How DOGE Will Affect Your Finances

President Trump repurposed an existing government agency, the US Digital Service, to create Doge, the Department of Government Efficiency, now led by Elon Musk.

Doge Was Created by Repurposing a Government Agency to Streamline Operations and Reduce Waste

By redefining the US Digital Service into Doge, the agency has seen increased power and has urged federal agencies to collaborate effectively to decrease government expenditure and eliminate unnecessary positions.

Doge Slashes Federal Jobs, Dismantles USAID and CFPB, Cancels Contracts

Doge sent deferred resignation packages to two million federal workers; approximately 75,000 workers accepted the offer to reduce the workforce. Doge has nearly dismantled USAID by terminating thousands of employees and erasing their online presence. Similarly, the CFPB was eliminated, with its website and social media profiles vanishing, marking a significant shift in government structure and focus.

Doge's Initiatives to Cut Debt By Boosting Government Spending Transparency and Efficiency

Doge exposed fraud and inefficiency in government payments by probing for bloat and theft across agencies.

Doge Exposed Fraud and Inefficiencies in Government Payments, Enhancing Transaction Traceability

Musk's team at Doge investigated government payment systems and identified substantial social security fraud, such as allegedly 150-year-old people collecting payments due to stolen social security numbers. Doge discovered $4.7 trillion in untraceable federal payments and responded by making the TAS field—previously optional—mandatory, ensuring all transactions are traceable. Additionally, Doge is p ...

The United States' efforts to reduce government spending and national debt have a varied history, involving presidents from different eras adopting distinct strategies and policies with mixed results.

Coolidge, Reagan, Truman, and Clinton Cut Budgets and Restructured Agencies to Address Debt and Deficit

Past U.S. presidents have attempted to tackle the federal debt and deficit with various strategies, leading to a range of economic outcomes.

• Calvin Coolidge significantly cut national debt by a third upon leaving office in 1929, having entered after World War I during a time of federal government bloat from wartime spending.
• The Truman administration worked on scrutinizing defense spending through the Truman Committee and formed the Hoover Commission to streamline government, saving an amount valued at about a quarter of a trillion dollars today.
• Ronald Reagan, who inherited a national debt crisis with high inflation and government spending in 1981, implemented deregulation and budget cuts, though the national debt ultimately tripled due to tax cuts outpacing the reduction in spending.
• The most recent success story was under Bill Clinton, with the last federal budget surplus achieved between 1993 and 2001, turning a $290 billion deficit into a $236 billion surplus by cuts, including a reduction of 380,000 government jobs and the closure of military bases, along with tax increases on the wealthiest Americans.

Mixed Results in Efforts: Short-Term Gains, Long-Term Economic Challenges

While these presidential policies had immediate effects:

• After Coolidge’s cuts, the economy experienced rapid growth during the roaring '20s. However, critics suggest that the minimal government intervention may have contributed to the intensity of the Great Depression.
• Reagan’s policies led to a period of lower inflation and economic growth, but also a substantial increase in the national debt.
• Clinton’s surplus was short-lived as ...

Doge's unconventional initiatives have created waves across various sectors, potentially reshaping the federal landscape, stimulating economic benefits, and raising questions about program sustainability and citizen impacts.

Federal Jobs Uncertain, Disrupted by Doge's Actions

With Doge's email offering deferred resignation packages, approximately 75,000 workers have agreed to resign, leaving many legacy federal employees facing uncertain futures as they are encouraged to transition to private-sector work. While not directly stated, there seems to be an implication that these disruptive actions will result in spending reductions and potential savings for taxpayers and the economy.

Doge's Work Savings May Benefit Taxpayers and Economy

Doge's initiatives, including the move to eliminate paper checks, which could save the government $750 million, and other broad measures, have promised savings that could benefit taxpayers. These savings could lead to serious financial benefits for Americans in general.

National Debt Crisis Limits US Economic Resilience and Investment Flexibility

The national debt, likened to "plaque building up on arteries," could precipitate an "economic heart attack" if not managed properly. There is concern that failure to address the escalating national debt, currently over 120 percent of the nation’s GDP, could result in inflation, higher interest rates, and a diminished global economic status.

Reducing National Debt May Enhance US Economic Standing and Capital Access, but Could Risk Vital Government Programs

Doge's core objective to trim the federal government aims to reduce the national debt standing at $36.2 trillion. A lower credit rating for the US would mean difficulties in attracting capital and acquiring loans at favorable interest rates. However, there is an inherent risk of government programs that are essential to public welfare being sacrificed in this process.

Doge's Transparenc ...