Boston Considers Temporary Guaranteed Basic Income Program for Low-Income Families

by Patrick Wilson

Boston city officials are exploring the possibility of introducing a temporary guaranteed basic income (GBI) program aimed at assisting low-income families. The proposed program would involve providing eligible individuals or households with regular cash payments to supplement their income and address financial challenges.

While the concept of GBI has garnered growing interest in recent years, Boston officials are carefully evaluating its potential impact and feasibility. Concerns have been raised regarding the program’s cost, sustainability, and the possibility of creating a “benefits cliff” for participants. A benefits cliff occurs when individuals’ income increases above a certain threshold, causing them to lose eligibility for certain benefits, effectively leading to a decrease in their overall income.

To gain insights and inform their decision-making, Boston officials are looking into existing GBI programs in the surrounding area. These programs include:

  • CHV’s Guaranteed Income pilot project: This privately funded initiative provides $7,000 per year for two years to 50 Boston households.

  • Rise Up Cambridge: This program offers $500 per month for 18 months to low-income Cambridge households with children under 21 years of age.

  • Worcester universal basic income pilot: This program distributes monthly payments between $100 and $500 on pre-loaded gift cards to eligible participants in Worcester.

By examining the outcomes of these existing programs, Boston officials hope to gain valuable information about the potential effectiveness and challenges of implementing a GBI program in their city. The decision to proceed with the program will likely hinge on its ability to address poverty, improve the lives of low-income residents, and remain fiscally responsible.

** This piece was created with the help of ai.