Universal basic income (UBI), sometimes known as guaranteed income, would provide a regular payment to citizens whether they were in work or not. Amounts vary but it would work as a direct debit to people’s accounts. The idea behind it is that it would decrease poverty and prevent homelessness by giving everyone money to subsist. Outside of raw economics it would give people the chance to work less and live more fulfilling lives in being able to choose jobs they want to do rather than what they have to do to survive.
“For the first time in a long time, I felt like I could … take a deep breath, start saving, and see myself in the future,” says Elizabeth Softky a member of a pilot programme ran by Miracle Messages.
San Fernando Mayor Celeste T. Rodriguez has long been a guaranteed income champion in Los Angeles, having implemented LA's BIG:LEAP program — one of the largest guaranteed income pilots of its kind. We're pumped to have her officially part of @MayorsForAGI! #NewMayorMonday pic.twitter.com/b6OMiEA6ZK
— Mayors for a Guaranteed Income (@mayorsforagi) August 14, 2023
Criticism of the idea comes from the extra governmental spending needed to pay for it as well as thinking it could disincetivise work. However, researchers at MIT and Harvard found that programmes like UBI had little impact on employment behaviour. Plans such as those espoused by Andrew Yang in the 2020 presidential elections would have given Americans $12,000 a year which, while not being enough to live on, would give Americans a financial backstop if they were made redundant.
UBI in a different form was shown in the stimulus checks and enhanced Child Tax Credit that supported Americans in the COVID-19 pandemic. The money kept Americans afloat when they needed support the most.
“We have more than enough data now to prove that cash works,” says Michael Tubbs, mayor of Stockto, California and an early adopter of UBI trials. “What is the data or talking points that we need to get to the policymakers ... to move their hearts?”
While there are no federal UBI plans, a number of US cities have taken it upon themselves to trial the plan.
The areas that have been trialing UBI programmes
Birmingham, Alabama
Phoenix, Arizona
Compton, California
Los Angeles, California
Long Beach, California
Mountain View, California
Oakland, California
Santa Clara County, California
San Diego and National City, California
San Francisco, California
Sonoma County, California
Stockton, California
Denver, Colorado
Gainesville, Florida
Atlanta, Georgia
Chicago, Illinois
Cook County, Illinois
Evanston, Illinois
Gary, Indiana
New Orleans, Louisiana
Shreveport, Louisiana
Baltimore, Maryland
Chelsea, Massachusetts
Cambridge, Massachusetts
Lynn & Roxbury, Massachusetts
Minneapolis, Minnesota
St. Paul, Minnesota
Jackson, Mississippi
Newark, New Jersey
Paterson, New Jersey
Santa Fe, New Mexico
Hudson, New York
Ithaca, New York
New York City, New York
Ulster County, New York
Durham, North Carolina
Providence, Rhode Island
Columbia, South Carolina
Austin, Texas
San Antonio, Texas
Alexandria, Virginia
Richmond, Virginia
Tacoma, Washington
FAQs
BREATHE is a guaranteed income project that will provide 1,000 eligible Los Angeles County residents with $1,000 per month for three years. Among other requirements, eligible applicants must be at least 18 years old and have a household income under $56,000 for a single person, or $96,000 for a family of four.
Do any states have universal basic income? ›
16 states and DC have active guaranteed basic income programs that give residents cash, no-strings-attached. Guaranteed basic income programs can help low-income participants afford necessities like rent. Over 100 US cities and counties have tried GBI, offering cash for housing and groceries.
Can the US afford universal basic income? ›
UBI would be expensive
U.S. federal revenues total $3.5 trillion. The current annual budget deficit is $896 billion. The annual defense budget is $686 billion Paying for this, either with deficit spending or new taxes, can reduce economic growth.
Do I qualify for UBI payments? ›
To be eligible for the UBI payments you must be over 18 years old and have a household income of less than 56,000 dollars for a single person or 96,000 dollars for a family, as well as having experienced hardship following the COVID-19 pandemic.
Who qualifies for the California $600? ›
You have an Individual Taxpayer Identification Numbers (ITINs) and have an adjusted gross income less than $75,000. Your household is enrolled in the CalWORKS program, or are a recipient of SSI/SSP, or are enrolled in the Cash Assistance Program for Immigrants.
Who qualifies for the $350 payment in California? ›
What you may have received
| CA AGI reported on your 2020 tax return | Payment with dependent | Payment without dependent |
|---|
| $150,000 or less | $700 | $350 |
| $150,001 to $250,000 | $500 | $250 |
| $250,001 to $500,000 | $400 | $200 |
| $500,001 or more | Not qualified | Not qualified |
UBI proposals have been piloted in cities across the U.S., though they have been limited in scope. The idea of UBI has attracted significant attention since 2020, particularly given ongoing developments in artificial intelligence and automation.
What are the negatives of universal basic income? ›
- Con 1. Universal Basic Income (UBI) increases poverty. Universal Basic Income (UBI) takes money from the poor and gives it to everyone, increasing poverty and depriving the poor of much needed targeted support. ...
- Con 2. UBI is too expensive. ...
- Con 3. UBI removes the incentive to work.
Almost everywhere that the UBI has been tried, it has been found to be too expensive. Uprooting the federal government's entire system of social welfare assistance and replacing it with a UBI would be a major policy change—and a very risky one too. In practice, the UBI is a new and largely untested idea.
Does everyone get money in UBI? ›
Universal basic income (UBI) is a social welfare proposal in which all citizens of a given population regularly receive a minimum income in the form of an unconditional transfer payment, i.e., without a means test or need to work.
You must meet at least one of the following qualifiers: experienced negative impact due to the COVID-19 pandemic; your home address is located within a qualified census tract (QCT); you are currently receiving benefits such as Federal Pell Grants; Medicaid or MediCal; Children's Health Insurance Program (CHIP); or your ...
What is the Humboldt income Program? ›
Program. Humboldt Income Program is a program of McKinleyville Family Resource Center that provides direct payments of $920 for 18 months to 150 people, no strings attached.
Who qualifies for California relief payments? ›
You must be eligible for the CalEITC or have filed your taxes with your Individual Taxpayer Identification Number (ITIN). You must have resided in California for at least half of the 2020 tax year and reside in the state on the date payments are issued. You must not be declared as a dependent by another taxpayer.
Who qualifies for cash assistance in California? ›
To be eligible for California CalWORKs, you must be a resident of California, and a U.S. citizen, legal alien or qualified alien. You must be unemployed or underemployed and have low or very low income. You must also be one of the following: Have a child 18 years of age or younger, or.
What is $1000 a month from the government? ›
BREATHE is a guaranteed income pilot program that provides 1,000 county residents some breathing room with $1000 a month for three years to help establish financial stability. For those enrolled, it's more than a check; it's a path forward that's changing lives.
Who qualifies for California guaranteed income? ›
Eligibility
- 1 You reside in the City of Los Angeles AND.
- 2 You are 18 years of age or older AND.
- 3 You have at least one dependent child (younger than 18 or a student younger than 24) OR are pregnant AND.
- 4 Your income level falls at or below the Federal Poverty Level (refer to chart below) AND.
