Who Qualifies for the First U.S. Guaranteed Income Program Paying $500 a Month

The idea of a guaranteed income—regular cash payments with few or no conditions—has spread to dozens of U.S. cities. The earliest high-profile municipal pilot that paid $500 a month showed how local programs select recipients and set rules. This article explains who typically qualifies for that first $500-per-month program, how selection worked, and what applicants needed to know.

Who Qualifies: First U.S. Guaranteed Income Program Paying $500 a Month

Qualification rules for guaranteed income pilots are set by each program, but early pilots used similar criteria to target residents with low income and high need. The first widely reported U.S. pilot that paid $500 monthly focused on adults who lived in the sponsoring city and met income and residency requirements.

Common eligibility criteria

Most pilots that mirror the first $500 program adopt straightforward rules to keep administration simple. Typical criteria include:

• Residency: Applicants must live within the city or program area. Some pilots required a minimum months-or-years residency.
• Age: Applicants usually must be adults, commonly 18 or older.
• Income limits: Programs target low-income households. Eligibility is often defined by income below a percentage of Area Median Income (AMI) or near the federal poverty level.
• Work status: Many programs accept working and non-working adults. Unconditional pilots do not require job searches or training enrollment.
• Household composition: Some pilots prioritize single parents, seniors, or households with children; others remain neutral to family size.
• Exclusions: People already receiving certain public benefits or those in institutional settings may be excluded, depending on program rules.

Selection method and randomness

Because demand often exceeds available spots, early pilots used a lottery or random selection after verifying eligibility. Randomization ensures fairness and helps researchers evaluate effects compared with a control group.

Key points about selection:

• Applications are screened for basic eligibility, then finalists are chosen by lot or prioritized lists.
• Being selected does not change other benefits for most recipients; many pilots were designed to avoid reducing public benefits.
• Programs often required consent to participate in surveys or studies as part of evaluation efforts.

How to apply and what documents you need

Application processes are usually straightforward and aimed at removing barriers. Most pilots accepted online, mailed, or in-person applications and offered help for people with limited internet access.

Common documentation requests included:

• Proof of identity (state ID, driver’s license, or other ID).
• Proof of residency (utility bill, lease, or official mail showing city address).
• Proof of income or a statement that income falls below the program threshold (pay stubs, benefits statements, or tax documents may be requested).

Programs often provided support centers, phone lines, or partner organizations to assist applicants with paperwork and submission.

How payments work

In the first $500 monthly program, payments were unconditional cash transfers delivered monthly, usually by debit card, direct deposit, or prepaid card. Recipients were free to spend money as they chose.

Typical operational features were:

• Monthly disbursements without restrictions on spending.
• No requirement to quit work or stop receiving other income, unless explicitly stated.
• Regular reporting or surveys for research purposes, but not conditions tied to cash use.

Case study: Stockton SEED — the first major $500 pilot

The Stockton Economic Empowerment Demonstration (SEED) is the best-known early U.S. pilot to pay $500 a month. SEED began in 2019 and provided unconditional monthly cash to a limited group of San Joaquin County residents living in Stockton.

Key facts about SEED:

• Participants received $500 per month with no strings attached.
• Recipients were chosen from applicants after meeting eligibility rules, with selection done randomly.
• Researchers tracked outcomes such as financial stability, employment, and well-being.

SEED’s results helped shape subsequent pilots by demonstrating that monthly cash can reduce hardship and support recipients’ economic choices. The pilot also highlighted the importance of clear eligibility rules and accessible application processes.

Who might qualify in future guaranteed income pilots

Future city programs often follow the same playbook: prioritize long-term residents and people below a local income threshold. If your household faces frequent shortfalls, housing insecurity, or you live in a designated low-income neighborhood, you are more likely to be targeted.

Look for these indicators that a program may target you:

• You live in the city sponsoring the pilot and meet any stated residency period.
• Your household income falls below the AMI or poverty-based criteria used by the program.
• You are over the minimum age and not currently disqualified by program rules.

Practical tips for applicants

• Keep basic documents handy: ID, proof of address, and recent income documentation.
• Subscribe to city or program announcements to know opening dates and deadlines.
• Use community partners and legal aid groups if you need help applying or understanding rules.
• Complete surveys honestly if participation in research is required—this often affects program evaluation and future funding.

Final note

Eligibility for guaranteed income programs varies by city and pilot goals. To determine whether you qualify, check the official program website for the sponsoring city, review application requirements, and reach out to local nonprofit partners. Preparing documents and staying informed will improve your chance to apply successfully.