President Trump has announced plans to issue dividend checks from revenue generated by tariffs, with Treasury Secretary Scott Bessent revealing the payments would be $2,000 for households earning less than $100,000 annually. However, the current tariff revenue is insufficient to cover the estimated $300 billion cost of the dividend checks, according to reports.
The policy would extend to approximately 150 million Americans, with the total dividends reaching $300 billion, as stated by Erica York, a policy expert at the Tax Foundation. As of September 30, the federal government had generated $195 billion in tariff-related revenue, according to the Treasury Department. The estimated $300 billion cost of the dividend check proposal exceeds the available tariff revenue.
In theory, the Trump administration could promise to pay the dividend from anticipated tariff revenue, with the Treasury Department forecasting $3 trillion in tariff revenue over the next decade. Should the administration choose this route, the dividend payments would add to the federal debt, which currently stands at over $38 trillion, according to the Treasury Department.
President Trump confirmed he is planning to give $2,000 dividend checks to US citizens, with the rest of the tariff money going towards the national debt. White House press secretary Karoline Leavitt stated that the president remains “committed” to sending each American a $2,000 dividend check, distributed from tariff revenue. The White House officials are exploring ways to execute the plan put forward by Trump, but no specific details were provided.
The firm stance from the White House comes days after Treasury Secretary Scott Bessent appeared to cast doubt on Trump’s proposal, suggesting the payout could refer to tax savings enshrined by Trump’s One Big Beautiful Bill legislation.