On Wednesday, President Donald Trump revealed he is considering a plan to return a portion of the savings generated by the Department of Government Efficiency (DOGE) to American citizens. This department is helmed by billionaire Elon Musk. Trump is contemplating a proposal to allocate 20% of the department's savings to taxpayers and another 20% towards reducing the national debt.
"We're looking at a novel concept where 20% of DOGE's savings would be returned to American citizens and another 20% would go towards national debt reduction," Trump stated during the inauguration of the FII Priority Summit investor forum in Miami.
Elon Musk had mentioned on his social media account, X, a day prior that he would discuss with Trump a proposal to return a portion of the savings from the department's cost-cutting measures to the American people. Musk shared a post by James Fishback, CEO of the investment firm Azoria and a Trump supporter, who suggested creating a "DOGE dividend" funded by a portion of the department's total savings.
Fishback advocated, "20% of the money DOGE saves should be returned to the hardworking Americans in the form of a tax rebate check. It was their money to begin with! (...) Let's do it! This is how we restore trust in our government."
Musk's response was brief: "I will discuss it with the president." Fishback's idea quickly gained traction online.
According to the Tax Policy Center, a nonpartisan think tank based in Washington, there are approximately 132 million households in the United States, but only about 59.9% would qualify for the payment, as it would be exclusively for federal taxpayers. The amount of the checks would depend on the total savings achieved by DOGE. The department aims to reduce spending by up to $2 trillion, but so far has reached $55 billion, less than 3% of its target.
On Tuesday, Trump and Musk appeared in a joint interview on Fox News, proudly stating that DOGE is slashing "billions of dollars" from the federal government's bureaucratic machinery. However, the proposal would still require Congressional approval.
Understanding Trump's Proposal to Return DOGE Savings
What is the Department of Government Efficiency (DOGE)?
The Department of Government Efficiency (DOGE) is a department led by Elon Musk, tasked with reducing government spending and increasing efficiency within federal operations.
How would the proposed savings return to citizens work?
The proposal suggests returning 20% of the savings achieved by DOGE to federal taxpayers in the form of a tax rebate check, with another 20% allocated to reduce national debt.