This month, many American families are receiving a financial boost thanks to new state-level stimulus check initiatives. While these payments aren’t a long-term solution, they do provide immediate help to families in need—especially during tough economic times.
From California’s pilot program to Alaska’s dividend payments, here’s a full breakdown of who is getting what, and why it matters.
What Are Stimulus Checks and Why Do They Matter?
Stimulus checks are direct payments sent by governments to help people cover urgent expenses. These payments are especially helpful during times of economic crisis, like job losses or rising inflation. The goal is simple: give families some financial breathing room and keep the economy moving by encouraging spending.
During the COVID-19 pandemic, the U.S. government issued three rounds of Economic Impact Payments (EIPs), helping millions pay for essentials like rent, groceries, and medical bills.
Between March 2020 and March 2021, the Biden Administration sent out these payments, with the final one totaling $1,400. If you missed that third check, tax season 2024 was the last chance to claim it.
New $725 Monthly Payment Starts in California
California has launched a new program called the Family First Economic Support Pilot Program. Under this plan, selected families are receiving $725 every month for a full year. The payments started in June 2025 and are aimed at testing a guaranteed basic income model.
To qualify, families needed to meet specific conditions:
Live in Sacramento County in one of these ZIP codes: 95815, 95821, 95823, 95825, 95828, or 95838
Have a child aged 0–5 years who lives with them at least half the time
Household income below 200% of the federal poverty line
Not already receiving other basic income benefits
Only families who met these criteria and were randomly selected are part of the program. The idea is to see if steady monthly income helps reduce financial stress and improve family well-being.
Trump Administration’s ‘Trump Accounts’ Initiative
Although there’s no confirmation of a new federal stimulus check like the rumored $2,000 or $5,000 payments, a new federal initiative has been announced. Called Trump Accounts, this plan offers $1,000 to families who welcome a new baby between 2025 and 2028.
Here’s how it works:
The money will be deposited into special savings accounts for the baby
Parents can continue to contribute up to $5,000 per year
The goal is to help families start saving early for their children’s future
This is part of the Big, Beautiful Bill and aims to promote long-term financial planning.
Other States Taking Action
Besides California and the federal plan, several other states have introduced their own stimulus programs this year:
New York
New York is rolling out inflation rebate checks and BABY payments for low-income families. These payments are meant to reduce the heavy expenses that come with raising a newborn.
Alaska
Alaska residents benefit from the Permanent Fund Dividend (PFD). This yearly payment gives residents a share of the state’s oil and mineral profits. In 2025, the payment is $1,702, a noticeable jump from last year. Most residents will have received their payments by August 21.
Here’s a quick comparison of some major state stimulus efforts:
| State | Program Name | Payment Amount | Target Group |
|---|---|---|---|
| California | Family First Economic Support Pilot | $725/month | Low-income families with young kids |
| New York | Inflation Rebate & BABY Payments | Varies | Low-income new parents |
| Alaska | Permanent Fund Dividend | $1,702 | All residents |
| Federal | Trump Accounts (2025–2028 babies) | $1,000 + | Parents of newborns |
While these payments may not be a long-term fix, they play a critical role in providing short-term support when families need it the most.
Whether it’s a monthly check from California, a one-time deposit in a Trump Account, or a yearly dividend in Alaska, these programs aim to ease financial pressure and help families plan for a better future.
