A new piece of legislation, the American Worker Rebate Act of 2025, proposes to send fresh stimulus checks to millions of American households. Introduced in the U.S. Senate on July 28, 2025, the bill outlines a mechanism to redistribute funds collected from import tariffs as refundable tax credits for the 2025 tax year.
So far, the proposal has drawn attention for its unusual funding method, but it reveals little about how quickly the process might move. According to Futbolete, the bill has only entered the early stages of discussion and does not yet guarantee any payments.
$600 per Person, Funded by Tariffs—Not Borrowing
The bill, sponsored by Senator Josh Hawley, a Republican from Missouri, would provide $600 to each eligible adult and $600 per dependent child. A typical family of four would receive $2,400 in total. What sets this proposal apart from previous stimulus checks is the funding mechanism: it relies solely on U.S. tariff revenues, not federal borrowing or new taxes.
Instead of expanding the deficit, the government would channel income collected from import tariffs back to working Americans through the tax system. It’s a different take on what stimulus checks can be—less emergency relief and more long-term redistribution.
Potential for Higher Payments if Revenue Exceeds Expectations
The bill includes a clause allowing for the increase of the rebate amount if the total collected tariff revenue exceeds government estimates. This means some families could receive more than the minimum proposed amounts, depending on trade activity throughout the year.
Payments would be delivered as refundable tax credits—either lowering what taxpayers owe for the 2025 tax year or resulting in a direct refund if the credit exceeds their liability. So while they’re not exactly stimulus checks in the traditional sense, they function in much the same way for most households.
Means-Tested Eligibility With Full Phase-Out Thresholds
As with previous relief efforts, not everyone would receive the full benefit. The bill introduces income phase-out thresholds:
- Individuals: $75,000
- Heads of household: $112,500
- Married couples filing jointly: $150,000
Beyond these limits, the value of the rebate would gradually decrease and eventually be eliminated entirely. This design ensures that the benefit is focused on low- to middle-income earners, who are more likely to be impacted by price increases linked to tariffs.
Legislative Process Just Beginning
After being read in the Senate, the bill was referred to the Senate Finance Committee, where it awaits further deliberation. That’s standard procedure, but many bills stall at this stage. Without additional legislative momentum, this could be where the proposal ends—though that’s far from certain.
If passed, actual payments tied to these stimulus checks would likely not arrive until late 2025 or early 2026, as the mechanism would be tied to filing tax returns for the 2025 fiscal year.
A Political Message Embedded in Economic Relief
Senator Hawley has positioned the proposal as a way to redirect government revenue in a manner that benefits working Americans rather than federal institutions. As he stated during the bill’s unveiling:
“We need to make sure that the benefits of tariffs go to American workers and not to Washington bureaucracies.”
This rhetorical framing could help galvanize support among constituents who view stimulus checks as a form of economic justice, particularly at a time when inflation and global trade instability remain front-of-mind for voters.
