Following a recent conference in which former President Donald Trump made a passing reference to the possibility of a $5,000 DOGE stimulus payment for American homes, speculation is rife regarding the feasibility of such a payment from the government.
Nevertheless, while there is a lot of excitement surrounding it, there are numerous obstacles that make its acceptance doubtful.
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Following the suggestion made by James Fishback, CEO of Azoria Investment Firm, that the savings from Elon Musk’s Department of Government Efficiency (DOGE) may be returned to taxpayers, the idea of a stimulus check that is sponsored by DOGE gained popularity.
In a statement made at the FII PRIORITY Summit, where Musk was present, President Trump acknowledged the concept and stated that twenty percent of the reductions in DOGE’s budget might be distributed directly to the American people.
The topic was immediately magnified by social media, with viral tweets stating that homes may receive as much as $8,000 in assistance.
Is there sufficient funds to give out a dividend of $5,000?
It’s tempting to get excited about a $5000 check from DOGE.
However, just like what we saw after the 2020 COVID stimulus checks, there’s a lag effect.
A $5000 check for all could fuel even higher inflation by 2026-27.pic.twitter.com/sNtzQKHYjj
— Ken McElroy (@kenmcelroy) February 19, 2025
This is what Fishback’s proposal outlines:
- For 79 million taxpayers, $5,000 per household is the amount.
- Twenty percent of the estimated two trillion dollars in funds held by DOGE
- After the expiration of DOGE in July 2026, payments will be distributed.
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How difficult is it? There is no conclusive evidence to suggest that the savings held by DOGE are anywhere close to twenty trillion dollars.
Although Musk initially asserted that the effort had the potential to reduce the amount of money spent by the government, he later changed his mind about that number when he was questioned about it.
At this point in time, it is estimated that DOGE has only saved approximately $4 billion, which is a small percentage of what would be required.
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Even if DOGE were to accomplish enormous cost reductions, there are still a number of challenges:
- Congressional Approval: There has been no action taken by the legislative branch to allow payments of this kind.
- This tax package, which is endorsed by Trump and is sponsored by the Republican Party, is estimated to increase the deficit by more than $4 trillion, which is greater than any potential savings from the Department of Defense.
- Legal Obstacles: The cost-cutting measures that Musk has implemented have already created legal concerns, which has raised questions about whether or not DOGE will be able to continue on its current path.
There is currently no formal confirmation that supports the concept of a stimulus package consisting of $5,000 DOGE.
