A report released today by Sacramento State shows United Way California Capital Region’s guaranteed income program improved financial, housing and food security from July 2023-June 2024, with an additional white paper showing some continued gains six months after funding ended. United Way’s second cohort of its guaranteed income program launched in July 2023, providing 80 randomly selected households in the City of Sacramento who met income requirements with $500 a month of unconditional guaranteed income for one year.
“In a time when resources are limited, we must be strategic and that means investing in programs that deliver real results. Guaranteed income is one of those programs, and this report gives us the evidence to back it up,” said Dr. Dawnté Early, president and CEO, United Way California Capital Region. “Families experienced measurable gains in financial stability, housing security and food access, and those improvements held steady even six months after funding ended. This is more than a pilot – it’s a model for how we build lasting change.”
The one-year evaluation report showed 49% of program participants reported being financially better off by the end of the program, as compared to 16% of the control group. While 24% of control group members received a notice to pay rent or be evicted, only 13% of those selected for the program received such a notice. By the end of the year of funding, food insecurity among program participants decreased from 51% to 37%, and twice as many households could pay cash for an unexpected $400 expense.
Sacramento State also released a white paper reporting on gains six months out from the end of the program, which showed food security remained stable among participants. Financial security was still significantly stronger than the control group, with 41% of participants still seeing themselves as financially better off six months after funding ended compared to 10% of the control group.
United Way opened the second cohort of its guaranteed income program when the City of Sacramento allocated $750,000 in American Rescue Plan dollars to expand the program beyond its first cohort that opened in July 2021 and was the first of its kind in California’s capital region.
“We look forward to seeing our local United Way use the results and learnings from this city-funded guaranteed income cohort to grow their work,” said Amy Williamson, financial empowerment manager, City of Sacramento. “These reports will also inform the city’s various other collaborative efforts to help local residents build their financial well-being.”
United Way partnered with Sacramento State University’s School of Social Work to conduct a detailed evaluation study of the second cohort. An initial survey was sent in June 2023 to the 80 participants and more than 10,000 applicants to learn about their finances, housing and food security, as well as other factors. In June 2024 and December 2024, participants and a control group of original applicants were surveyed again. Sacramento State is evaluating United Way’s additional guaranteed income cohorts, which include a fourth currently in progress with the County of Sacramento and two guaranteed income cohorts with former foster youth studying at Sacramento State and UC Davis. For more information about United Way’s guaranteed income program: https://www.yourlocalunitedway.org/our-work/financial-security/guaranteed-income-program/.
United Way California Capital Region has been a driving force across the region for more than 100 years, listening, responding and taking comprehensive action to meet local needs. From advancing youth opportunities and helping kids excel in school, to strengthening local communities and investing in families’ financial security and health, United Way mobilizes communities to build a future where everyone can reach their full potential and thrive. Working across Amador, El Dorado, Placer, Sacramento and Yolo counties, the local United Way provides books and literacy tutoring, addresses housing and food security, leads the region’s largest tax preparation initiative, works with foster youth across school districts, launched the region’s first guaranteed income program and leads the Community Schools initiative in West Sacramento. To make a donation: www.YourLocalUnitedWay.org.