The Trump administration is considering sending $2,000 worth of checks funded by customs revenue, Treasury Secretary Scott Bessent suggested on Tuesday (Nov 18), while encouraging recipients to save rather than spend the payments to avoid potential inflationary effects.
“Maybe we could convince the American people to bail it out,” Bessent told Fox News when discussing President Trump’s proposal for a so-called “tariff dividend.”
“Trump bills” could boost savings
In an effort to moderate inflation, the administration plans to launch “Trump accounts” for children born between 2025 and 2028. Each account would be seeded with $1,000 from the U.S. Treasury, with parents able to contribute up to $5,000 per year.
Bessent explained, “One of the things that will happen next year is the launch of ‘Trump accounts’ for children’s savings.”
Dividend review could begin in 2026
President Trump hinted that the $2,000 checks could start coming out in mid-2026. “That will be next year. The tariffs allow us to pay a dividend. We’re going to pay a dividend and we’re also going to reduce the debt,” he said aboard Air Force One en route to Mar-a-Lago.
Bessent warned that legislation would be required to actually allow the payments, which remains uncertain. According to estimates, the program could cost up to 450 billion dollars.
Debated income threshold
Bessent said the administration is considering limiting the dividend to households with incomes below $100,000. “Well, there’s a lot of possibilities that the president is talking about a $2,000 rebate and those — that would be for families that make less than, say, $100,000,” he previously told Fox & Friends.
He added that no final decision had been made: “We haven’t. It’s in negotiations.”
Trump emphasizes gains from tariff revenue
President Trump touted the plan on his Truth Social account on Nov. 9, claiming that Americans would directly benefit from the tariff revenue. “People who are against tariffs are FOOLS! … A dividend of at least $2,000 per person (excluding high earners!) will be paid to everyone,” he wrote.
He also highlighted the bigger economic picture: “We are now the richest, most respected country in the world, with almost no inflation and a record price on the stock market. 401,000 is the highest EVER.”
Economic impact and legal barriers
Distributing $2,000 checks to Americans with incomes below $100,000 could cost roughly $450 billion, but is expected to have minimal inflationary impact and potentially raise prices by less than 0.1 percentage point, according to a Yale Budget Lab analysis. The study predicts an increase in GDP by 0.3 percentage points and an increase in employment by 0.15 percentage points in 2026.
The administration faces legal scrutiny over its use of the tariffs under the International Emergency Economic Powers Act (IEEPA). The Supreme Court expressed skepticism about tariffs that could affect the introduction of dividend controls.
Trump acknowledged the uncertainty, saying, “Then I’d have to do something else,” if the Supreme Court overturns the tariffs.
