What Happens When Americans Get Basic Income?
Defining what a basic income trial/pilot is and exploring recent examples
A basic income trial (or pilot) is a controlled social experiment where a specific group receives regular, unconditional cash payments for a set period.
Governments and researchers use these to measure how guaranteed security affects factors like mental health, employment, and community spending before deciding on permanent policies.1
While the concept of basic income is ancient, the first major trials in the United States began with the New Jersey Income Maintenance Experiment in 1968, followed by similar pilots in the 1970s.2
Many city-level and large-scale studies have continued into the 21st century, both in the U.S. and internationally. For Part 1, we’ll focus on four prominent examples of basic income trials in the U.S.
Example #1: Stockton, CA (2019 - 2021)
The Stockton Economic Empowerment Demonstration (SEED), the U.S.'s first mayor-led guaranteed income trial, gave 125 selected residents from low-income neighborhoods (median income at or below $46,033) $500 monthly for two years, with no strings attached.3
Participants reported steadier incomes, better job prospects, and improved overall well-being. You can learn more about these results here.
Our favorite part of the SEED website is the inclusion of participant stories that emphasize the heart of UBI.
“Data alone doesn’t change hearts and minds, nor does it disrupt deep-seated social narratives about deservedness. Data also doesn’t challenge the racialized and gendered biases we hold, and that our policy decisions have codified. That’s why storytelling is embedded in SEED -- Stockton is an all-American city and a microcosm of this country; we’re confident that Stockton’s stories will be, too.”
Participants Stories — SEED
Example #2: Alaska (1982 - Present)
The Alaska Permanent Fund Dividend (PFD), established in 1976 to convert a non-renewable resource into a renewable financial resource for generations of Alaskans, provides each state resident, regardless of age, an annual payout funded by the state’s oil revenues. Since the first $1,000 distribution in 1982, the dividend has fluctuated significantly, reaching a record low of $331 in 1984 and a record high of $3,269 in 2008.4
A 1984 study found that 60% of Alaskans favored PFD while 29% had mixed feelings and 10% opposed it. On average, the 1982 recipients broke down their $1000 dividends:
$450 for day-to-day expenses such as food, heat, and clothing
$200 into savings
$200 for federal taxes
$100 for luxuries such as airline tickets and VCRs
$50 for debt payments
Notably, these dividends stimulated more consumer spending, job creation, and population growth than alternative uses of public funds, such as tax cuts or infrastructure projects.5
A 2024 study found that PFD has been an unintentional but impactful social safety net. By analyzing Census and ACS data from 1990 to the present (adjusting for previously under-reported child income) research shows the PFD reduces Alaska’s poverty headcount by 20% to 40% annually. While its impact on overall income equality is modest, it is vital for vulnerable groups such as:
Rural Indigenous Alaskans: Reduces poverty from 28% to under 22%.
Children: Prevents a 50% spike in poverty (keeping rates at 10% vs. 15%).
Seniors: Provides a critical income floor.6
Example #3: Baltimore, MA (2022 - 2024)
The Baltimore Young Families Success Fund (BYFSF), launched in 2022 by Mayor Brandon Scott, provided $1,000 monthly payments for two years to 130 young parents between the ages of 18 and 24. These parents faced inequalities, including school and daycare closures, unemployment, and housing or food insecurity, that were exacerbated by the economic fallout from the COVID-19 pandemic.7
Participants reported better finances, fewer childcare-related work problems, and more interest in further education. They also experienced more stable homes, lower stress, and greater happiness in their roles as parents. You can learn more about these results here.
Once again, our favorite part is the inclusion of the participant stories on the Guaranteed Income Pilots Dashboard, where stories from BYFSF participants are featured along with other U.S.-based basic income pilots.
Storytellers are a diverse group of pilot participants who have volunteered to share their personal experiences in the program for a public audience. Spending data tells part of the story. But some of the most important stories are not in the numbers. Participant testimonies bring a diversity of lived experiences to the forefront of the conversation. The difficulties, challenges, and solutions they share help make sense of the data and are effective tools of narrative change.
Stories from participants — Guaranteed Income Pilots Dashboard
Example #4: Bootstraps (2018 - 2020)
Almost 10 years in the making, the Bootstraps docuseries follows 11 diverse American households for two and a half years as they participate in a groundbreaking basic income experiment. The award-winning film team is currently in post-production, turning thousands of hours of intimate footage into a multi-season TV show, anticipating release on a major streaming network in 2026.
To leverage the series to its fullest potential, the team is planning a national impact campaign of at least 100 free public screenings/events, a behind-the-scenes podcast, social media campaign, educational materials, and more to accompany the show’s release.
If you were part of a 2.5-year trial and received $1,000 extra a month, what is the first long-term change you would make in your life?
Basic income trials and the politics of scale: A research agenda (Policy Studies Journal)
Discover the history of Universal Basic Income in the United States of America (Fund for Humanity)
The Alaska Permanent Fund Dividend: A Case Study in Implementation of a Basic Income Guarantee (Institute of Social and Economic Research at the University of Alaska Anchorage)
The Alaska Permanent Fund Dividend Program: Economic Effects and Public Attitudes (Institute of Social and Economic Research at the University of Alaska)
A rising tide that lifts all boats: Long-term effects of the Alaska Permanent Fund Dividend on poverty (Poverty & Public Policy)
Baltimore Young Families Success Fund (Guaranteed Income Pilots Dashboard)