Guaranteed Income Works: Data from Atlanta, GA
The Income Mobility Program for Atlanta Community Transformation (I.M.P.A.C.T.)
The Income Mobility Program for Atlanta Community Transformation (I.M.P.A.C.T.) guaranteed income pilot provided $500 per month in guaranteed income during the 12-month pilot period to 300 Atlanta residents who were at least 18 years old and lived below 200% of the federal poverty line ($53,000 for a household of four). Championed by former Mayor Keisha Lance Bottoms, the City of Atlanta partnered with the Urban League of Greater Atlanta to launch I.M.P.A.C.T. Recipients were selected by a randomized process, as was a control group of similar households. Independent researchers found increased financial stability and resilience, more parent-child time, and less household chaos.
Key Takeaways
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Guaranteed income improved recipients’ ability to afford a $400 emergency expense. Halfway through the pilot, more than twice as many I.M.P.A.C.T. participants were able to cover an emergency expense compared to people in the control group, and this difference was statistically significant. This gap was maintained through end-of-pilot.
Recipients were also more likely to pay down or pay off debt. Halfway through the pilot, nearly 30 percent fewer I.M.P.A.C.T. participants than control group members reported that they were going into debt. At the same time, 25 percent fewer I.M.P.A.C.T. participants than control group members reported carrying medical debt, and this difference was statistically significant.
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The rate of employment was unaffected by guaranteed income, and some interviewees said that guaranteed income allowed them to focus on finding a job with intention rather than desperation. After the pilot ended, participants were also more likely than control group members to say they expected to find work, consistent with reports that participants used the cash to invest in themselves, potentially with the hope of transitioning to better-quality or better-paying jobs after the pilot ended.
One of the I.M.P.A.C.T. recipients told researchers that guaranteed income helped her thrift more professional clothing for interviews, saying “it gave me a little more confidence. I was able to fix myself up a little bit more and present myself. I went to Goodwill, I got me a couple of interviewing clothes…so I felt like I was able to… present myself a little bit more for a better, higher-paying job. That’s what I went for.”
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I.M.P.A.C.T. participants reported more peaceful home environments than did people in the control group during and after the pilot. Midway through the pilot, Household Chaos scores were 7 percent lower for I.M.P.A.C.T. participants than for people in the control group, and the difference was statistically significant. The improvement persisted through the post-pilot follow-up, with a difference that was marginally significant.
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In interviews, parents said increased financial stability from guaranteed income allowed them to be more present, less stressed, and more emotionally stable for their children, which created a beneficial cycle that led to more positive relationships with their children during the pilot and more satisfaction with their parenting.
Results of the I.M.P.A.C.T. pilot demonstrate that a modest amount of cash, $500 per month, not only improves families’ financial stability, it helps recipients make changes in their lives that lead to better employment, more parent-child time and greater peace at home. Former Mayor Keisha Lance Bottoms and city leaders demonstrated leadership in creating I.M.P.A.C.T., understanding that thousands more residents of Atlanta need this kind of unconditional cash support.