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New findings from Sam Altman's basic-income study challenge one of the main arguments against the idea

Sam Altman
Researchers shared new findings from Sam Altman's basic-income study.

Mike Coppola/Getty Images for TIME

  • Sam Altman's basic-income study showed recipients valued work more after getting monthly payments.
  • The finding challenges arguments against such programs that say a basic income discourages work.
  • Participants got $1,000 a month for three years, making it one of the largest studies of its kind.

New findings from OpenAI CEO Sam Altman's basic-income study found that recipients valued work more after receiving no-strings-attached recurring monthly payments, challenging a long-held argument against such programs.

Altman's basic-income study, which published initial findings in July, was one of the largest of its kind. It gave low-income participants $1,000 a month for three years to spend however they wanted.

Participants reported significant reductions in stress, mental distress, and food insecurity during the first year, though those effects faded by the second and third years of the program.

"Cash alone cannot address challenges such as chronic health conditions, lack of childcare, or the high cost of housing," the first report in July said.

In its new paper, researchers studied the effect the payments had on recipients' political views and participation, as well as their attitudes toward work.

They found little to no change in their politics, including their views on a broader cash program.

"It's sort of fascinating, and it underscores the kind of durability of people's political views that lots of people who felt kind of mildly supportive of programs like this before, they stay mildly supportive; people who were opposed, they stay opposed," David Broockman, coauthor of the study, told Business Insider.

Universal basic income has become a flashy idea in the tech industry, as leaders like Altman and newly minted government efficiency chief Elon Musk see it as a way to mitigate AI's potential impact on jobs.

Still, enacting universal basic income as a political policy is a heavy lift, so several cities and states have experimented with small-scale guaranteed basic incomes instead. These programs provide cash payments without restrictions to select low-income or vulnerable populations.

Data from dozens of these smaller programs have found that cash payments can help alleviate homelessness, unemployment, and food insecurity — though results still stress the need for local and state governments to invest in social services and housing infrastructure.

Critics say basic income programs — whether guaranteed or universal — won't be effective because they encourage laziness and discourage work.

However, OpenResearch director Elizabeth Rhodes told BI that the study participants showed a "greater sense of the intrinsic value of work."

Rhodes said researchers saw a strong belief among participants that work should be required to receive government support through programs like Medicaid or a hypothetical future unconditional cash program. The study did show a slight increase in unemployment among recipients, but Rhodes said that overall attitudes toward working remained the same.

"It is interesting that it is not like a change in the value of work," Rhodes said. "If anything, they value work more. And that is reflected. People are more likely to be searching for a job. They're more likely to have applied for jobs."

Broockman said the study's results can offer insights into how future basic income programs can be successful. Visibility and transparency will be key if basic income is tried as government policy because the government often spends money in ways that "people don't realize is government spending," Broockman said.

"Classic examples are things like the mortgage interest tax deduction, which is a huge break on taxes, a huge transfer to people with mortgages. A lot of people don't think of that as a government benefit they're getting, even though it's one of the biggest government benefits in the federal budget," Broockman said. "Insofar as a policy like this ever would be tried, trying to administer it in a way that is visible to people is really important."

Broockman added that the study's results don't necessarily confirm the fears or hopes expressed by skeptics or supporters of a basic income on either side of the aisle.

Conservative lawmakers in places like Texas, South Dakota, and Iowa have moved to block basic income programs, with much of the opposition coming from fears of creeping "socialism."

"For liberals, for example, a liberal hope and a conservative fear might be, people get this transfer, and then all of a sudden it transforms them into supporting much bigger redistribution, and we just don't find that," Broockman said.

Broockman said that many participants in the program would make comments like "Well, I used it well, but I think other people would waste it."

One hope from conservatives would be that once people become more economically stable, they could become more economically conservative, but Broockman said the study results do not indicate that either.

Broockman said that an unconditional cash program like this "might not change politics or people's political views per se" but that its apolitical nature could possibly "speak well to the political viability of a program like this."

Read the original article on Business Insider

Universal basic income in the US isn't yet reality, but 16 states have UBI-like programs that give residents cash

2 December 2024 at 01:01
the Brooklyn Bridge and skyline of lower Manhattan
New York is one of 16 states where guaranteed-basic-income programs have been launched.

Alexander Spatari / Getty Images

  • Guaranteed basic-income programs can help low-income participants afford necessities like rent.
  • More than 100 US cities and counties have tried GBI, offering cash for housing and groceries. 
  • Despite legislative opposition, basic-income programs remain active across the country.

Basic income gives many participants the financial boost they need to afford necessities.

Shamarra Woods, a 31-year-old Atlanta resident, spent basic income on bills and day care for her toddler.

For Jennette Fisher, 46, $500 a month allowed her to sign a lease for an apartment in a quiet Chicago suburb with her daughter.

"It took such a weight off," Fisher previously told Business Insider. "If I wouldn't have had that money, I don't know what would have happened."

Guaranteed basic income has become an increasingly popular strategy to approach poverty in US cities. More than 100 municipalities have tried the GBI model since 2019, offering low-income participants between $50 and $2,000 a month, no strings attached, for a set time period.

What makes basic income different from traditional social services is the element of choice. Most participants told BI they spent basic income on housing, groceries, transportation, and debt repayment — wherever they needed it the most.

Typically, participants fall below the federal poverty line. Some programs have focused on specific populations, such as new and expecting mothers, households with children, or people experiencing homelessness.

Basic-income pilots have been completed in cities and counties in Alabama, Virginia, Rhode Island, New Jersey, Mississippi, Louisiana, Indiana, Florida, North Carolina, South Carolina, Washington, and Oklahoma, among other states. The Alaska Permanent Fund is similar to UBI, and several countries have basic-income programs.

GBI varies slightly from universal basic income, which also offers participants no-strings-attached cash payments but has no set time period. It's also not limited to participants in a specific demographic or income bracket.

Local and federal leaders continue to weigh the pros and cons of UBI. Basic-income programs have faced legislative opposition from some Republican lawmakers, who say that basic income discourages work.

For example, Iowa passed a ban on GBI in April, and the Arizona House of Representatives voted in February to ban basic income. On April 23, the Texas Supreme Court placed a temporary block on a Houston-area basic income program that the attorney general called "unconstitutional."

Despite these political challenges, basic-income programs remain active across the country. Here's a breakdown of states, listed in alphabetical order, where cash payments are offered to low-income residents.

California
Los Angeles aerial view
Los Angeles.

LPETTET/Getty

Location: Los Angeles County
Program name: Breathe
Duration: June 2022 to August 2025
Income amount: $1,000 every month for three years
Number of participants: 1,000 low-income households

Location: Los Angeles
Program name: Building Outstanding Opportunities for Students to Thrive (BOOST) program
Duration: fall 2024 to fall 2025
Income amount: $1,000 a month for 12 months
Number of participants: 250 students pursuing health careers in the Los Angeles Community College District

Location: Alameda County
Program: United Way Bay Area's GBI pilot
Duration: November 2024 to spring 2026
Income amount: initial $3,000 payment, then $1,000 a month for the next 12 months, with amounts tapering for the final six months
Number of participants: 100 local families

Location: Long Beach
Program name: Long Beach Pledge
Duration: spring 2024 to spring 2025
Income amount: $500 a month for 12 months
Number of participants: 200 low-income households with children

Location: Mountain View
Program name: Elevate MV
Duration: December 2022 to December 2024
Income amount: $500 a month for 24 months
Number of participants: 166 low-income parents

Location: Sonoma County
Program name: Pathway to Income Equity
Duration: January 2023 to January 2025
Income amount: $500 a month for 24 months
Number of participants: 305 low-income families

Location: Pomona
Program name: City of Pomona Household Universal Grants Pilot Program
Duration: summer 2024 to spring 2026
Income amount: $500 a month for 18 months
Number of participants: 250 low-income families with children under 4 years old

Location: Humboldt County
Program name: Humboldt Income Program
Duration: on a rolling basis, beginning December 2023
Income amount: $920 a month for 18 months
Number of participants: 150 low-income pregnant people

California has seen basic income programs in Stockton, San Francisco, Marin County, Compton, Oakland, Santa Clara, and San Diego. In 2021, California's basic income efforts were granted $35 million for more GBI pilots over five years, and a bill being heard in the California Senate would provide GBI starting in August for students experiencing homelessness.

Colorado
aerial view of Boulder, Colorado at night
Boulder.

Walter Bibikow/Getty Images

Location: Boulder
Program name: Elevate Boulder
Duration: January 2024 to January 2026
Income amount: $500 a month for two years
Number of participants: 200 low-income households

Beginning in 2022, a basic-income program in Denver gave cash assistance to 800 people experiencing homelessness.

Georgia
Atlanta, Georgia skyline
Atlanta.

Sean Pavone / Getty Images

Location: Atlanta, southwest Georgia, and College Park
Program name: In Her Hands
Duration: a first pilot from 2022 to 2024 and a second pilot that began in spring 2024
Income amount: average payments of $850 a month over 24 months for the first round
Number of participants: 650 low-income Black women

Illinois
Chicago, Illinois aerial view
Chicago.

Allan Baxter / Getty Images

Location: Cook County
Program name: Cook County Promise
Duration: December 2022 to December 2024
Income amount: $500 a month for 24 months
Number of participants: 3,250 low- to moderate-income families

Location: Evanston
Program name: Guaranteed Income Program
Duration: A first round ran from December 2022 to December 2023, and applications for a second round were due in summer 2024.
Income amount: $500 a month for one year
Number of participants: 150 low-income families

Location: statewide
Program name: Empower Parenting with Resources
Duration: fall 2024 to fall 2026
Income amount: monthly payments for a year dependent on each participant's income and local cost of living
Number of participants: 400 families involved in the child-welfare system

Chicago previously ran the Chicago Resilient Communities Pilot, providing basic income for 5,000 residents, and has set aside $32 million to relaunch the program. OpenAI's cofounder Sam Altman also sponsored a GBI program beginning in 2019 that gave 3,000 Texas and Illinois residents $1,000 a month for three years.

Iowa
A bridge in Des Moines, Iowa at sunset.
Des Moines, Iowa.

f11photo / Getty Images

Location: Polk, Dallas, and Warren counties
Program name: UpLift — The Central Iowa Basic Income Pilot
Duration: May 2023 to spring 2026
Income amount: $500 a month
Number of participants: 110 low-income households

Louisiana
Bourbon St. in New Orleans
New Orleans.

Peter Unger/Getty Images

Location: New Orleans
Program name: Rooted School: $50 Study
Duration: two phases, running from fall 2022 to summer 2024, with funding set aside to expand the program over the next three years
Income amount: $50 a week for the 40-week academic year
Number of participants: 800 New Orleans high-school students

A previous program in Shreveport gave 110 single parents $660 monthly for a year ending in February 2023. The New Orleans Guaranteed Income Program gave 125 young people disconnected from work or school $350 monthly between spring 2022 and spring 2023. A statewide basic-income pilot called the Truth and Reconciliation Project also gave 12 people described by the program as "survivors of police misconduct who did not receive restitution in the courts" $1,000 a month, with payments concluding in October.

Massachusetts
A dock in with the Somerville skyline in the background
Somerville, Massachusetts.

DenisTangneyJr / Getty Images

Location: Somerville
Program name: Somerville Guaranteed Basic Income Program
Duration: July 2024 to July 2025
Income amount: $750 a month for 12 months
Number of participants: 200 low-income families

Massachusetts has run basic income programs in Boston, Chelsea, and Cambridge.

Michigan
Aerial view of The University of Michigan
Ann Arbor, Michigan.

pawel.gaul / Getty Images

Location: Ann Arbor
Program name: Guaranteed Income to Grow Ann Arbor
Duration: January 2024 to December 2025
Income amount: $528 a month for 24 months
Number of participants: 100 low-income entrepreneurs

Location: Flint
Program name: Rx Kids
Duration: January 2024 to spring 2025
Income amount: $1,500 lump sum, then $500 monthly payments during the first year of a baby's life
Number of participants: 1,200 new and expectant mothers

Minnesota
The St. Paul skyline and waterfront at dusk
St. Paul, Minnesota.

Saibal / Getty Images

Location: statewide
Program name: Guaranteed Income for Artists
Duration: initially 18 months, extended to five years in summer 2024
Income amount: $500 month
Number of participants: 75 artists living in rural areas, plus 25 artists set to be added in 2024

St. Paul previously hosted an 18-month program for 150 low-income families, who received $500 a month beginning in fall 2020. A program in Minneapolis gave 200 families $500 a month.

Mississippi
An aerial view of Jackson lit up at dusk.
Jackson, Mississippi.

SeanPavonePhoto / Getty Images

Location: Jackson
Program name: Magnolia Mother's Trust
Duration: 12 months per pilot, ongoing
Income amount: $1,000 a month
Number of participants: over 400 low-income Black mothers since fall 2018

Missouri
The skyline of the city of St. Louis.
St. Louis.

Art Wager / Getty Images

Location: St. Louis
Program name: STL Guaranteed Basic Income Pilot
Duration: fall 2023 to spring 2025, with payments temporarily blocked in July by a lawsuit
Income amount: $500 a month for 18 months
Number of participants: 540 low-income families with children

New York
New York City.
New York.

Alexander Spatari/Getty Images

Location: New York City, Rochester, and Buffalo
Program name: The Bridge Project
Duration: June 2021, ongoing
Income amount: up to $1,000 a month for three years
Number of participants: 1,200 low-income mothers

Location: Hudson
Program name: HudsonUp
Duration: five years, with staggered cohorts launched in fall 2020, 2021, and 2023
Income amount: $500 a month for five years
Number of participants: 128 households

A 17-month program in Ulster County that provided basic income to 100 households ended in September 2022. Another program in Ithaca gave a full year of cash payments to unpaid caregivers through May 2023. The nonprofit Creatives Rebuild New York also ran an 18-month basic-income pilot for artists affected by the pandemic, which ended in early 2024.

Oregon
Aerial view of downtown Portland in the fall.
Portland, Oregon.

David Gn Photography / Getty Images

Location: Portland
Program name: Black Resilience Fund
Duration: January 2023 to spring 2026
Income amount: up to $2,000 a month for three years
Number of participants: 25 Black households in Multnomah County

In November, voters opposed Oregon's universal-basic-income proposal to give all state residents $1,600 annually through taxing corporations.

Pennsylvania
Philadelphia skyline.
Philadelphia.

Jon Lovette / Getty Images

Location: Philadelphia
Program name: PHLHousing+
Duration: fall 2022 to spring 2025
Income amount: $89 to $2,079 a month for 30 months, depending on household income
Number of participants: 300 renter households from the Philadelphia Housing Authority's Housing Choice Voucher or public-housing waitlist

Location: Philadelphia
Program name: Philly Joy Bank
Duration: launched in summer 2024
Income amount: $1,000 a month for 18 months
Number of participants: 250 low-income pregnant people

Texas
San Antonio river walk
San Antonio.

Adam Jones/Getty Images

Location: San Antonio
Program name: UpTogether San Antonio
Duration: summer 2023 to December 2024
Income amount: $500 a month for 18 months
Number of participants: 25 low-income families

Location: Harris County
Program name: Uplift Harris
Duration: initially scheduled to begin in April 2024, but the Houston-area basic-income program is delayed because of a state Supreme Court ruling
Income amount: $500 a month for 18 months
Number of participants: 1,928 low-income households

An earlier San Antonio program offered $5,108 to 1,000 families over a 25-month period that began in December 2020. The Austin Guaranteed Income Pilot gave its participants $1,000 a month ending in May 2023. Additionally, Altman's GBI program that began in 2019 gave 3,000 Texas and Illinois residents $1,000 a month for three years.

Virginia
skyline of Richmond, VA
Richmond, Virginia.

SeanPavonePhoto / Getty Images

Location: Richmond
Program name: Richmond Resilience Initiative
Duration: two-year program beginning October 2020, with staggered cohorts planned through spring 2025
Income amount: $500 a month for 24 months
Number of participants: 94 low-income families with children

Location: Alexandria
Program name: Alexandria Recurring Income for Success and Equity
Duration: spring 2023 to spring 2025
Income amount: $500 a month for 24 months
Number of participants: 170 low-income people

Read the original article on Business Insider

What an extra $500 to $1,000 a month did for 8 families

Does basic income work? We spoke to 8 families who got it.
What an extra $500 to $1,000 a month did for 8 families
Basic income recipients share how the no-strings-attached cash changed their lives

Noah Sheidlower and Katie Balevic

November 25, 2024
A selection of photos of UBI participants

Tim Evans for BI, Brittany Greeson for BI, Helynn Ospina for BI, Andre Chung for BI, Libby March for BI; Rebecca Zisser/BI

O

ver the past five years, pilot programs in 150 cities have been handing out cash — no strings attached — to low-income Americans. The money, known as a Guaranteed Basic Income, is generally awarded for a year or two in monthly payments of $500 to $1,000. The goal has been to test a simple but controversial proposition: that supplementing America’s existing safety net with direct payments to individuals can help lift people out of poverty, strengthen families, and close the racial and gender gaps.

To see how the programs are working, we interviewed dozens of participants from a wide range of backgrounds and circumstances. Some were working multiple jobs to keep their families afloat. Others were transitioning to a new career, or getting out of an abusive relationship, or reuniting with their children after overcoming addiction.

What we found is that a guaranteed income — even a small one — can have a profound impact on people’s lives. The money not only helps recipients pay for basic necessities — heat, groceries, gas, car repairs — it also provides them with a greater degree of financial flexibility and autonomy, enabling them to make choices they otherwise couldn’t have afforded.

A new mother extended her maternity leave to six months. An ex-convict signed up for health insurance and started therapy. A dad was able to spend less time on side hustles and took up camping with his kids. Little things that make a world of difference.

To be sure, the guaranteed income isn’t enough to guarantee a better life. Jessica Nairns, who was receiving $1,000 a month, lost her job with a mutual aid group in Austin mid-way through the program and ended up living in a homeless encampment. “I think the program is intended to give a little bit of a leg up to people who are already in a stable situation,” she says. “I needed a whole leg up.”

But most recipients found the monthly support incredibly valuable, even if it didn’t immediately end their financial struggles. “It’s like when you take a Tylenol,” says Raven Smith, a mother in Portland who put some of the $500 a month she received toward earning her associate’s degree in mental health, social service, and addiction counseling. “The income makes the pain a little bit more tolerable, but it doesn’t take it completely away. When you don’t have much, anything is better than nothing.”

Stephanie Bartella , 48, is an administrator at Pierce College and a divorced mother of four in Tacoma, Washington. She received $500 a month for 13 months.

Stephanie Bartella

Total funding: $6,500

B

Before the program, I felt like I was drowning. I worked my butt off, and I was barely making it.

I had come out of an unhealthy marriage, moved back to Washington to be closer to my family, got my degree. I was able to get a mortgage on a home. I felt like a very fortunate person, and everyone was telling me I was making the right choices. But I was putting my utility bills on a credit card pretty regularly. I was buying the cheap, cheap groceries. It was really defeating.

Where I felt it the most was always having to say no to my kids. They felt the strain of Mom doesn’t have enough money to do fun stuff. Every little outing, like the movies or the state fair — if you want to enjoy it, it’s a big expense. It takes money to participate in society, and you really get left out of a lot of things if you don’t have it.

I used the guaranteed income to pay down some credit-card bills. I buy a little bit more meat and prepared food items that help save time making dinner. I had a dead tree in my yard, and thank goodness I was able to pay to get it cut down. My neighbors came by and said, “Oh, your yard looks so nice.”

I gave my family one splurge. My nephew was getting married, and me and my boys got to stay at the same hotel with the rest of the family and enjoy the wedding.

By the end of the program, I had a few hundred dollars tucked away. It’s not a lot, but it’s a little bit of a lifeline. It reminds me: “Hey, we can get you through this.”

MK Xiong , 34, is a partnered mother in Plymouth, Minnesota, who serves as the primary caregiver to her daughter, who has autism. She received $500 monthly for a year.

MK Xiong

Total funding: $6,000

I

got the call that I’d been selected not long after my baby, Vera, was born. I almost dropped the phone. I was like, “There’s a catch, right?” And they’re like, “No. No strings attached.”

I was hit by a car toward the end of college, and I have issues with my heart and lungs to this day. I was just walking and the next thing I knew I was in a hospital bed and the doctors were telling me, “You were in a coma. You were done for.” When COVID-19 hit, I was a successful sports massage therapist, but I had to pause. My doctors were worried about my lungs. I had to be very cautious.

Vera is our miracle. My partner and I found out we were pregnant in late 2021. I knew it was going to be a big risk to have a kiddo given my health, but we really wanted to fight for it. We were under so much financial stress. I was on bed rest for the entire third trimester. We were down to one income, and it was just me and my boyfriend living in a $600-a-month studio and going to the food pantry.

When Vera was born, the guaranteed income sustained us. We used it for diapers and groceries. It was still COVID, so we couldn’t have a baby shower. When we moved to Minnesota, it helped us with the U-Haul.

As a postpartum mom, I really respected that the money came with “no strings attached.” Our baby girl was born prematurely by C-section, so my body took on more of a toll. I was able to get a massage for my muscle recovery, and then get my toenails done to actually feel like a woman again. If I’m the caregiver, how am I supposed to take care of another if I’m falling apart? I needed self-care so bad at that point.

Kandace Creel Falcón , 42, is a visual artist and feminist scholar living in rural Minnesota with their wife. They’re receiving $500 a month for five years.

Kandace Creel Falcón

Total funding: $30,000

I

n 2019, after close to a decade of teaching, I decided that the tenured professor lifestyle was not for me. I left to pursue a career as a full-time artist and writer.

The number one thing that artists need is time. If you’re spending your time chasing and hustling, cobbling together lots of different income streams, that’s less time for you to actually make the work.

I bring in about $52,000 a year. My wife, Natalie, and I live on 20 acres, and we’ve been tending to this property since 2017. I have a pretty tight budget. The guaranteed income allowed me to take risks with my artistic business. I rented gallery space in the Twin Cities for $400 per month to get more exposure for my artwork. That was only possible because I had a consistent source of funds coming in.

Partway through the program, the government unfroze repayments of student loans. I paid that $549.28 a month out of my main income. The $500 in guaranteed income was my buffer. When that happened, I couldn’t afford a whole wall at the gallery, so I downgraded to a shelf for $25 a month. I also used the money to help cover the cost of groceries when my food budget was depleted and to put gas in my tank.

The intangible part of guaranteed income was feeling like my work matters in my community, and feeling like I’m being supported to do this important creative work. I feel a little bit more confident that I can make it as an independent artist. And in September, the guaranteed income program was extended to five years from the original 18 months, so I may end up paying off my student loan debt. I wish all artists who are struggling to make a career from their work could experience this amazing gift.

Tomas Vargas Jr. , 40, is a father of two in Stockton, California. He received $500 a month for two years. He now works as an administrative assistant for Mayors for a Guaranteed Income. In his free time, he speaks frequently about how the support helped him.

Tomas Vargas Jr.

Total funding: $12,000

B

efore the money came, I didn’t really have the opportunity to bond with my kids. I made $36,000 at most, working part-time for UPS and doing side jobs. I was always so busy working. I didn’t want my kids ever to feel like they had to wake up with the lights off or the water off — situations that I had growing up with a single mom. I wanted to change that generational cycle.

With the $500, I could relax. I paid at least two bills down to zero every month. With whatever was left, I could buy fresh food. I also used the money to make sure the Chromebook my daughter used for school was insured.

My family noticed I was happier. I was around more. One of the biggest things we did was go camping for the first time. When you get one-on-one time outside the house, it just broadens your experience with your kids. You get to know them a lot more. And now we go camping on the regular, because we all enjoy it.

I stopped looking at things like they were always problems and started looking at them as opportunities. I was able to get a job with better hours and better pay. It changed my mental health and the way I carried myself.

I had the opportunity to speak with Mayor Michael Tubbs on a panel about guaranteed income here in Stockton. My kids were watching me up on stage. After I was done, my son told me, “Dad, I want to do that.” At first, I didn't understand. Afterwards, he ran for student council and I got it. That was very impactful for me, to see my child see his father and be inspired.

Magdelina Spencer , 32, is a receptionist for the Tulalip Tribes government and a widowed mother of four in Tulalip, Washington. She’s receiving $1,250 a month for three years.

Magdelina Spencer

Total funding: $45,000

I

gave birth to my son, Amelio, on Christmas Day 2023. I initially planned on going back to work after three months. After being approved for the guaranteed income program in January, I could afford to stay out for six months and be OK financially.

It had been a difficult couple of years. After my daughter passed away in 2020 at 10 months old, I fell into addiction really bad. I signed my three kids over to family members. I got sober in 2022 and was in treatment. At first, I only got visitation with my children. Then I had to adjust to having my kids back after not having them for two years.

My kids moved home with nothing. I used those first payments to buy diapers, groceries, new clothes, new bedding. I buy so much, and then they grow.

I try to put $100 or $200 to the side and not touch it. When my last vehicle started having mechanical problems, I used that savings to get a new vehicle for $5,000. So we’re starting over on our savings.

At the end of the month, I have that little bit of extra money to take my kids out. Last time, we went to the movies and saw “Inside Out 2.” My two oldest have birthdays a few days apart in May, and I used the money for a birthday party.

As a single mom, you have to do it all on your own. I feel like I’m very lucky to have this time at home with my children. I’m able to drive the three oldest to school every day. We stop for breakfast. I don’t have to rush like I do when I’m working. So we get more bonding time. I’m able to stop and pause in moments with my kids, to sit down and either correct their behavior or talk with them.

Zaaear Pack , 27, is a nonprofit grant coordinator and a mother of two in Baltimore, Maryland. She received $1,000 per month for two years.

Zaaear Pack

Total funding: $24,000

W

hen I got picked for the program, I remember feeling so relieved and thinking: I’m going to be OK for two years. But it’s been so much more than that. Being part of this program made me want to get up and do something.

When it started, I was in a horrible place in my life. I’d spend the whole day doing deliveries for Gopuff. I was basically working for tips since I got paid $3 per order. A lot of the time I wasn't even eating. I was falling behind on my rent and my truck payments. A lot of my struggles with anxiety and depression came from concerns about providing for my children and myself.

The guaranteed income helped me keep up with my bills. I left a domestic violence relationship that was just horrible. I could buy my children things I couldn’t get before, like a pair of shoes or hair products. Being able to get whatever you or your children want to eat for dinner, that’s a luxury to me.

I knew that extra income wasn’t going to be there forever. That motivated me. It got me out of my comfort zone. I went back to school, and I graduated with my bachelor's degree in business from Strayer University. I just started my master’s in October.

I quit Gopuff and I’m now a grant coordinator at Araminta, which works to stop child sex trafficking. I’m a survivor myself, and it’s something I’m very passionate about. I also started my own program called Rise and Thrive to help human trafficking survivors learn to be entrepreneurs. One day it might turn into my own nonprofit.

My last guaranteed income check came in July. Everything really turned out well. I’m caught up on all my payments this year. The program changed my life in more ways than the providers could ever imagine.

Tatiana Lopez , 39, is a patient representative at a hospital in Flint, Michigan, and a married mother of three. She received a one-time payment of $1,500, followed by $500 a month for one year.

Tatiana Lopez

Total funding: $7,500

M

y husband and I have our own home, and in June we made our last payment on the 10-year mortgage. But ever since COVID, things weren’t so great financially. My husband ended up going part time. My paycheck is $1,200 a month, and everything has been going up. I used to spend $100 a week on groceries, but now it seems more like $200. I was on a program for our power bill where they lower the total you pay and your electricity doesn’t get shut off.

I knew I was going on maternity leave for 12 weeks, so I was trying to save a little bit here and there. With the guaranteed income, I paid bills that were past due. I got my car fixed. It was about to be winter here, and I’d been thinking, How am I going to get new tires? I also spent money on my baby. Just the necessary items like diapers, and I ended up getting him a car seat and a stroller.

My two older boys really love sports, so I make sure they get what they need. My oldest son, who’s 13, is on the basketball team and getting into baseball. My 7-year-old is into basketball. You need a certain type of shoes for different sports.

I always put myself last, so the one thing I got for myself was a haircut. I’m trying to save some of the money so my kids will have something when they’re older. Like hopefully for college, or money they could use for their future.

I wish the payments would last a little bit longer. This program helps women who are struggling to make ends meet. Sometimes, you’re so drained with bills that it’s hard to catch up.

Evans Buntley , 59, works at a hospital in Rochester, New York. He’s divorced. He’s receiving $500 a month for a year.

Evans Buntley

Total funding: $6,000

T

hat extra $500 came right on time.

I was in the process of moving from my cousin’s house to a new place. The rent was $1,200, and the security deposit was $1,200. I asked my fiancée to move in with me, so we could share rent together and be a team. But as we were getting ready to move, she got injured. She hurt her back, and her job took her out of work for a while. I’m thinking, How am I going to get this security deposit?

A very special angel came through for me: Just before the move, I heard I got the guaranteed income. It helped me tremendously. And it helped with my fiancée’s medical bills that she had to pay out of pocket.

I’ve been working in the medical field for years. I’m gonna say I bring in $24,000 a year. With guaranteed income, it helps you to feel more confident, because every 15th of the month that $500 is going to hit your account. I was able to eat out more, for sure, and do little outings, like go to the movies or a concert — enjoy a little bit of comfort. If my mom, who’s 79 years old, or my sister ran short of groceries, I could help them out.

When you're stuck without money and you're trying to figure out how you're going to pay for this and that, it gets frustrating. That extra $500 is awesome. It gave me a big cushion for 12 months. I wish it would continue for another 12 months. Now I’m so used to it, I’ve got to get another job. I think that’s the push it gives people.

I proposed to my fiancée last year on Valentine’s Day. I’m saving and I want to give her a nice little ring right before Christmas. I want to do something wonderful for a beautiful lady I love, something I wasn’t able to get before.

Credits


Reporting: Noah Sheidlower, Katie Balevic

Editing: Edith Honan, Sophie Kleeman

Design and development: Kim Nguyen, Rebecca Zisser, Isabel Fernandez-Pujol

Photography: Jovelle Tamayo, Tim Evans, Helynn Ospina, Andre Chung , Brittany Greeson, Libby March

Read the original article on Business Insider

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