In a bold move that could directly benefit American families struggling with skyrocketing inflation, President Donald Trump announced Wednesday that he is considering returning 20% of the savings from Elon Musk’s ambitious Department of Government Efficiency (DOGE) initiative directly to taxpayers.
Speaking in Miami Beach at a nonprofit event funded by Saudi Arabia’s sovereign wealth fund, Trump revealed that his team is exploring the idea of using the savings from Musk’s cost-cutting efforts to put thousands of dollars back into the pockets of hard-working Americans. “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 debt,” Trump said. “The numbers are incredible, Elon—so many billions—hundreds of billions—and we’re thinking about giving 20% back to the American citizens.”
The idea was sparked after Musk, the billionaire entrepreneur behind SpaceX, Tesla, and X (formerly Twitter), responded positively to a proposal from investor James Fishback. Musk, who has taken on the task of slashing wasteful government spending, tweeted that he would “check with the President” about the potential for a taxpayer refund.
Although the exact amount of savings from the DOGE initiative remains unclear, Musk has set an ambitious goal of $1 trillion in annual cuts by overhauling federal agencies. His team of 100 experts has already made waves by reducing government waste, closing unnecessary agencies, firing employees from bloated bureaucracies, and eliminating contracts that serve no real purpose.
Among the notable moves, Musk’s team has paused operations at the $50 billion-a-year USAID foreign aid agency and is working to shrink the Consumer Financial Protection Bureau, an agency with 1,700 employees. Additionally, the initiative has already uncovered $1.9 billion in “misplaced” funds at the Department of Housing and Urban Development and canceled millions of dollars in grants at the Department of Education that were earmarked for diversity, equity, and inclusion training.
Musk’s cost-cutting efforts don’t stop there. His team has also targeted Pentagon spending and other areas of government waste, with the goal of trimming down the deficit, curbing inflation, and lowering interest rates for ordinary Americans. Musk himself has said that he plans to lead the overhaul for about four months, bringing fresh efficiency to the federal government.
Fishback, who has been vocal about the potential for a DOGE dividend, estimates that $2 trillion in savings over two years could result in about $25,000 per taxpayer. The proposed 20% refund would amount to $5,000 per taxpayer—a welcome relief for families dealing with rising costs across the board.
Musk himself weighed in on the idea, noting that while he hasn’t endorsed a specific amount for the dividend, it would be proportionate to the amount of savings DOGE is able to achieve. “More savings would mean a bigger tax reduction!” Musk tweeted. “The top DOGE priority remains, however, reducing the deficit to stop inflation and lower people’s interest rates.”
This initiative is a clear departure from the status quo of wasteful government spending. With President Trump’s support, Musk’s DOGE initiative could be a game-changer—providing immediate relief to taxpayers while tackling the root causes of inflation and bloated government spending. The idea of cutting waste, returning funds to the people, and prioritizing fiscal responsibility is exactly the kind of bold leadership America needs as it faces down the challenges of a difficult economic climate.
