Homelessness is a major issue facing many cities and countries around the world. On any given night in the United States, over half a million people experience homelessness. Many people feel uncertain about how best to help homeless individuals, with a common concern being that cash handouts may be ill-advised or even harmful. However, research suggests that giving money directly to homeless people is one of the most effective ways to provide help. Below we will explore some of the main reasons why giving money to homeless individuals can be impactful.
It provides them with autonomy and dignity
For people living without stable housing, their ability to make their own choices is often extremely limited. Homeless individuals must rely on shelters, charities, and government services for food, clothing and shelter, which means key decisions are largely out of their hands. Handing a homeless person cash empowers them to become an active participant in improving their own circumstances. They can prioritize their most pressing needs, whether that may be food, new shoes, transportation, or something else entirely. The ability to choose restores some of the dignity that homelessness takes away. As fellow human beings, most of us would like the autonomy to decide how best to meet our needs, rather than being told what we require. Providing money is a way to recognize the humanity in every person.
It meets immediate needs
While long-term solutions like affordable housing, job training, and healthcare access are crucial, people experiencing homelessness have many immediate needs that must be met to survive day-to-day. Cash donations allow homeless individuals to purchase hot meals, bottled water, blankets, clothing, hygiene products, and other necessities that may not be readily available at a shelter. Weather emergencies like extreme heat or cold make life even more dangerous for the homeless population, and extra money gives them options to get out of the elements. For those sleeping on the streets, cash provides a means to potentially book a night in a motel, allowing them a rare chance to shower, sleep in a bed, and restore some security. When their most basic needs are met, people are better equipped to start addressing long-term issues.
It provides flexibility and convenience
While donating to charitable organizations is commendable, shelters and nonprofits cannot always offer comprehensive, on-demand assistance. They may be located far away, have limited hours, or be constrained in what forms of aid they can provide. A cash donation puts no restrictions on when, where or how the money gets used. Homeless individuals can carry the cash with them and employ it as soon as an urgent issue arises. The flexibility of money allows it to complement the services of care providers because it can fill gaps and be utilized at the recipient’s convenience.
It respects their individuality
Just as housed individuals have unique needs, homeless people are not a monolith either. A young single mother may need diapers and formula for her baby, while a veteran may have a desperate need for prescription eyeglasses he cannot otherwise afford. Cash donations acknowledge that each person on the streets requires different things. When we give money, we empower recipients to acquire whatever their individual circumstances call for in that moment. They do not have to make do with a one-size-fits-all solution. We extend trust that they understand their situation best and will use the money wisely.
It validates their humanity
Homeless individuals are often ignored or treated with contempt. Making eye contact, exchanging a few words, directly handing someone money—these simple acts reinforce the homeless person’s dignity and humanity, reminding them they are seen. Other forms of giving, such as dropping change into a cup, do not provide the same affirmation. The interpersonal connection of placing cash directly into someone’s hand sends the message that they are a fellow human deserving of respect. It also reduces the power imbalance inherent in other kinds of transactions, like a handout from someone better off to someone less fortunate. Direct money gifts establish common ground.
It challenges stereotypes
One objection to giving money to the homeless is that the money could be misspent on things like alcohol, cigarettes or drugs. However, research indicates these concerns are generally unfounded. A study by UNLV anthropologist Dr. Bliss Bowen found that among people experiencing homelessness, fewer than one in five would use a cash donation on alcohol or drugs. The majority used money to meet basic needs like hygiene, transportation, food, and shelter. Directly handing someone money challenges presumptions by demonstrating faith in that individual’s ability to choose wisely. And even if a small portion of the money gets spent on vices, the recipient still gets needed calories, a few moments of pleasure, or temporary relief from psychological pain.
It reflects their right to self determination
Ultimately, when we choose to give cash to fellow citizens down on their luck, we affirm a fundamental human right—the right to self determination. Donations with strings attached, however well-intentioned, infringe on that right. As members of a democratic society, we value freedom and equality. Extending generosity through cash gives recipients the liberty to decide their most pressing needs, while also acknowledging we are equals despite disparities in our circumstances. Whether we have housing or not, we all have the right to make choices about our lives. Financial donations are one way of defending that right.
It has a multiplier effect
Research shows that homeless recipients of cash often share part of the money they receive with others in need. Some portion of a donation may go toward public transportation so a friend can get to a crucial appointment. Some may be used to purchase extra hot drinks and food to distribute to other homeless individuals. Since people experiencing homelessness tend to form communities and bonds to survive, one cash donation can meet multiple needs by being circulated. That multiplies the positive impact of the initial gift.
It supplements the work of shelters and nonprofits
Between government budget cuts and growing demand, most charities assisting the homeless are under constant strain. Donating money to reputable organizations helps expand their capacity to serve. But even well-run shelters and nonprofits have inherent limitations. Cash donations to individuals allow recipients to tap into other resources that registered charities may not provide. Giving homeless people the means to meet needs immediately also alleviates pressure on social service agencies. So rather than replacing organized giving, personal monetary gifts complement existing efforts.
It sets an example of compassion for others
When people observe someone directly handing cash to a homeless person, it sets a powerful example that can motivate others to reexamine their own attitudes. Seeing generosity firsthand awakens our sense of shared humanity and makes it more difficult to remain indifferent to the plight of people struggling with poverty and homelessness. We are social creatures profoundly influenced by others. A simple act of compassion, multiplied by even a few individuals, can gradually shift cultural mindsets.
Potential risks of giving money to homeless people
While the benefits are abundant, there can be some risks associated with handing out cash to homeless individuals. It is prudent to be aware of these as well.
– Cash may be lost, stolen, or seized if recipients lack a safe place to store it. In some areas, policing practices disproportionately target the homeless population.
– An influx of cash into struggling communities does not address root causes. Broader policy changes to improve affordable housing access, healthcare, and social supports are still needed.
– Power imbalances may lead to exploitation by unscrupulous people who target homeless individuals for robbery. Exercising caution with both amounts and settings is wise.
– Misunderstandings about how any given homeless person will use a cash gift may occur. Judgements should be withheld in recognition that situations are complex.
– Cash recipients may overspend resources imprudently without proper support, potentially worsening desperation after money runs out. Providing information on community resources can help mitigate this.
Conclusion
While giving cash to homeless people has some risks requiring prudence, extensive evidence indicates that it positively impacts lives. Direct monetary gifts restore dignity and autonomy, meet urgent survival needs, demonstrate shared humanity, set an example for others, and show trust in people’s ability to choose what helps them most. Handing cash to individuals allows them flexibility and convenience that charity organizations cannot always provide. Ultimately it recognizes the right of every citizen to self determination. With an abundance of benefits for both givers and receivers, giving money directly to homeless people is one of the most effective forms of generosity.