House Speaker Mike Johnson (R-LA) pushed back against a proposal to send $5,000 checks to Americans using savings from the Department for Government Efficiency (DOGE), calling the idea politically appealing but fiscally irresponsible.
Johnson’s remarks at the Conservative Political Action Conference (CPAC) on Thursday highlighted the growing debate over how to allocate the billions in savings discovered by DOGE under Elon Musk’s leadership.
The concept of a “DOGE dividend” was first proposed by James Fishback, CEO of an investment firm, who suggested that 20% of federal savings made through DOGE be returned to citizens as direct rebates. Fishback estimated that $2 trillion in savings could result in $5,000 checks for American households.
Elon Musk, DOGE’s CEO, responded to the proposal on X, saying he would “check with the president.”
President Donald Trump later expressed openness to the idea at an investment conference in Miami, stating that 20% of the savings could be distributed to citizens and the remaining 20% could be used to reduce the national debt.
“There’s even under consideration a new concept where we give 20% of the DOGE savings to American citizens, and 20% goes to paying down the debt, because the numbers are incredible,” Trump informed reporters.
Despite the proposal’s popularity, Johnson argued that using DOGE savings for direct payments would violate conservative fiscal responsibility principles.
“Well, look, politically that would be great for us—you send everybody a check,” Johnson clarified. “But if you look at our core principles, fiscal responsibility is what conservatives do.
That is our brand. We have a federal debt of $36 trillion. We face a massive deficit. I believe we need to pay down the credit card.”
Johnson’s comments reflect a larger debate within the Republican Party about how to strike a balance between immediate benefits for taxpayers and long-term fiscal discipline.
While some conservatives support returning savings to citizens, others, such as Johnson, believe that the priority should be reducing the national debt.
Democratic Texas Rep. Jasmine Crockett also criticised the proposal during an ABC News segment on Thursday, questioning the impact of $5,000 checks on low-income Americans.
“So no, we are not in the business of giving out money, and honestly, I don’t know what $5,000 will do for you if you are unable to find a job—because I am telling people, we are heading towards a recession because the United States government is the 15th-largest employer in the world,” Mr. Crockett stated.
As the debate over the “DOGE dividend” continues, the Trump administration must make a critical decision: should savings be returned directly to taxpayers, used to reduce the national debt, or directed towards other priorities such as border security and defence?
