$725 Stimulus Payment – Will It Affect My CalFresh and CalWORKs Benefits?

The rising cost of living has left many American families struggling to make ends meet. To address these challenges, California has launched the Sacramento Family First (FFESP) pilot program, a 12-month initiative providing direct monthly payments to low-income families. Here’s everything you need to know about the program, its benefits, and its impact on other assistance programs.

Sacramento Family First Program

The Sacramento Family First program is a guaranteed income initiative designed to reduce economic inequality and improve the well-being of children in selected families. Starting on December 15, 2024, the program will provide 200 families with monthly payments of $725, continuing until November 15, 2025.

This financial support helps families cover essential expenses and navigate the challenges of rising living costs, ensuring they can maintain a stable environment for their children.

Key Features:

• Duration: 12 months (December 2024 – November 2025).
• Amount: $725 per month, deposited directly into the recipient’s bank account or sent as a physical check.
• Eligibility: Families must reside in California and meet the program’s criteria.

Benefits

A common concern for beneficiaries is whether participation in the program will impact other financial assistance, such as CalFresh and CalWORKs. According to the FFESP website:

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• CalWORKs and CalFresh: The California Department of Social Services has ruled that all Guaranteed Income (GI) programs statewide, including FFESP, are exempt from eligibility calculations for CalWORKs benefits.
• Other Benefits: Programs like tribal TANF, housing subsidies, subsidized child care, and WIC are also unaffected by FFESP funding.

Important Note:

While FFESP payments do not affect many benefits, they may increase a household’s total income, potentially impacting eligibility for programs not explicitly listed, such as certain income-based grants. Beneficiaries are encouraged to monitor their income thresholds and consult with program administrators.

Goals

The Sacramento Family First program aims to:

1. Reduce Economic Inequality: By providing consistent financial support, the program helps level the playing field for low-income families.
2. Improve Child Well-being: Ensuring families have the resources they need can lead to better health, education, and overall outcomes for children.
3. Evaluate Guaranteed Income Initiatives: As a pilot program, FFESP serves as a model for similar initiatives aimed at supporting vulnerable communities.

Payment

The payment process is designed to be simple and accessible:

• Direct Deposits: Payments are sent to bank accounts associated with the recipient’s tax returns.
• Physical Checks: If bank details are unavailable, checks will be mailed to the registered address.

The program will only be suspended if a family moves out of California and no longer meets the eligibility requirements.

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FFESP

As living costs soar, programs like FFESP offer a crucial financial cushion for families. By alleviating economic stress, they enable parents to focus on their children’s well-being without constantly worrying about making ends meet.

This initiative also serves as a blueprint for broader guaranteed income efforts, demonstrating how targeted financial support can empower families and foster economic stability.

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