Trump Suggests Using Potential Cost Savings from Musk’s DOGE for Citizen Payouts, Debt Reduction
President Donald Trump proposed a plan to utilize potential cost savings identified by Elon Musk’s “Department of Government Efficiency” (DOGE) initiative, Al Jazeera reports.
The suggestion, made during a speech at the Future Investment Initiative (FII) Priority Summit in Miami Beach, would allocate a portion of these savings to direct payments to American citizens and another portion towards reducing the national debt.
Trump indicated that, based on projected savings identified by Musk’s DOGE, consideration was being given to allocating 20% to American citizens and 20% to debt reduction.
The concept aligns with a recent proposal by James Fishback, CEO of investment firm Azoria and an advisor to DOGE, who suggested a “DOGE dividend” that would distribute $5,000 to each tax-paying household if the initiative achieves its projected $2 trillion in savings by July 2026.
Musk responded to Fishback’s proposal by stating he would consult with the President.
The potential savings stem from DOGE, an initiative led by Musk, aimed at identifying areas of government inefficiency and potential cost reduction. While DOGE has claimed to have identified $55 billion in savings, it has not yet released detailed documentation to support this figure.
Initial estimates of potential savings have fluctuated. Musk, during Trump’s election campaign, initially suggested the possibility of uncovering $2 trillion in savings but later adjusted the estimate to a more conservative $1 trillion.
A recent announcement from DOGE outlining contracts purportedly cancelled to achieve $16 billion in savings contained an error, misstating the value of an Immigration and Customs Enforcement contract.
