By Katie Fleischer for Ms. Magazine.
Broadcast version by Emily Scott for Maryland News Connection reporting for the Ms. Magazine-Public News Service Collaboration

Universal basic income (UBI) was propelled into mainstream awareness during Andrew Yang's campaign for the 2020 Democratic presidential candidacy. Now, programs offering monthly cash payments to specific communities have sprung up across the country. But while the public often conflates UBI with these programs, economic justice activists warn that they have very different goals. Many anti-poverty groups agree that strategically targeted guaranteed income, not UBI, is the best path forward to ending poverty, advancing gender and racial equity and supporting low-income Americans.

In 2020, Yang's focus on UBI helped raise public awareness of the policy. His "Freedom Dividend" promised to give $1,000 per month to every American adult-"everyone from a hedge fund billionaire in New York to an impoverished single mom in West Virginia," Yang's own site explained.

For many economic justice experts, Yang's proposal raised red flags. Clearly, a monthly stipend will have an extremely different impact on people based on their level of wealth and income. But UBI doesn't take this context into account. Jeff Bezos and Bill Gates would receive the same $1,000 as every low-income young adult struggling to pay for college tuition.

On the other hand, guaranteed income is targeted at the groups that need it most. It involves monthly payments of unrestricted cash, like UBI, but takes societal and historical context into account. It's designed to be a minimum "income floor" that ensures nobody is forced to live in poverty. Because of racial and gender wealth gaps, women of color are disproportionately likely to be low-income and face systemic barriers in higher education and attaining high-paying jobs. So, guaranteed income programs like the Magnolia Mother's Trust (MMT) focus on low-income Black women to address the deeply entrenched economic inequities caused by systemic racism and sexism.

Instead of giving money equally to everyone, thus reinforcing the current system and letting women of color continue to fall behind, guaranteed income centers equity. By providing $1,000 per month for a year to Black women living in extreme poverty in Mississippi, MMT gives support to those who need it most and empowers women to invest in their families and futures.

"Our country's economic system has historically barred Black people from not just upward mobility, but basic human necessities such as water, food and shelter," explained Aisha Nyandoro, CEO of Springboard to Opportunities, which runs MMT. "Practices like redlining and discriminatory employment policies have led to the current reality of massive income and wealth gaps between people of color and their white counterparts. This work is about more than guaranteed income. It is about the shaping and nurturing of radical possibilities. Our goal is to place Black women at the center-not at the center of pain, but of pathways to plenty-so that our communities, our families, we, can do more than survive, can thrive, can be secure in a place of becoming."

By prioritizing Black women, guaranteed income has the potential to make a difference for those struggling the most, and alleviate some of the racialized disadvantages low-income people of color face. In 2021, when parents received monthly payments through the expanded child tax credit (CTC), child poverty decreased by around 30 percent, with the CTC reaching more than 61 million children.

But in January, after the six months of payments ended, low-income Black and Latino families were hit hard: The childhood poverty rate rose from 12 percent in December to 17 percent in January-and soared to over 23 percent for Latino children and 25 percent for Black children.

Like the CTC, which supports low-income parents, guaranteed income would have an intersectional impact, helping those who need it instead of giving unnecessary money to well-off Americans.

Mother of two Kimberly, who works for the state and receives guaranteed income from MMT, shared:

   "I carry a really heavy load as a single mom. There's no one else-everything is on me. So it helped ease my burden a lot when I started getting the monthly child tax credits last year. Not getting the payments anymore has definitely put a strain on my budget; there are just some things I can't afford without that extra support coming in. Overall, things have been hard. You keep working and keep going, but things never seem to change. But, being a part of the Magnolia Mother's Trust made me realize that things can change for the better. There are people out there, programs out there, that want to help mothers like me get out of a continuous cycle of poverty. It has really given me hope."

The motivations behind UBI and guaranteed income differ as well. UBI was designed to counter unemployment caused by increasing technology and automation. UBI advocates fear that automation will eventually take over industries and drive out human workers, making a basic wage a necessary replacement for most jobs. This justification primarily grew out of Silicon Valley "tech bros"-not low-income people or economic justice activists. That lack of lived experience with poverty becomes even more obvious when looking at how they plan to pay for UBI. Many proponents see UBI as a solution to the bureaucracy of America's welfare system, arguing that UBI could replace the vast majority of existing welfare programs.

Unlike UBI, guaranteed income is designed to work alongside existing welfare systems, meaning low-income people wouldn't be forced to give up the benefits they rely on. Instead, the goal of guaranteed income is explicitly anti-poverty. Offering low-income families unrestricted cash means that the recipients can make financial decisions based on what's best for their families; providing for their children and investing in their goals. MMT moms have used their monthly payments to go back to school, find stable housing, escape predatory cycles of debt and start their own businesses.

Guaranteed income recipient Annette wrote,

   "If I were able to sit down with our country's leaders, I would tell them how important a program like the Trust is. It helps low-income women like myself better ourselves. The money has helped me in pursuing a better future for me and my kids and allows me to do things that I wasn't really able to before-like going back to school. I know if I finish school I will be a better person, and I'll be a better person for my kids."

And MMT recipient and low-income mom Chephirah demonstrated how guaranteed income can help break generational cycles of poverty in marginalized communities:

   "[Guaranteed income] has helped me cover my monthly bills, and pay for things like my daughter's school books. My hope for her right now is to be the first one in our family to graduate from high school-my brothers and I all left school early. I want her to have a real high school diploma, not a GED. I want her to go to college, and to just know that whatever she wants to strive for, I'm gonna be right there behind her to support her 100 percent. You know, where I'm from, you just don't have that much hope. So seeing my daughter succeed and be motivated really inspires me."

Unlike UBI, guaranteed income is a transformational policy that puts marginalized communities first and prioritizes intersectionality and equity. When programs like MMT are designed to uplift Black women, it becomes not just an economic policy, but a form of gender and racial justice as well.

A federal guaranteed income program would reduce the systemic disadvantages women of color face in our economic system that was created by and for rich white men. And a federal policy would help all low-income Americans, especially those who face systemic barriers to financial security. As Nyandoro explained, "By centering and improving the situation for Black women, those hit with the double bind of racism and sexism, we are thereby raising the floor for us all."

Katie Fleischer wrote this article for Ms. Magazine.


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Arkansas is taking critical steps to address its high maternal mortality rate, especially among women of color.

In the Natural State, Black women are three times as likely to die from pregnancy-related causes than are white women.

Angela Duran, executive director with Excel by Eight, partners with families and communities to improve health and education outcomes for children up to age eight.

She said that as a result of focus groups and surveys, her organization has developed a new policy agenda that prioritizes maternal health.

"We are looking at is making sure that women have the right health insurance to cover them from prenatal to birth to postpartum," said Duran. "We have met some amazing doulas in the state of Arkansas, who have been very supportive to women, particularly some African American doulas, and been working with Black women around the state."

Duran said Arkansas now offers insurance to women up to 138% of the federal poverty level as a result of the Medicaid expansion.

She added that women at higher incomes can also access health insurance with low or no premiums, co-pays and deductibles.

Duran commended Gov. Sarah Huckabee Sanders' signing the executive order to address maternal mortality and increase access to doulas and various forms of health insurance.

Arkansas has a maternal mortality rate of approximately 44 deaths per 100-thousand live births.

Duran said her group's policy objective centers on examining populations that face disenfranchisement from systems for various reasons, hindering their ability to navigate existing structures effectively.

"In addition to maternal health, knowing that it has a stronger impact on Black women, we look at ALICE families - which stands for Asset-Limited Income Constrained and Employed," said Duran. "So, it's people that are working, doing the right thing, and still don't have enough income to meet their basic expenses."

Duran added that a prenatal care model called Centering Pregnancy helps to improves outcomes for Black and white women.

The University of Arkansas for Medical Sciences is launching a mobile version to reach underserved communities. It creates support groups for expectant mothers at similar stages.




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Supporters of a federal pilot program to distribute diapers to low-income families in Massachusetts hope to build upon its success.

More than 1 million diapers, along with wipes and other needed supplies have helped some 1,600 families over the past several months.

Adriana Leo, director of planning and grants management for Community Action Inc. in Haverhill, said the program gives parents with limited budgets a chance to get ahead.

"If a family knows that they have the diaper supply to send their child to care, they also know that they can then go to work, to their school programs," Leo explained. "They're going to be covered and their child's going to be comfortable."

Leo noted enrolled families have received 100 diapers each month, giving them the financial flexibility to cover other basic needs. More than one-third of Massachusetts families said they cannot afford enough diapers for their children.

The Massachusetts Association for Community Action, a coalition of more than 20 community action agencies in the state, was awarded more than 1 million dollars in federal aid to distribute diapers via four hubs across the state and Western Connecticut.

Rep. Mindy Domb, D-Amherst, is sponsoring legislation to create a state fund to keep up the effort, and has held diaper drives at the statehouse to build support.

"The biggest awareness building activity you can do is to hold a diaper drive and have people who haven't experienced the high cost of diapers recently go to the store and see how much they are," Domb asserted.

Domb pointed out diaper distribution is just one strategy to help families make ends meet, in addition to direct cash payments. She noted WIC and SNAP funds cannot be used for diaper purchases. The bill has already advanced to the House Ways and Means Committee.

Mary Marte, housing program director for North Shore Community Action Programs, said it is encouraging news, as parents have reported the challenge of paying rent and going without diapers at the end of the month.

"The clients and the families that we work with, they cannot afford to pay $3,000 rent in the north shore," Marte emphasized. "I think that people really appreciate the help."

Marte added she thinks of a young mother and her one-year-old daughter who have benefited from the diaper distribution program, who told Marte the diapers have brought her a sense of security as she attends college and the confidence to keep going.


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Student-loan borrowers in Mississippi and nationwide could have their debt reduced or eliminated through a new one-time adjustment by the U.S. Department of Education.

This summer, the Department will gives you credit towards loan cancellation through this adjustment if your loan is federally managed.

Cora Hume is an attorney with the Consumer Financial Protection Bureau, and said this adjustment is designed to count more of the payments made - so they can be added to the payments required for cancellation.

The adjustment counts your loan payments made after July 1, 1994 - and in some situations your deferments, economic hardship allowances, and forbearances.

"Historically, borrowers of all ages have struggled to access this Income Driven Repayment benefit," said Hume. "It's really important that they do because it can lower their monthly payments based on their income and family size. This April 30 deadline applies to some loans."

In Mississippi, 145,000 borrowers aged 25 to 34 owe an average of more than $31,000.

Hume said those with nonfederal loans need to consolidate them into a direct consolidation loan with the U.S. Department of Education by the end of April to potentially benefit from this adjustment.

Hume emphasized that student loan debt does not discriminate, and their data shows that 2.7 million older borrowers owed an average of $41,000 in federal student loans in 2023.

She said between 2004 and 2022 there was a nine-fold increase in the number of older borrowers with student loan debt.

"Thirty-two percent of these older borrowers are struggling to pay their bills," said Hume. "In terms of this adjustment, we know that 62-plus borrowers are more likely to need consolidation to maximize the benefit of this one-time pay count adjustments. "

Hume pointed out that more than one million senior citizens are not in the direct-loan program and hold an average of more than $29,000 in debt from their college days.

She encouraged borrowers to visit StudentAid.gov/loan-consolidation to find out if they are eligible for the significant adjustment.




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