Topics: Donald Trump, Tariffs, Money, Politics, Sex and Relationships, US News
President Trump's repeated claims that he will pay millions of Americans a $2000 tariff dividend has no doubt sparked excitement among the many people who could do with some help in the never ending cost of living crisis.
But while a fat check in the post would help many of us to pay for our weekly groceries and household bills, or even just a luxury treat, the president has not been forthcoming with the details of this payment.
These dividends, announced in July last year, are supposed to be funded by the vast sums of money the Trump administration has made through placing tariffs on imported goods - which means the checks will be funded by this additional levy on US businesses and individuals.
In November, Trump gave the most definitive description of how the dividend would work, stating that 'high income people' will not receive a check, but failing to clarify what that means for married couples, or when this payment will come. And recent comments have done little to boost confidence in his scheme.
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Worryingly, in a recent New York Times interview, when the president was asked about his long-promised $2000 payout, he responded: "I did do that? When did I do that?"
But when prompted again later, Trump remembered his dividend plan and said that Americans could finally expect a check in the mail 'towards the end of the year'.
While the president has been cagey about the specifics of his repeated promise, that could be, in part, due to the fact that his whole system of slapping tariffs on foreign goods could be overturned by the Supreme Court.
If this pillar of the White House's economic policy is struck down, after generating roughly $200 billlion in revenue, it is unlikely that the administration will be able to afford to give hundreds of millions of Americans a $2000 check.
Large American businesses, including Costco, are already lining up to sue the federal government for their tariff money back, further reducing the chance of receiving a payment should the Supreme Court rule against Trump.
But if everything works out and President Trump follows through on his promises, who are the 'low and middle income' earners that are likely to qualify?
While an official threshold has not been stated, many social security experts have pointed to the limits set when President Trump signed off two rounds of stimulus checks in his first term.
Expert commentator Blind to Billionaire warned that couples will be treated differently from individuals, just like in the pandemic. This stimulus program set the income threshold for individuals to $75,000 per year, doubling to $150,000 for couples, in order to get a payment.
This means that, if your partner earns significantly more than you, you might end up missing out on the payment. But you won't be alone at least, the 2024 Census found the median income in America to be $83,730, so almost half the country won't get it.
