The California Franchise Tax Board (FTB) introduced an economic stimulus program in July 2024 to provide monthly financial relief to eligible residents. Here is everything you need to know about this initiative, from the dates to the eligibility requirements.
The timeline for California’s $500 stimulus checks
Californians in select areas began receiving $500 stimulus checks every month starting in July 2024. The program has been planned for 12 months and will make payments up to $6,000 per eligible individual, administered by the Fresno Economic Opportunity Commission (Fresno EOC). As of November 2024, the sixth payment has been made to the program participants. The end of the guaranteed income program will close in July 2025, when the last $500 check is disbursed.
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Eligibility requirements for the stimulus program
To qualify for the $500 monthly payments, recipients must meet several criteria set by the FTB. These include:
- Residency: Applicants must be residents of California.
- Income Limits: Individual applicants must have an annual income of $75,000 or less, while married couples filing jointly must earn no more than $150,000 annually.
- Tax Filing History: A 2021 tax return must have been filed to confirm eligibility.
- Location: Eligible applicants must reside in either the 93706 ZIP code (southwest Fresno) or the 93234 ZIP code (Huron).
- Age: Applicants must be at least 18 years old.
Despite over 10,000 applications for the program, only 150 Fresno families were randomly selected to receive these payments.
Addressing economic hardship in Fresno
Fresno County comprises the Guaranteed Income Advancement program as an initiative under the bigger program to curb concentrated poverty in the Cascades, Fresno, and Huron. The specific program addressed here is the one for households with young children (five years old or younger) facing significant financial hardship.
According to its website, the initiative aims to provide economic stability and baseline income for families that are struggling financially. The program has highlighted various goals, such as:
- Increasing health and happiness for different beneficiaries.
- Advocating for financial stability.
- Increasing full-time employment opportunities are available for participants.
Comparable programs, like the pilot program in Stockton, California, have been demonstrating above-average outcomes, motivating similar initiatives across the country.
Unrestricted use of funds
There are no strings attached to the use of cash grants for recipients. They are simply meant for families to spend as they see fit, whether for rent, food, medical care, or schooling. Fresno EOC simply trusts the families to know what will work best for them.
Very similar to what worked with the expanded Child Tax Credit that was launched in 2021, which has helped cut child poverty around the country. But, as is well-known, the Child Tax Credit expired in 2022, just as child poverty started on the rise again, pointing to the need for other such efforts if such gaps are to be spanned.
Final thoughts
California’s guaranteed income scheme is indeed a novel approach to alleviating poverty and supporting families in difficulty. Although only 150 households are included, a great deal can be learned from the program concerning how guaranteed income initiatives can improve financial security and overall well-being.
While the program winds down to its conclusion in July 2025, recipients still have some payments to follow, all intended to provide much-needed economic relief during difficult times.
