antipaucity

fighting the lack of good ideas

one-time universal basic income

A lot of talk has been made in the past couple years (and even currently by one of the fellas running for the 2020 Democratic Party nomination to be their candidate for President) of governments (which really means taxpayers) funding a universal basic income.

Alaska’s been doing something like this for close to 40 years.

So have several other places – including Finland.

In the vein of Scott Adams (sidebar – if you’re not listening to his podcast (or watching it on YouTube (or participating in the Periscopes)), you should), here’s an idea.

At birth, every citizen born in the United States will be granted $100,000 in a safe financial vehicle (T-Bills? Savings bonds? CDs redeemable at a Federal Reserve Bank?) – as a prorated benefit over 18 years (if, God forbid, they die before adulthood – accumulated funds will be designated to their parents or legal guardians in the event they pass before reaching their 18th birthday.).

That’s an accumulating ~$5555 per year for 18 years.

There are about 4 million babies born in the US every year.

Additional cost to taxpayers (ie the Federal budget)? About $22.2 billion per year2 (for ~20-25 years, then it would be flat (at ~$550B/year), presuming no major increase in birth rate).

But when you turn 18, BAM!

$100,000 to do with whatsoever your heart desires.

Down payment on a house? Check.

New car? Check.

Tuition to college or trade school? Check.

Invest in stocks, bonds, starting a business? Check.

Roll-over into an IRA? Check.

It’s yours.

Tax-free.

To keep.

To do with whatever and however you like.

What would you do with it?