Former President Donald Trump proposed giving Americans a $2,000 “dividend” funded by tariff revenue, calling tariffs a “forceful” tool that would directly benefit the public. His post sparked debate as many wondered how the plan would actually work.

The White House signaled support but offered few specifics. Press secretary Karoline Leavitt said Trump remained committed to the idea, though she did not explain who would qualify or how payments would be delivered. She noted that his advisers were reviewing different options.

Treasury Secretary Scott Bessent took a more cautious stance. He said the payments might not come as checks, suggesting they could instead appear as tax cuts on “tips, overtime, Social Security benefits, or auto loan interest.” He also admitted he had not spoken to Trump directly about the plan, adding to the confusion.

Analysts estimated that if eligibility matched earlier stimulus programs, “up to 150 million Americans might qualify,” costing around $300 billion. But tariff revenue so far totals only $195 billion, far below what would be needed. The administration may rely on future tariff income to fill the gap, though this would increase the national debt, which is already “exceeding $38 trillion.”

The Treasury Department projects $3 trillion in tariff revenue over ten years, and new tariffs are on the way, including higher rates on cabinets and some pharmaceuticals. Still, many economists question whether tariff income alone can sustain such large-scale payments.

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