Trump’s ‘Warrior Dividend’ for military funded through Pentagon, not tariffs
By Megan Ziegler
Published December 22, 2025 1
The Brief
President Trump announced last week a $1,776 Christmas bonus for the military he dubbed the "warrior dividend."
He appeared to suggest during his televised address that the bonus was made possible by tariff revenue.
However, the money is coming from a congressionally approved housing supplement.
‘Warrior dividend’ military check
The backstory:
While addressing the nation last week on Wednesday, President Trump announced his administration was sending checks of $1,776 to more than 1.4 million U.S. service members before Christmas, bonuses he called "warrior dividends."
What they're saying:
"One million, four hundred and fifty thousand military servicemembers will receive a special, we call, "warrior dividend" before Christmas. In honor of our nation’s founding in 1776, we are sending every soldier $1,776. Think of that, and the checks are already on the way," he said.
The president largely credited tariffs for bringing in money.
"We made a lot more money than anybody thought because of tariffs, and the bill helped us along. Nobody deserves it more than our military, and I say congratulations to everybody," Trump said Wednesday.
The other side:
These payments, which several members of the military have said on social media have already hit their bank accounts, are being disbursed by the Pentagon from a $2.9 billion military housing supplement that was part of Trump’s "One Big Beautiful Bill Act" to augment existing housing allowances, according to a senior administration official who requested anonymity with The Associated Press to describe the payments.
A senior administration official told FOX News Digital the president had directed Secretary of War Pete Hegseth to offer the money as a one-time supplement to the basic allowance for housing for all active duty service members pay grades O-6 and below, including colonels for the Army, Air Force and Marine Corps and the captain rank in the Navy. Reservists ranked O-6 and below are eligible for the checks if they have been on active-duty orders for 31 days or more as of Nov. 30.
Trump’s ‘Warrior Dividend’ for military funded through Pentagon, not tariffs | FOX 5 Atlanta
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