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So, how much is the minimum wage in the US anyway? That’s the question many people asking about moving there want to know. Well, the answer is more complicated than it seems because there isn’t a single value like we have here in Brazil.
The federal minimum wage in the US has been $7.25 per hour since 2009 — yes, frozen for 15 years. But here’s the catch: each state can set its own minimum. Some states are around $11 to $16 per hour, while more expensive places like Washington DC reach $17.50. California and New York also have quite high rates. This means that the minimum wage in the US varies a lot depending on where you work.
If you calculate based on the federal minimum wage ($7.25/hr) for a standard 40-hour workweek, it’s about $1,160 per month. But in DC, for example, working the same hours, you earn around $2,800. The difference is huge.
Now, the question no one wants to ask: can you live on that? Honestly, in most cases, no. The average cost of living there (excluding rent) is about $1,185 per month, and rent costs around $1,626. In other words, just with the federal minimum wage, you’re already in the red. States with higher minimum wages make up for it a bit, but they also have the most expensive rents in the country.
The American system is quite decentralized indeed. While the federal rate stays the same, states and cities have been approving increases to keep up with inflation. If you’re thinking about moving there, the important thing is to research not only what the minimum wage is in that specific state but also the actual cost of living in that region. The numbers need to add up, you know?