In June 2025, a hot topic lit up headlines across the U.S.: “$725 stimulus checks are going out!” But hold your horses—this isn’t a nationwide stimulus from the IRS. What you’re hearing about is a new guaranteed income program kicking off in Sacramento County, California.
This initiative is giving 200 low-income families a $725 monthly payment—no strings attached—for one whole year. Sounds good, right? Let’s unpack the facts and see who qualifies, when the money arrives, and what this means for you and the country.
What is a Stimulus Payment?
A stimulus payment, sometimes called an Economic Impact Payment, is money sent directly to people by the government. The goal is to boost the economy by giving you extra funds to spend on goods and services. Think of it as a shot in the arm for the nation’s finances during tough economic times. These payments have been used in the past to help families with everyday costs and to encourage spending.
Then and Now: The Evolution of Stimulus
The first major stimulus checks in response to the COVID-19 pandemic were designed for broad, emergency relief during a national shutdown. Those payments were larger and aimed at keeping the economy from collapsing. In contrast, a hypothetical $725 payment in 2025 would likely be more targeted, aiming to help households manage the rising cost of living in a post-pandemic economy rather than serving as a full-scale emergency intervention.
$725 June 2025 Stimulus Confirmed
| Feature | Details |
|---|---|
| Program Name | Family First Economic Support Pilot (FFESP) |
| Monthly Payment | $725/month, unrestricted cash |
| Total Value per Family | $8,700 (over 12 months) |
| Start Date | June 15, 2025 |
| End Date | July 15, 2026 |
| Number of Families | 200 selected randomly |
| Eligibility | Families with kids aged 0–5, low income, select ZIP codes in Sacramento |
| Application Dates | April 14–27, 2025 |
| Official Website | ffesp.org |
The $725 monthly payments in Sacramento are more than just help—they’re a test drive for a new kind of economic safety net. They prove what many advocates have said for years: Trust people with money, and they’ll spend it wisely.
With results from this and other pilots expected by 2026, the U.S. may finally start rethinking how we lift families out of poverty—not with red tape, but with respect and real resources.
Real Talk: A Mom’s Story
Meet Vanessa, a single mom living in the 95828 ZIP code of Sacramento. She’s juggling a 3-year-old son, a part-time grocery job, and rising rent. She applied for the FFESP back in April and got selected.
“I cried when I got the text,” she says. “That $725 means I don’t have to choose between gas and groceries this month. I can even save a little.”
Vanessa is now using the money for daycare and paying off a dental bill—things she couldn’t afford before.
What Is the FFESP $725 Payment?
This is a guaranteed income pilot program. That means selected families receive regular, predictable payments, with no requirements on how the money is spent.
It’s not welfare, it’s not a tax refund. It’s straight-up cash—meant to reduce financial stress and create breathing room.
This is part of a growing trend across the U.S. to test universal basic income (UBI) or similar guaranteed income strategies for vulnerable populations.
“Giving people money directly works. The data shows it helps families without increasing dependency.”
— Dr. Michael Tubbs, Founder of Mayors for a Guaranteed Income
Who’s Eligible for the $725 Monthly Payments?
You Had to Meet ALL These Conditions:
- Live in Sacramento County in one of these ZIP codes:
- 95815, 95821, 95823, 95825, 95828, 95838
- Have a child age 0–5 living with you at least 50% of the time
- Have income ≤ 200% of federal poverty level
Example: $62,400 for a family of 4 - Apply between April 14–27, 2025
- Confirm acceptance by June 6, 2025
- Selected in a random lottery
When and How Do Families Get the Money?
- First payment: June 15, 2025
- Frequency: Every 15th of the month through July 15, 2026
- How it’s delivered:
- Direct deposit
- Prepaid debit card (for the unbanked)
Families do not need to report how they spend it. There are no work requirements, and the money won’t interfere with most benefits like CalFresh, Medi-Cal, or WIC.
Comparison: Sacramento vs. Other Guaranteed Income Programs
| Program | Location | Amount | Duration | Participants |
|---|---|---|---|---|
| FFESP | Sacramento, CA | $725/mo | 12 months | 200 families |
| SEED | Stockton, CA | $500/mo | 24 months | 125 individuals |
| BIG:LEAP | Los Angeles, CA | $1,000/mo | 12 months | 3,200 families |
| The Bridge Project | New York, NY | $1,000→$500 | 36 months | 600+ moms |
These programs all focus on trust-based support, giving money directly to people who need it most—without bureaucracy.
What If I Didn’t Get Picked?
You’re not alone! Here’s what you can do now:
Check Similar Local Resources:
- California Benefits Finder
- 211.org: Free help line for housing, food, utilities
Stay Ready for Future Pilots:
Follow:
- Economic Security Project
- GiveDirectly U.S.
- Mayors for a Guaranteed Income
Claim State Credits:
- CalEITC (Earned Income Tax Credit)
- YCTC (Young Child Tax Credit)
Apply during tax season: ftb.ca.gov
Why This Matters: A Bigger Picture
This isn’t just about $725. It’s about testing a new way to fight poverty that’s dignified, direct, and efficient.
Studies from Stockton, CA show that people who got guaranteed income were:
- 2x more likely to find full-time jobs
- Less anxious or depressed
- Better at budgeting and saving
Sacramento’s FFESP is now part of a national conversation around how to make the economy work for everyone, not just the top 1%.
2021 Stimulus vs. Hypothetical 2025 Payment
How does this potential new payment stack up against the last major federal stimulus? Here’s a quick comparison:
| Feature | 2021 Stimulus (Third Round) | Hypothetical June 2025 Stimulus |
| Payment Amount | Up to $1,400 per person | Up to $725 per person |
| Income Limits | Stricter income caps | Potentially broader eligibility |
| Dependents | Included payments for all dependents | To be confirmed, but likely to include dependents |
| Economic Goal | COVID-19 pandemic relief | To be announced |
Top 3 Myths About Stimulus Payments
- Myth 1: You have to pay it back. False. Stimulus payments are not loans. They are tax credits paid in advance and you don’t owe the government anything back.
- Myth 2: It will reduce your tax refund. False. This payment won’t count as taxable income, so it won’t affect your tax bracket or reduce your refund next year.
- Myth 3: The government will call you to confirm your details. False. The IRS will never call, text, or email you to ask for your personal or financial information. Beware of scams!
Checklist: Could YOU Qualify for a Future Program?
Low-income household
Child under 6
Live in high-need ZIP code
Open to receiving money on a card or bank
Want to build savings or reduce debt
If that’s you, bookmark your local government site and sign up for pilot updates!
FAQs
Is this stimulus from the federal government?
No — it’s from Sacramento County, not the IRS or federal COVID relief.
Do I pay taxes on the $725?
No. The payments are not taxable.
Will it hurt my food stamps or Medi-Cal?
Nope. These payments are exempt from most income tests.
Can I still apply?
Not for this round. Applications closed April 27, 2025.
Will there be more programs like this?
Highly likely. California and other states are scaling up similar pilots.
