Lutnick Says Trump’s $5,000 Dividend Would Not Use Taxpayer Money

Commerce Secretary Howard Lutnick said President Donald Trump's proposed $5,000 dividend for American adults would not be funded with taxpayer money, arguing that the administration could generate the funds through other sources.

Commerce Secretary Howard Lutnick says the proposed $5,000 Trump dividend could be financed through revenue from a new visa program and gains on government-held investments. [Photo: The White House]

“It's not tax money,” Lutnick told NBC News in an interview, adding that the administration could “earn the money” for the proposed payments without relying on the federal deficit or taxpayers.

Trump announced the proposed dividend at the Republican midterm convention in Dallas on Sept. 9, saying that every American adult would receive $5,000 if Republicans retained control of both the House and Senate in the November midterm elections.

Lutnick pointed to two potential sources of funding: fees from the administration's proposed Trump Platinum Card program and the increase in value of the federal government's investment in Intel.

Under the proposed Platinum Card program, wealthy foreign nationals would pay $5 million for a 270-day extension of their US visas.

Lutnick said more than 100,000 people were on a waitlist, which he calculated could generate about $500 billion if all paid the $5 million fee.

Lutnick also cited the government's stake in Intel. The administration used approximately $8.9 billion in CHIPS Act funds to acquire about 500 million Intel shares at roughly $20 each.

With the shares subsequently trading around $100, Lutnick said the government's position had gained approximately $50 billion in value.

However, the Intel gain is largely an unrealized gain because the government has not sold the shares.

An increase in the market value of an investment does not itself provide cash that can immediately be distributed as payments.

The potential cost of Trump's proposal has been estimated at roughly $1.2 trillion to $1.3 trillion, depending on the number of eligible adults. That is substantially more than either of the individual funding sources Lutnick cited.

Other administration officials have suggested different possible financing mechanisms.

National Economic Council Director Kevin Hassett has discussed legislation using the congressional budget process, while Vice President JD Vance has pointed to tariff revenue.

The differing explanations indicate that the administration has not yet established a final financing mechanism.

The proposal would also require a legal and legislative framework before checks could actually be distributed. As of Sept. 13, it remains a proposal rather than an enacted federal benefit.