The city of Cambridge in Massachusetts has announced that it will launch a guaranteed income program called “Rise Up Cambridge: Cash Payments for Families with Kids,” which will provide $500 per month for 18 months to low-income families.
Cambridge launches Guaranteed Income Program for low-income families with children
The program is open to households with at least one child 21 years old or younger and with incomes ranging from $49,300 (family of two) to $126,400 (family of eight), who are 250% below the federal poverty level. The city will accept applications for the program from June 1 until July 31, and officials expect around 2,000 families to qualify for the program, which will cost about $22 million. Payments will begin on June 30 and will be sent on the first of each month. The funds will be disbursed through direct deposit and recipients will receive the funds in their bank accounts within 1-2 business days.
The program is being funded by the American Rescue Plan Act funds, and recipients are free to use the money on household expenses, such as food, rent, clothing, or utilities. The guaranteed income program is intended to fight poverty and income inequality by providing direct cash payments to families.
The city hopes to make the program permanent, building on its previous pilot program
The program is being run in partnership with the Cambridge Community Foundation, Cambridge Economic Opportunity Committee (CEOC), and the Office of Mayor Siddiqui. Recipients can also participate in voluntary surveys or self-document their experiences of the program.
The city of Cambridge is the latest to join a growing list of states and cities that have launched guaranteed income programs to address poverty and income inequality since the COVID-19 pandemic. The city expects to become the first in the nation to introduce a non-lottery program to provide direct cash assistance to all eligible families. The Cambridge guaranteed income program will not affect other benefits, including Supplemental Security Income, restricted-housing benefits, Temporary Assistance for Needy Families, and Supplemental Nutrition Assistance Program.
READ ALSO: The 2023 COLA For Social Security Was 8.7%- 2024 Might See A Tighter Budget