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The United States has collected about $195 billion through President Donald Trump’s tariffs in 2025, according to data from the Committee for a Responsible Federal Budget.
And the president has expressed that he wants to fork over a piece of those earnings to millions of Americans in the form of dividend payments.
On Nov. 9, Trump took to his social media platform, Truth Social, and commented, “A dividend of at least $2000 a person (not including high-income people!) will be paid to everyone.”
Since then, social media has been abuzz with word of these $2,000 payments arriving as soon as mid-2026.
Now, before we move forward, it’s important to note that this proposal is by no means official as of this writing.
Congress would need to enact new legislation allowing the Treasury Department to send such checks. As of late November, that hasn’t happened.
But should these $2,000 checks be approved and reach your pockets, it’s important to consider how to use them wisely.
So let’s explore some options.
Invest in a Tax-Advantaged Retirement Plan
Saving for retirement is an essential part of any financial plan. So why not boost your retirement nest egg with your $2,000 check?
The stock market, typically measured by the S&P 500 Index, historically returns an annual average of 10 percent.
So with that assumed return, your $2,000 could grow to about $109,527.40 in 42 years.
And if you don’t have access to a workplace retirement plan like a 401(k), you can always open a variety of tax-advantaged retirement plans through an investment firm.
You can open a traditional IRA, for example. Contributions would be tax-deductible. Or you can opt for a Roth IRA. In this case, your contributions won’t be tax-deductible. But as long as you’re at least 59½ years old and the account has been open for at least five years, your withdrawals would be tax-free.
Boost Your Savings
You can also beef up your emergency fund with your $2,000 check. But you may want to shop around for a new savings account. The average savings account interest rate is dismal 0.40 percent. But you can find high-yield savings accounts paying closer to 4 percent.
And for short-term goals, you can also invest your check in a certificate of deposit (CD).
These instruments allow you to lock up your money for terms of six, 12, 24, 36, and 60 months. In exchange, you get an interest rate higher than most savings accounts. But you should shop around for CDs at different banks and credit unions to find the best rates.
Invest in Your Child’s College Fund
One of the best ways to save for your child’s college education is by opening a 525 college savings plan. And it offers three distinct tax benefits:
Earnings based on your contributions grow tax-free.
Withdrawals are tax-free as long as they’re used for qualified college expenses like tuition and supplies required for enrollment.
Some states offer state-level tax deductions or credits based on your contributions.
Nearly every state in the country sponsored a 529 plan managed by professional investment firms. But you can open an account from any state. And your child can use the funds to pay for college in any state.
And if your child decides not to go to college, you can switch the beneficiary to any member of your family.
529 plans work similarly to 401(k) plans.Your investment menu would contain a variety of mutual funds. Many also offer age-based portfolios. These are designed to invest in assets that take on more risk to potentially earn more growth when your child is young. And over time, they invest in more conservative assets to potentially preserve capital as your child approaches college age.
The Bottom Line
Trump has proposed sending $2,000 checks to low- to moderate-income families. These are proposed to be taken from tariff earnings. But while these so-called dividend checks remain in the proposal stage, it’s important to consider how to use the payments should they come into fruition. You can use it for various purposes such as boosting your retirement savings, increasing your emergency savings, or beefing up your child’s college fund.
Javier Simon is a freelance personal finance writer for The Epoch Times. He specializes in retirement planning, investing, taxes, fintech, financial products and more. His work has been featured by major publications including Fox Business, The Motley Fool, NerdWallet, and Money Magazine.
