DOGE dividend is a proposal in which the taxpayers may get a refund check of $5,000 from the money that Elon Musk’s Department of Government Efficiency targets to save by its 2026 deadline. The proposal has been floated on X by James Fishback, the CEO of an investment firm and also an outside adviser to DOGE. Elon Musk reacted to the proposal and said he would check this proposal with President Donald Trump.
Fishback gave a detailed calculation and showed that if DOGE meets its target and then gives 20 per cent of the savings to the 79 million tax-paying households, then it would amount to a $5,000 return per household. This is what Fishback called the ‘DOGE dividend’.
DOGE has a target of $2 trillion in savings and the Elon Musk-led department, as on Monday, already achieved $55 billion. DOGE is targeting government departments, frauds and government employees to cut corners for which it drew massive flak for it suggested the deletion of the US Agency for International Development (USAID) that provides funds to war-torn countries, the Department of Education and will put forth their further recommendations. President Trump praised the department and its “smart” work done by Elon Musk dismissing any scope of any conflict of interest.
Why DOGE should pay any dividend to taxpayers
According to Fishback’s proposal, taxpayers should be compensated as DOGE has been claiming that their hard-earned tax dollars were misused and abused by the former administration. This, the proposal says, would boose tax morale as the taxpayers would feel that they are receiving adequate value in exchange for their tax payments.
DOGE dividend would incentivize many to re-enter the labor force in 2025 in order to be eligible for the DOGE dividend.
Only tax-paying households should receive unlike any past stimulus checks and so it won’t be inflationary, the proposal said. It will be more like a tax refund and should be financed exclusively via spending cuts. The rest of DOGE’s target should go towards paying the national debt, the proposal said.