially received transfer payments amounting to 25 to 30% of their annual income,” Fishback remarked regarding the pandemic stimulus checks, adding, “This is specifically for households that are net-payers of federal income tax, which indicates a lower likelihood of immediate spending and a higher tendency to save a transfer payment like the DOGE dividend.”

More: What is President Donald Trump’s current approval rating? View the latest polls here.

The proposed refund would be issued only to households that are net-income taxpayers — individuals who contribute more in taxes than they receive back — with lower-income individuals not eligible for the payout, according to media reports. The Pew Research Center notes that the majority of Americans with an adjusted gross income below $40,000 effectively pay no federal income tax.

In February, Fishback joined Steve Ram’s podcast and suggested that employability should be a precondition for receiving the checks.

“Consider this — if you’re a working-age male currently unemployed, and you know there’s a potential DOGE dividend check coming your way next summer, that could serve as a significant incentive to secure a job and return to the workforce,” he stated.

DOGE dividends: Beneficial or detrimental for the economy?

A number of economists contend that DOGE stimulus checks are impractical and that the funds would be better utilized for reducing the budget deficit and minimizing taxes.

“It would escalate the deficit, drive immediate consumer spending, and precipitate inflationary repercussions, which we wish to avoid at this time,” remarked Judge Glock, research director at the Manhattan Institute, in a conversation with Scripps News.

Another concern regarding stimulus checks is their potential to contribute to inflation. “If DOGE begins “issuing substantial checks to vast numbers of individuals, that would significantly drive inflation, especially with Trump’s tariffs leading to increased costs of goods and services,” warned Jay Zagorsky, a professor at Boston University’s Questrom School of Business, to CBS News.

However, Kevin Hassett, Trump’s director of the National Economic Council, conveyed during a February press briefing that the checks wouldn’t lead to inflation since the government had already allocated the money for spending. Fishback has echoed this perspective in interviews.

“If we refrain from government spending and redistribute the funds back to the populace, if they spend it all, it balances out. However, they are expected to save a significant portion, thereby alleviating inflation,” he stated, as reported by financial news source Investopedia.

Elaine Kamarck, a senior fellow in governance studies at the Brookings Institution, emphasized in discussions with The Associated Press that DOGE would not generate sufficient savings to issue “large enough” checks to trigger inflation. She dubbed the notion of a DOGE dividend as “absurd.”

“There isn’t sufficient funding available, and certainly not enough to make a significant contribution to taxpayers,” asserted Kamarck, who previously collaborated with Vice President Al Gore on strategies to eliminate government waste during the Clinton administration. “The person merely makes statements,” she added, referring to Musk.

Report contribution from USA TODAY Network reporter Maria Francis.