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President Donald Trump’s sweeping tariffs have drawn criticism from across the spectrum. But now he’s added a provocative twist — claiming the highly controversial policy could generate a windfall for almost “every American.”
In an energetic post on Truth Social, Trump declared, “A dividend of at least $2,000 a person (not including high income people!) will be paid to everyone (1).”
He also took aim at opponents of his tariff plan, writing, “People that are against Tariffs are FOOLS!”
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And he says the payout is only part of the plan. Trump added that he would use any remaining tariff revenue to reduce the national debt.
“All money left over from the $2000 payments made to low and middle income USA Citizens, from the massive Tariff Income pouring into our Country from foreign countries, which will be substantial, will be used to SUBSTANTIALLY PAY DOWN NATIONAL DEBT,” he wrote in a follow-up post on Monday (2).
The idea raises eyebrows. The U.S. national debt recently surpassed $38 trillion, so the prospect of paying it down with tariff proceeds sounds appealing. But the numbers don’t appear to support Trump’s claim, according to Erica York, vice president of federal tax policy at the Tax Foundation.
“New tariffs will raise about $217 billion of revenue in 2026. IRS data shows 123 million tax returns reported earning under $100K in 2022. More than 26 million of those were joint returns. If each filer and spouse gets a $2,000 check, it would cost almost $300 billion,” York wrote on X (3).
“Lowering the cutoff to $75K brings the cost down, but not much, to $254 billion. If the policy has a phaseout range or a higher phaseout threshold for married couples or includes children, the cost grows. Even without those extras, there’s no money leftover after tariff rebates.”
Beyond the math, there’s also uncertainty about whether Trump’s proposed dividend would actually show up as cash in people’s pockets.
In an interview with ABC News on Sunday, Treasury Secretary Scott Bessent said that he had not spoken with Trump about the dividend, but indicated that it could arrive “in lots of forms (4).”
“The $2,000 dividend could come in lots of forms, in lots of ways," Bessent said. "You know, it could be just the tax decreases that we are seeing on the president’s agenda — you know, no tax on tips, no tax on overtime, no tax on Social Security, deductibility of auto loans.”
For now, Trump’s tariff “dividend” checks remain just an idea. But you don’t have to wait for Washington to deliver a windfall — savvy investors have long built their own passive income streams. Here are three simple ways to get started.
Build your own dividend stream
So what’s a dividend, anyway? In the investing world, it’s a slice of a company’s profits that gets paid back to shareholders — typically on a quarterly basis.
Owning dividend-paying stocks allows you to collect passive income without selling your shares — and it can be surprisingly satisfying. As John D. Rockefeller, one of the richest Americans in history, once said, “Do you know the only thing that gives me pleasure? It’s to see my dividends coming in.”
While stock prices can rise and fall, companies with a strong track record of paying — and growing — dividends offer investors a steady cash flow. Over time, those increases can compound into a powerful income stream.
If you’d rather not pick individual stocks, dividend-focused exchange-traded funds (ETFs) offer a simple alternative. These funds hold a basket of dividend-paying companies, providing instant diversification across industries. Many also offer automatic reinvestment, allowing investors to compound their returns over time without lifting a finger.
The beauty of ETF investing is its accessibility — anyone, regardless of wealth, can take advantage of it. Even small amounts can grow over time with tools like Acorns, a popular app that automatically invests your spare change.
Signing up for Acorns takes just minutes: link your cards and Acorns will round up each purchase to the nearest dollar, investing the difference — your spare change — into a diversified portfolio. With Acorns, you can invest in a dividend ETF with as little as $5 — and, if you sign up today, Acorns will add a $20 bonus to help you begin your investment journey.
Read more: Warren Buffett used 8 simple money rules to turn $9,800 into a stunning $150B — start using them today to get rich (and then stay rich)
Earn rental income without becoming a landlord
Real estate is another popular way to generate recurring income. When you own a rental property and tenants pay rent, you earn a steady monthly cash flow.
It’s also a popular hedge against inflation, as property values and rental income tend to rise alongside the cost of living.
However, while real estate investing has clear benefits, being a landlord comes with its challenges. Managing a property involves finding and screening tenants, collecting rent and handling maintenance and repair requests (out of your own pocket) — and that’s assuming you can save enough for a downpayment and get a mortgage to buy the property in the first place.
The good news? You don’t need to buy a property outright — or deal with leaky faucets — to invest in real estate today.
Mogul is a real estate investment platform offering fractional ownership in blue-chip rental properties, which gives investors monthly rental income, real-time appreciation and tax benefits — without the need for a hefty down payment or 3 A.M. tenant calls.
Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you. Simply put, you can invest in institutional quality offerings for a fraction of the usual cost.
Each property undergoes a vetting process, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average annual IRR of 18.8%. Their cash-on-cash yields, meanwhile, average between 10 to 12% annually. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.
Every investment is secured by real assets, not dependent on the platform’s viability. Each property is held in a standalone Propco LLC, so investors own the property — not the platform. Blockchain-based fractionalization adds a layer of safety, ensuring a permanent, verifiable record of each stake.
Getting started is a quick and easy process. You can sign up for an account and then browse available properties. Once you verify your information with their team, you can invest like a mogul in just a few clicks.
Another option is First National Realty Partners (FNRP), which allows accredited investors to diversify their portfolio through grocery-anchored commercial properties without taking on the responsibilities of being a landlord.
With a minimum investment of $50,000, investors can own a share of properties leased by national brands like Whole Foods, Kroger and Walmart, which provide essential goods to their communities. Thanks to Triple Net (NNN) leases, accredited investors are able to invest in these properties without worrying about tenant costs cutting into their potential returns.
Simply answer a few questions — including how much you would like to invest — to start browsing their full list of available properties.
Let your cash hatch its own income
You don’t need a massive investment portfolio to build passive income. Even your spare cash can work harder for you — earning competitive yields instead of sitting idle.
To get started, a high-yield account, such as a Wealthfront Cash Account, can be a great place to grow your emergency funds, offering both competitive interest rates and easy access to your cash when you need it.
A Wealthfront Cash Account can provide a base variable APY of 3.50%, but Moneywise readers can get an exclusive 0.65% boost over their first three months for a total APY of 4.15% provided by program banks on your uninvested cash. That’s over nine times the national deposit savings rate, according to the FDIC’s September report.
With no minimum balances or account fees, as well as 24/7 withdrawals and free domestic wire transfers, you can ensure your funds remain accessible at all times. Plus, Wealthfront Cash Account balances of up to $16 million are insured by the FDIC through program banks.
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Article sources
We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
@realDonaldTrump (1; 2); @ericadyork (3); ABC News (4)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.