Map shows cities where residents get recurring monthly payments

While the days of federal stimulus checks may be long over, residents of a select few cities still might be able to grab monthly direct payments.

While not aimed to be federal support money for Americans facing economic hardship during the pandemic, several cities have approved guaranteed income programs to help some of their most vulnerable residents.

Payments differ by program, but many are receiving $500 monthly checks to help them navigate inflation’s high costs if they meet certain criteria. Cities are often able to approve these monthly payments if they have extra money due to a budget surplus.

“With each passing year, we’re seeing more cities added to the list of those piloting or fully implementing guaranteed income programs for their most economically at-risk residents, and the reason is data shows these programs work,” Alex Beene, a financial literacy instructor at the University of Tennessee at Martin, told Newsweek. “They’ve pulled the vast majority of recipients out of poverty and allowed them to finally start to acquire some wealth to hopefully pull them out of economic distress for good.”

California, which boasts some of the highest costs of living in the country, has several monthly payment programs available. In Long Beach, the Pledge program gives $500 to 200 low-income families.

The checks started going out in spring of this year and continue over the course of a year.

The Long Beach Pledge expanded its program this year with $1.2 million in funding and opened applications in January.

Meanwhile, the Elevate MV program in Mountain View is also supporting Californians with some financial help. The program also provides $500 to 166 low-income families, with checks arriving monthly from December 2022 to December 2024.

To qualify, you needed to be a resident with an income below 30 percent or the area median and either be pregnant or a caregiver for at least one child under the age of 18.

Flint, Michigan, also chose to approve a guaranteed income program with some different stipulations.

Via the Rx Kids program, mothers-to-be earned $1,500 and then subsequent $500 monthly payments over a five-year period. The money is meant to aid the mothers in getting their children healthcare, food and necessities like diapers.

Unlike many of the other programs, there were no income requirements, and roughly 1,000 mothers were estimated to take advantage of the program.

Meanwhile, in Washington, Tacoma residents can receive payments from the Growing Resilience in Tacoma program. It offers $500 monthly to low-income families, with payments lasting through June of next year.

The program said 175 randomly selected families were chosen to get the payments if they met the financial criteria for the program.

Michael Ryan, a finance expert and the founder of michaelryanmoney.com, said more cities and states are looking at these types of programs in the absence of the federal stimulus checks in hopes of solving long-term problems.

“It’s a mix of addressing immediate needs and long-term thinking,” Ryan told Newsweek. “These programs aim to provide that crucial buffer.”

He added: “Cities are also looking at the big picture. Mountain View’s program focusing on low-income parents is a smart move. By supporting parents, they’re indirectly investing in the next generation.”

Supporting low-income families or even pregnant soon-to-be mothers can have ripple effects for these cities within the next several years, like increased full-time employment among recipients.

“Traditional approaches to poverty aren’t cutting it,” Ryan said. “We’ve all seen the wealth gap widen through the years, despite numerous initiatives. These guaranteed income programs are a new attempt at an approach that gives people a more direct control over their financial lives.”