Financial Interventions for Financial Hardship

(BEEM Trial)

Overseen By Abigail Arons, MPH

Age: 18 - 65

Sex: Any

Trial Phase: Academic

Sponsor: University of California, San Francisco

Disqualifiers: Other GI program, US residency, others

No Placebo Group All trial participants will receive the active study treatment (no placebo)

Approved in 1 Jurisdiction This treatment is already approved in other countries

Compensation: Varies

Number of Visits: Unknown

300 Participants Needed

Trial Summary

Do I need to stop taking my current medications to join the trial?

The trial information does not specify whether you need to stop taking your current medications. It seems focused on financial and well-being impacts rather than medical treatments.

What data supports the effectiveness of the treatment Financial coaching, Guaranteed Income, Basic Income, Universal Basic Income, Unconditional Cash Payments, Peer learning circles?

Research shows that guaranteed income and basic income programs can improve mental health, reduce income volatility, and enhance financial wellbeing. These interventions have been linked to positive health outcomes, such as better physical functioning and reduced mental distress, suggesting they can be effective in addressing financial hardship. ^{1 2 3 4 5}

Is financial intervention like basic income safe for humans?

Research on financial interventions like basic income shows they are generally safe and can have positive effects on health, such as reducing mental distress and improving physical functioning. There is no evidence of harmful effects from these interventions. ^{1 2 3 4 6}

How does the treatment of Guaranteed Income differ from other treatments for financial hardship?

Guaranteed Income is unique because it provides unconditional cash payments to individuals or families, unlike traditional welfare systems that often have strict eligibility criteria and conditions. This approach aims to reduce financial hardship by offering a stable income, potentially improving health, employment, and social outcomes without the stigma associated with welfare. ^{2 6 7 8 9}

What is the purpose of this trial?

The primary goal is to understand the potential impacts of Guaranteed Income (GI) on Black youth and young adults' financial, emotional, and physical well-being. The main question it aims to answer is: What are the impacts of GI on Black young adults' investments in their future, mental health and unmet mental and sexual/reproductive health service needs? Participants will receive guaranteed income for 12 months and will be offered enrollment in financial capability programs.

Research Team

Sheri A Lippman, PhD

Principal Investigator

University of California, San Francisco

Marguerita Lightfoot, PhD

Principal Investigator

Oregon Health & Science University-Portland State University School of Public Health

Margaret Libby, MSW

Principal Investigator

MyPath

Eligibility Criteria

This trial is for Black youth and young adults aged 18-24 living in specific low-income areas or marginally housed in San Francisco or Oakland. They must not be part of another GI project, have lived in the US for at least 3 years, and provide informed consent. Those under the influence during enrollment or planning to leave the Bay Area are excluded.

Inclusion Criteria

Must provide informed consent

Live in a low-income housing tax credit (LIHTC) qualified census tract (QCT) in San Francisco or Oakland. Youth who are homeless or marginally housed in San Francisco and Oakland are also eligible; those who are marginally housed will need a letter from a youth agency that can affirm their marginal housing status

Must have lived in the US for at least 3 years

Exclusion Criteria

Participation in another GI program at the time of enrollment

Have plans to permanently leave the Bay Area

Being under the influence of alcohol or other substances at the time of enrollment

Timeline

Screening

Participants are screened for eligibility to participate in the trial

2-4 weeks

Phase I

Participants receive $500/month Guaranteed Income (GI) for the first 12 months

12 months

Periodic cell phone-based text messages

Phase II

Participants receive $500/month Guaranteed Income (GI) for the second 12 months

12 months

Periodic cell phone-based text messages

Follow-up

Participants are monitored for financial, emotional, and physical well-being after the intervention

4 weeks

Treatment Details

Interventions

• Financial coaching
• Guaranteed Income
• Peer learning circles

Trial Overview The study tests how Guaranteed Income affects financial stability, mental health, and healthcare use among participants. It includes a monthly income for one year plus access to financial coaching and peer learning circles to see if these interventions help with future investments and wellness.

Participant Groups

Group I: Cash now Experimental Treatment 3 Interventions

Participants allocated to the "cash now" arm will receive a $500/month Guaranteed Income (GI) during the first twelve months of follow-up (Phase 1) and no GI in the second twelve months of follow-up (Phase 2).

Group II: Cash in a year Experimental Treatment 3 Interventions

Participants allocated to the "cash in a year" arm will receive no Guaranteed Income (GI) during the first twelve months of follow-up (Phase 1) but will receive a $500/month GI in the second twelve months of follow-up (Phase 2).

Guaranteed Income is already approved in United States for the following indications:

Approved in United States as Guaranteed Income for:

• Homelessness prevention
• Housing stability support
• Financial assistance for low-income families

Who Is Running the Clinical Trial?

University of California, San Francisco

Lead Sponsor

Trials

2,636

Recruited

19,080,000+

National Institutes of Health (NIH)

Collaborator

Trials

2,896

Recruited

8,053,000+

Oregon Health and Science University

Collaborator

Trials

1,024

Recruited

7,420,000+

MyPath

Collaborator

Trials

1

Recruited

300+

Findings from Research

A study involving 131 individuals receiving a $500 monthly guaranteed income for 2 years showed significant improvements in health and financial stability, including lower income volatility and reduced mental distress.

Participants reported better physical functioning and greater agency in pursuing employment and caregiving opportunities, suggesting that guaranteed income can be an effective public health intervention to enhance overall wellbeing.

NCBI (Pubmed)

pubmed.ncbi.nlm.nih.gov

Impact of Guaranteed Income on Health, Finances, and Agency: Findings from the Stockton Randomized Controlled Trial. West, S., Castro, A.[2023]

A systematic review of 27 studies on basic income-like interventions found mixed health effects, with notable positive impacts on outcomes like birthweight and mental health, but no significant effects on other health measures.

Employment outcomes varied, showing mostly small effects for men and larger positive effects for women with young children, suggesting that basic income may not lead to significant job loss and could improve certain socioeconomic conditions.

NCBI (Pubmed)

pubmed.ncbi.nlm.nih.gov

The public health effects of interventions similar to basic income: a scoping review. Gibson, M., Hearty, W., Craig, P.[2023]

Basic income interventions, such as unconditional cash transfers, have shown potential to improve health and wellbeing outcomes, including reductions in poverty and improvements in quality of life, based on a review of ten studies.

While the existing trials indicate positive impacts, more long-term studies are needed to strengthen the evidence on how basic income programs can effectively reduce health inequities.

NCBI (Pubmed)

pubmed.ncbi.nlm.nih.gov

How, why and for whom does a basic income contribute to health and wellbeing: a systematic review. McKay, FH., Bennett, R., Dunn, M.[2023]

Financial counselling and income-maximisation services can potentially improve family finances, with studies showing average annual gains of £1661 and £1919 for families referred to these services in Scotland and the UK, respectively.

While some studies indicated small to moderate benefits in child health and well-being, the overall evidence is limited and biased, highlighting the need for more rigorous randomized controlled trials to better assess the effectiveness of these healthcare-income maximisation models.

NCBI (Pubmed)

pubmed.ncbi.nlm.nih.gov

Connecting Healthcare with Income Maximisation Services: A Systematic Review on the Health, Wellbeing and Financial Impacts for Families with Young Children. Burley, J., Samir, N., Price, A., et al.[2022]

Cash transfers and guaranteed income programs are being explored as effective solutions to address income volatility, particularly in the context of recent economic challenges.

Stockton's guaranteed income experiment demonstrates that these programs can be designed to work alongside existing safety net benefits, ensuring that recipients do not lose essential support while receiving additional financial assistance.

NCBI (Pubmed)

pubmed.ncbi.nlm.nih.gov

Mitigating loss of health insurance and means tested benefits in an unconditional cash transfer experiment: Implementation lessons from Stockton's guaranteed income pilot. Baker, AC., Martin-West, S., Samra, S., et al.[2020]

References

1. United States pubmed.ncbi.nlm.nih.gov

Impact of Guaranteed Income on Health, Finances, and Agency: Findings from the Stockton Randomized Controlled Trial. [2023]

2. England pubmed.ncbi.nlm.nih.gov

The public health effects of interventions similar to basic income: a scoping review. [2023]

3. England pubmed.ncbi.nlm.nih.gov

Financial security and public health: How basic income & cash transfers can promote health. [2019]

4. England pubmed.ncbi.nlm.nih.gov

How, why and for whom does a basic income contribute to health and wellbeing: a systematic review. [2023]

5. Switzerland pubmed.ncbi.nlm.nih.gov

Connecting Healthcare with Income Maximisation Services: A Systematic Review on the Health, Wellbeing and Financial Impacts for Families with Young Children. [2022]

6. United States pubmed.ncbi.nlm.nih.gov

"More Normal than Welfare": The Mincome Experiment, Stigma, and Community Experience. [2016]

7. England pubmed.ncbi.nlm.nih.gov

Mitigating loss of health insurance and means tested benefits in an unconditional cash transfer experiment: Implementation lessons from Stockton's guaranteed income pilot. [2020]

8. United States pubmed.ncbi.nlm.nih.gov

The Experiences of Social Assistance Recipients on the Ontario Basic Income Pilot. [2020]

9. England pubmed.ncbi.nlm.nih.gov

Exploring different methods to evaluate the impact of basic income interventions: a systematic review. [2023]