Elon Musk’s DOGE Saves $1B Daily—Aims for $3B in Cost Cuts Next

DOGE has saved the government $1 billion a day, according to a post on X (formerly Twitter) on January 28.

The cost cutting is from reducing redundant hiring, eliminating DEI programs and cracking down on foreign payments. This is in line with President Trump’s executive orders to reduce government spending.

DOGE was originally an initiative backed by Tesla and SpaceX CEO Elon Musk and entrepreneur Vivek Ramaswamy. Ramaswamy was instrumental in shaping the agency’s early direction but stepped away to focus on his own business and political ambitions. Musk however has remained a vocal supporter and has been pushing for fiscal responsibility. He commented on X: “Progress.”

How DOGE Plans to Reach $3B in Daily Savings

With $1 billion in daily savings already achieved, DOGE has set an ambitious goal of tripling that figure to $3 billion. Key strategies in play include:

• Federal Workforce Audit: Identifying and cutting redundant or unnecessary government positions.

• Foreign Aid Reductions: Halting payments that do not align with U.S. national interests.

• Program Overhauls: Eliminating outdated or ineffective government initiatives.

• Bureaucratic Streamlining: Simplifying processes to reduce administrative costs and delays.

They’re also looking at new technologies and automation tools to further increase efficiency across federal agencies. This will lead to even more long term savings.

Musk Warns of U.S. Debt Crisis

Musk has been warning about the U.S. national debt for a long time, saying unchecked government spending will lead to economic chaos. He’s been critical of the growing federal deficit and is calling for immediate fiscal discipline.

When asked on X if the U.S. could get a budget surplus in the next 4 years—last done in 2001—Musk replied: “It’s not out of the question.”

As DOGE’s cost cutting is working DOGE is becoming a hot topic of conversation about the federal budget. Whether they can sustain the pace and get to $3B in daily cuts remains to be seen but already the early results are causing a lot of debate about government spending.