US Treasury Urges Americans to Save Proposed $2,000 Tariff-Funded Payments
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US Treasury Secretary Scott Bessent is advising Americans to save a proposed $2,000 payment funded by tariff revenues, as the White House pushes for lawmakers and markets to accept the idea of a tariff-funded 'dividend'. In a recent interview, Bessent framed the payments as part of a broader affordability plan, which could include targeted tax relief and other measures. The payments have sparked concerns about inflation, but Bessent believes that real wages will rise, and inflation remains under control. However, experts point out that past stimulus payments have seen only 40% of funds saved, with the majority being spent or used for debt repayment. The proposed $2,000 payout is likely to be insufficiently funded by tariff revenue alone, with the administration yet to clarify who will be eligible and how the payments will be covered. The Trump administration's plan also includes the introduction of a new investment account for children, with a $1,000 contribution from the US Treasury. Parents can contribute up to $5,000 annually to the account. As the administration works to sell the tariff-funded 'dividend' to lawmakers and markets, the fate of the proposed $2,000 payments remains uncertain.
