Sen. Ted Cruz (R-TX) stated on Friday, September 11, 2026, that he would support President Donald Trump’s proposed $5,000 "Trump Dividend" if the payments were structured as tax refunds for working citizens. Trump unveiled the proposal at a GOP midterm convention in Dallas, promising the payments to American adults if Republicans maintain control of Congress in the upcoming midterm elections.
The proposal has drawn a range of reactions within the Republican party regarding its cost and structure. Sen. Cruz told Fox News that he believes the funds should be used to incentivize employment, stating, "I don’t think we should be paying people that are not working." Vice President JD Vance suggested the payments could be funded by tariff revenue and indicated that wealthy Americans would be excluded from the program.
Other Republican lawmakers expressed reservations about the fiscal impact. Senate Appropriations Committee Chair Susan Collins (R-ME) noted that the plan appeared to lack an income cap and described it as "extraordinarily costly." Sen. Bernie Moreno (R-OH) supported the measure, stating he would introduce a bill to pass the dividend immediately after the November 3 election. Conversely, Rep. Chip Roy (R-TX) questioned the plan on social media, suggesting it would create dependency.
The plan’s funding remains a point of debate. While Vice President Vance pointed to tariff revenue, the nonpartisan Tax Foundation estimated that tariffs would generate $109 billion in 2026, covering less than 10% of the $1.2 trillion required. If the proposal is not funded by new revenue, it would add to the federal deficit. Residents would notice the change in their bank accounts or as a reduction in tax liability, depending on whether the final legislation follows Trump's "dividend check" model or Cruz's "tax refund" preference.
Legal and legislative hurdles remain before any payments can be issued. The dividend requires congressional approval, and Senate Majority Leader John Thune (R-SD) has not yet committed to bringing the proposal to a floor vote. Legal experts, such as UCLA professor Rick Hasen, noted that while federal law prohibits paying for votes, this proposal likely qualifies as a protected campaign promise similar to past pledges for student loan forgiveness or tax cuts. The midterm elections on November 3 will determine the balance of power in Congress, which will decide the feasibility of the plan.