Senator Josh Hawley, from his Washington, D.C. office, acknowledges the growing tax pressures on American families. He’s proposing a solution to ease that burden: the American Worker Rebate Act of 2025, a bill designed to provide new stimulus checks for working-class households.
Stimulus Checks Powered by Tariff Revenue
This isn’t just another bill filled with tax jargon. It’s a proposal with the potential to bring much-needed financial relief. The idea draws from a concept promoted by President Donald Trump, which uses the money raised from tariffs on foreign imports to fund these rebates.
The core of the plan is simple—cash payments directly to American workers in the form of stimulus checks. If the bill is approved, these payments could be sent out within months.
How Does the American Worker Rebate Act of 2025 Work?
The mechanism is straightforward, though the execution is more complex. All revenue collected by the federal government from tariffs imposed since January 20, 2025, would be allocated to a fund specifically designed to finance these “refunds.”
It’s not a debt-financed stimulus but rather a redistribution of wealth coming from foreign imports.
The key detail is this: eligible individuals would receive at least $600 per adult and $600 for each dependent child. For a typical family of four, that would mean a total of $2,400.
Eligibility for the Stimulus Payments
However, the payments aren’t universal. They phase out for individuals with an adjusted gross income above $75,000 if single, or $150,000 if married and filing jointly. This bill is designed to prioritize working-class, middle-income, and low-income families, making sure the relief reaches those who need it most.
Additionally, the bill includes an important provision: the payments cannot be seized by the government to cover outstanding tax debts or federal loans. By law, the money would be entirely for the family’s use.
When Will the Stimulus Checks Arrive?
While many are eagerly waiting for the checks, there are still obstacles in Washington. The bill is currently in the Senate Finance Committee, and while Senator Hawley is hopeful that the checks could be distributed this year, that’s far from certain.
The bill still has to navigate a series of hearings, amendments, votes, and possible filibusters.
If the bill does pass, the process will likely mirror that of the pandemic stimulus checks. The IRS would use 2024 tax returns (or 2023 returns, if the more recent ones aren’t available) to calculate and distribute the payments. Electronic payments would be sent first, followed by physical checks in the mail.
In the best-case scenario, the first payments could begin in late 2025 or early 2026, but the process in Congress could slow things down. Every day of debate is a day working families wait for relief.
