Program Model Overview — how the group income system works (inputs, distributions, governance).
Universal Contribution Rate: 10% of Effective Income (EI) for all participants.
Effective Income (EI) formula:
EI = actual income + imputed investment income from assets (4% FIRE rule) - eligible debt payments
Contributions are mandatory for participation, except when EI < 0, in which case contributions = $0.
Participants may make additional voluntary contributions to the universal pool or their affinity group pool.
Optional, smaller groups within the program for higher internal income sharing.
Rules:
Base 10% contribution to universal pool remains unchanged.
Additional contributions within the affinity group are optional and only shared within that group.
Purpose: natural test groups to explore different income-sharing models while maintaining the universal baseline.
Annual payout forecasts are announced at the start of each year.
Payouts are PPP-adjusted for global participants to ensure equitable real purchasing power.
Monthly contributions are reconciled with forecasted payouts.
Bonuses may be applied if contributions exceed expectations.
Fixed operational percentage (e.g., 5%) is allocated from participant contributions to cover program costs.
Voluntary donations and affinity group contributions are not subject to operational skim.
All operational finances are fully transparent, visible to participants and government regulators.
Suggested rate: 5% of monthly inflows.
Purpose: absorb short-term fluctuations, support emergency payouts, and stabilize long-term solvency.
Fully accounted for in transparency reporting.
One-time windfalls are treated as wealth, not regular income.
Calculated as 10% of imputed annual income if invested using the 4% rule.
Contributions from wealth/windfalls are tax-deductible as part of IRS 501(c)(3) contributions.
Eligible debt payments reduce Effective Income:
Mortgage, student loans, medical debt, or other essential debt payments
Participants never receive more than the standard payout, even if EI < 0
Encourages debt payoff while maintaining participant stability
Debt tracking integrated into participant platform for automated EI calculation
Admission / Re-admission
New participants and returning participants go through an application and evaluation process
Criteria include: alignment with program values, financial responsibility, history of exits/contributions, and engagement with community practices
Program may deny re-entry if repeated exits indicate risk to stability
Exits are tracked; frequent exits indicate risk to program health
Exit history informs future re-entry eligibility and ramp schedule
Re-entry / Returning Participants
Entry Count Penalty: each previous exit adds a flat 1% contribution period before ramping via doubling sequence to base rate (10%)
No cap on flat period; repeated exits naturally delay full participation
Waitlist: may apply (1–3 months) before rejoining
Program structured as 501(c)(3) research/education nonprofit
Contributions are tax-deductible
Payouts are not considered taxable income for participants
Internal participant financial data remains private; government has access only to program-level transparency reporting
Program maintains compliance for international disbursement where applicable
Tracks: income, debt, asset imputed income, contributions, payouts, and community engagement
Examples: using Empower/Personal Capital-like platform or custom-built solution
Privacy: participant personal finances never shared outside the program unless voluntarily disclosed
Transparency: program finances (pool balances, distributions, operational costs) are fully open to participants and regulators
Participants hold 30-minute monthly conversations with rotating partners
Affinity groups may add additional engagement practices
Engagement is tracked for governance and re-entry evaluation
Income Stability: participants maintain consistent baseline income via program
Retention & Engagement: participation rates, community conversation compliance
Pool Health & Growth: total assets in the program, ability to onboard more participants over time
Equitable Access: diversity of participant income levels, global PPP-adjusted equity
Non-work Contribution: recognition that participants may not be earning income but are contributing to pool stability, engagement, or other community activities
Long-term Resilience: ability to absorb windfalls, manage debt-adjusted EI, maintain buffer fund
Experimental Metrics: effectiveness of affinity groups, impact of wealth tax, and contribution ramp structures
Annual program review evaluates:
Payout forecasts vs actual contributions
Buffer fund sufficiency
KPIs (financial stability, retention, equity, community engagement)
Adjustments made to payout rates, ramp schedules, or policies while preserving fairness and transparency