President Donald Trump has reiterated his commitment to provide so-called “tariff dividends” to Americans, promising that the payments will be distributed before the 2026 midterm elections.

Speaking at an Oval Office event celebrating the upcoming FIFA World Cup in the United States, Trump suggested that the payouts could reach “thousands of dollars” for individuals with moderate incomes.

How the $2,000 Dividend Might Work

Treasury Secretary Scott Bessent previously confirmed that the proposal for $2,000 dividend checks is under consideration, though he emphasized that no final decision has been made. He clarified that the payments may not necessarily come as direct checks.

“It could come in lots of forms,” Bessent told reporters, via the New York Post. “You know, it could be just the tax decreases that we are seeing following the Big Beautiful Bill – no tax on tips, overtime, Social Security relief, and deductibility of auto loans.”

Trump also reiterated the plan on Truth Social, writing that “a dividend of at least $2000 a person (not including high income people!) will be paid to everyone.” Bessent added that an income cap of around $100,000 is being considered, which would exclude higher-income households.

“Everything is on the table. That would be for working families. We will have an income limit,” Bessent said.

Congressional Hurdles and Debt Concerns

When asked about timing, Trump stated: “We’re gonna be issuing dividends later on, somewhere prior to – the middle of next year, a little bit later than that. Thousands of dollars, for individuals of moderate income.”

Despite Trump’s optimism, significant hurdles remain. Congressional approval would be required, and some Republican allies have already voiced doubts. Critics argue that the ballooning national debt makes such large-scale payouts unrealistic.

“It’ll never pass. We have a $37 trillion debt,” Republican Senator Bernie Moreno of Ohio said in July, according to Business Insider.

The Treasury Department has since reported that the debt surpassed $38 trillion as of November.

Tariffs as the Funding Source

Trump has framed the dividends as a benefit derived from his administration’s aggressive trade policies. He claims tariffs are generating “trillions of dollars” for federal coffers, which could be used to finance the proposed payments. However, the plan’s viability depends heavily on the legal status of these tariffs. The Supreme Court is currently reviewing their legality, and if any are overturned, the government may be required to refund previously collected tariffs—potentially complicating Trump’s proposal.

At present, Trump and Bessent have provided only limited details beyond the timeline and income guidelines. Key questions remain about whether the $2,000 will be distributed as direct checks, tax breaks, or a combination of both. Lawmakers continue to weigh the plan against fiscal realities and broader economic implications, leaving the future of the “tariff dividend” uncertain.