Guaranteed Income and the Financial Well-Being of Black Women: Evidence from the In Her Hands Pilot

Abstract This study examines the impact of guaranteed income (GI) on financial well-being through a U.S. pilot program targeting low-income Black women. Using longitudinal survey data from the In Her Hands (IHH) pilot in Georgia, we examine how GI influences recipients’ credit health, debt, savings behavior, and reliance on high-cost financial services. In the IHH pilot, 654 low-income women from majority-Black communities were randomly assigned to receive 24 monthly GI payments. Results indicate significant reductions in the use of alternative financial services, as well as an increased likelihood of having an emergency fund and higher overall savings. These findings suggest that GI can promote short-term financial stability and reduce reliance on high-cost or risky financial coping strategies, particularly among Black women and low-income families. This study contributes to a growing body of literature on how unconditional cash transfers may advance economic justice in racially marginalized communities.