In a national address on Wednesday, President Trump unveiled plans for military service members to receive checks amounting to $1,776, a symbolic gesture honoring the year America declared its independence.

“The checks are already on the way,” Trump announced, adding, “Nobody understood that one until about 30 minutes ago.”

The details regarding the funding sources and the legal framework for these payments were not immediately provided.

In a statement shared on social media, the White House revealed that “more than 1.45 million military service members will receive a special Warrior Dividend before Christmas Day.”

Trump seemed to imply that the checks were being funded from tariff revenues.

“We made a lot more money than anybody thought because of tariffs, and the bill helped us along,” Trump said, referring to the GOP’s major tax cuts legislation it passed earlier this year. “Nobody deserves it more than our military, and I say congratulations.”

His bonus payments for the troops come as millions of Americans are fretting about the costs of groceries, housing, utilities and their holiday gifts as inflation remains elevated and the labor market has meaningfully weakened in recent months.

Flanked by two Christmas trees with a portrait of George Washington behind him in the White House’s Diplomatic Reception Room, Trump sought to pin any worries about high inflation on his predecessor, Joe Biden.

“Eleven months ago, I inherited a mess, and I’m fixing it,” Trump said.

His remarks came at a crucial time as he tries to rebuild his steadily eroding popularity. Public polling shows most U.S. adults are frustrated with his handling of the economy as inflation picked up after his tariffs raised prices and hiring slowed.

The Associated Press contributed to this report.