Washington, DC:
US President Donald Trump and his billionaire adviser Elon Musk are going all out with their cost-cutting and fraud-finding efforts under the so-called Department of Government Efficiency (DOGE). The organisation has claimed to have already saved $55 billion of taxpayers’ money and the Trump administration has floated the idea of distributing a portion of these recouped savings to the Americans who need it most.
Last week while speaking at an investment conference in Miami, President Donald Trump stated that his administration was considering a proposal where 20 per cent of the savings from DOGE’s cost-cutting measures would given to American citizens, while an equal amount will be used to pay down the federal debt.
“There’s even under consideration a new concept where we give 20 per cent of the DOGE savings to American citizens, and 20 per cent goes to paying down debt because the numbers are incredible,” he said.
Should it be implemented, cheques up to $5,000 could be sent per household after Musk-led DOGE wraps up its work in July 2026.
‘DOGE Dividend’
The idea called the ‘DOGE Dividend’ was first developed by James Fishback, a DOGE supporter with connections to the Trump administration. He took to X on Wednesday to share a four-page proposal which gained Musk’s attention, who pitched the proposal to President Trump.
When Trump was asked about the idea at the Miami event, he said, ” love it.”
“A 20 per cent dividend, so to speak, for the money that we’re saving by going after the waste, fraud and abuse and all of the other things that are happening. I think it’s a great idea,” the President said.
“By doing this, Americans will tell us where there is waste. They’ll be reporting it themselves. They participate in the process of saving money,” he added, without providing any details about how such a plan could be implemented or what the remaining 60 per cent of DOGE savings would be used for.
How Would DOGE Dividend Work?
Fishback’s much-talked-about plan hinges on the success of Musk-led DOGE’s promise of slashing $2 trillion in federal spending.
The proposal says that 20 per cent of DOGE’s savings-around $400 billion be divided among 79 million tax-paying households in the US. This translates to a $5,000 check per household.
Who Could Get The Money?
The plan proposes that only people who pay more in federal income tax than they receive in government benefits would qualify for the DOGE dividends. Fishback argues that this design would prevent any inflationary spending and encourage financial stability.
About 40 per cent of Americans don’t pay such taxes, so they wouldn’t get a check.
“The DOGE Dividend is different from past stimulus checks because only tax-paying households receive it. There is nothing inflationary about paying off debt, saving for emergencies, or investing in college or retirement.” he wrote in the document.