Housing

Fact 1: Cash recipients moved into stable housing faster than non-cash participants and overall, spent fewer days homeless.

Why it matters: Moving into housing provides stability, reduces the risk of trauma, improves health, and frees up shelter beds for others in need.

Data:

• For the cash group, days homeless dropped from 77% to 49% in the first month

• For the non-cash group, days homeless increased from 64% to 78%

• The cash group spent 4,396 fewer nights homeless over 12 months

• On average, cash recipients moved into stable housing in 3 months (96 days) while participants who did not receive the transfer, moved into stable housing after an average of 5 months (144 days)

SPENDING

Fact 1: Cash transfer recipients prioritized and increased spending on recurring staples like housing/rent, food, transportation, and utility bills.

Why it matters: Cash transfers provided choice and enabled people to buy more goods, helping them meet their basic needs. Counter to some stereotypes, participants spent their money on essential items.

Data: On average, cash recipients spent 52% of their budget on food and rent, 15% on “other” items such as medications and bills, and 16% on clothes and transportation.

Fact 2: Cash recipients increased spending on one-time purchases of household items, such as furniture, computers, bikes, and vehicles.

Why it matters: A direct cash transfer empowers individuals with dignity and provides the choice to make spending decisions that best suit their needs.

Data: Cash recipients spent an additional $700 on one-time household items during the first 3 months, compared to non-cash participants.

Money Management

Fact: Individuals spent their cash over time, not all at once.

Why it matters: Money management challenges assumptions that cash recipients will spend impulsively

Data:

• After 1 month, cash recipients have an additional $4,000 in savings

• Cash recipients retain an additional $1,000 of the $7,500 cash transfer through 12 months

FOOD SECURITY

Fact: For those who received the cash, food security* increased in the first month and remained steady over time

Why it matters: Food security is critical for health and well-being

Data:

• 67% of cash recipients were food secure after 1 month, an increase of 37 percentage points from baseline

• The non-cash group only increased 2 percentage points during the same period

• Cash recipients maintained greater food security across the full 12 months

*Food secure means having consistent access to food (e.g. three meals a day). Severely food insecure means frequently eating smaller meals or fewer meals, or not having consistent access to food (e.g. one meal a day or less)

FINANCIAL CHOICES

Fact: There was a 39% reduction in spending of goods such as alcohol, drugs or cigarettes

Why it matters: The reduction of spending on these goods challenges the widespread misperception that people in poverty will misuse cash funds

Cost Benefit

Fact: By spending fewer nights in shelters, the cash group saved the shelter system approximately $8,100 per person for a total of roughly $405,000 over one year. Factoring in the cost of the cash transfer, that’s a savings of $600 per person for society.

Why it matters: The cost savings to the shelter system pays off the cost of the cash transfer after just 12 months. Overall, cash transfers save money, making them a powerful tool to combat homelessness.

Data:

• Cash recipients saved a total of $17,571 compared to their baseline shelter use

• Non-cash participants only saved $9,399 compared to their baseline shelter use

• In total, cash recipients saved an additional $8,172 compared to non-cash participants