It may be the biggest change—ever—to Americans’ financial “safety nets”…

In a recent Wall Street Journal editorial, political scientist Charles Murray proposes scrapping the entire entitlement system (Social Security, Medicare, etc.) for something even more radical: universal basic income (UBI).

Under his plan, every American over age 21 would receive monthly checks totaling $13,000 per year. Murray says:

The UBI is to be financed by getting rid of Social Security, Medicare, Medicaid, food stamps, Supplemental Security Income, housing subsidies, welfare for single women and every other kind of welfare and social-services program, as well as agricultural subsidies and corporate welfare.

If you think Murray’s plan sounds too “out there” for serious consideration, think again…

  • On Sunday, Swiss voters considered (and rejected) a proposal to provide $3,500 a month to all Swiss citizens.
  • This fall, Ontario, Canada, will test out providing UBI to its citizens.
  • Finland, France, and Holland are all experimenting with enacting similar measures right now.

But there’s a glaring flaw to the proposal… and it sounds counterintuitive…

You can’t cure poverty with money.

Mark’s highlighted several famous athletes who found millions “dumped” in their laps. They ended up just as poor after their careers as they were before they began.

That’s because money is just a tool. Just as you can use a hammer to build a house or tear one apart… you can use money to build wealth or to destroy it. It all comes down to the wherewithal of the “wielder.”

Bottom line: This won’t be the last time you hear about universal basic income. Insolvent entitlement programs—like Social Security and Medicare—won’t last forever. (We’ve already witnessed one Social Security provision close this year that could have netted recipients an extra $60,000 in benefits.) More “overhauls” are on the way.

If you’re on a fixed income, a pension, and/or Social Security, you must develop alternative income streams to protect yourself from the changes afoot. Mark’s crew is hard at work unearthing the best off-Wall Street, income-producing opportunities. Stay tuned for their findings…