US President Donald Trump made a big announcement on his Truth Social account on Sunday, claiming that Americans will receive money directly from tariff revenue.
Posting on a social media platform, he announced a dividend of at least $2,000 per person in the United States. He also criticized opponents of the tariffs by calling them “CRAZIES!
“People who oppose tariffs are FOOLS! … A dividend of at least $2,000 per person (except high earners!) will be paid to everyone,” he wrote.
Donald Trump later told USA Today that every low- and middle-income American would be given a $2,000 dividend and the remaining tariffs would be used by the government to reduce its debt, calling the debt a “matter of national security.”
Everything you need to know about Donald Trump’s $2,000 dividend plan
The president proposed the idea just five days after his Republican Party lost elections in Virginia, New Jersey and elsewhere, largely because of voter dissatisfaction with his economic stewardship, specifically the high cost of living.
The announcement also coincides with Trump’s tariffs facing scrutiny from the US Supreme Court over their legality. The Supreme Court on Wednesday raised serious doubts about the legitimacy of these tariffs.
Details of the plan remain scarce. Here’s what we know so far about Donald Trump’s $2,000 dividend plan
— The US administration will give $2,000 each only to middle- and lower-income United States citizens.
— Although the administration has not yet announced the structure of the dividend, U.S. Treasury Secretary Scott Bessant said it could come in the form of a tax cut. He also added that the structure could include no gratuity tax, no overtime tax, no Social Security tax and car loan deductibility.
— The Committee for a Responsible Federal Budget estimates that issuing $2,000 checks as tariff rebates would cost the U.S. government $600 billion a year. However, tariff revenue is expected to generate only about half of that amount, USA Daily reported.
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— The tariff revenue dividend would still require congressional approval, even if Trump is promoting it as a direct benefit to American households.
— The Trump administration has yet to set a date for implementing the plan.
— Donald Trump already proposed paying dividends for people with middle and lower incomes in August, Reuters reported.
“The reason for the dividend plan is that the tariff selection is large enough to support such a payout as well as broader national goals,” Trump said in a social media post.
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— This is not the first time that Trump has announced such financial benefits. He has previously proposed transferring money saved through cuts initiated by the Department of Government Efficiency (DOGE) to Americans. However, nothing came of this announcement.
— Above all, the president is not in charge of directly issuing financial rewards to people. The “power of the purse” rests solely with Congress.
— Earlier this year, Republican Sen. Josh Hawley sent a $600-per-person proposal to the Senate Finance Committee, but it didn’t move forward. So analysts warn that Americans should not get their hopes up too high that they will receive a $2,000 payout anytime soon, the USA Daily report said.
