Table of Contents
- 1 Is minimum wage controlled by state or federal?
- 2 Does federal minimum wage apply to states?
- 3 Who does federal minimum wage apply to?
- 4 Is minimum wage different in each state?
- 5 What is a living wage in each state?
- 6 What does the federal minimum wage mean?
- 7 Is the minimum wage higher than the cost of living?
- 8 Is the federal government going to raise minimum wage?
- 9 Should the federal minimum wage be one-size-fits-all?
Is minimum wage controlled by state or federal?
The federal minimum wage is regulated by the Fair Labor Standards Act (FLSA) and enforced by the U.S. Department of Labor. Although the federal minimum wage rate is subject to change, it has not increased since 2009. So, what is the federal minimum wage? The current federal minimum wage is $7.25 per hour.
Does federal minimum wage apply to states?
States are required to follow federal minimum wage law. States can pass their own laws to make the wage higher, equal to or lower than the federal law, but they can’t make other changes that overrule the federal law, for instance, who is exempt or how many hours constitutes a work week.
Is cost of living tied to wages?
The cost of living is the amount of money needed to cover basic expenses such as housing, food, taxes, and healthcare in a certain place and time period. The cost of living is often used to compare how expensive it is to live in one city versus another. The cost of living is tied to wages.
Who does federal minimum wage apply to?
To whom does the minimum wage apply? The minimum wage law (the FLSA) applies to employees of enterprises that have annual gross volume of sales or business done of at least $500,000.
Is minimum wage different in each state?
Currently, 29 states and D.C. have minimum wages above the federal minimum wage of $7.25 per hour. Five states have not adopted a state minimum wage: Alabama, Louisiana, Mississippi, South Carolina and Tennessee. In all seven of these states, the federal minimum wage of $7.25 per hour applies.
What is the difference between cost of living and standard of living?
The main difference between the cost of living and standard of living is, the cost of living denotes the cost required to pay to live a life with comfortable basic requirements whereas the standard of living means the lifestyle that a place can provide.
What is a living wage in each state?
California Living wage for a household with: One adult: $18.66 per hour. Two working adults: $15.13 per hour (per adult) Two working adults and two children: $27.08 per hour (per adult)
What does the federal minimum wage mean?
The federal minimum wage of $7.25 per hour applies to states with no set minimum wage, and to most workers in states with lower minimum wages. Specifically, those working for employers subject to the Fair Labor Standards Act.
How many states have the same minimum wage rate as the federal rate?
Summary. Currently, 29 states and D.C. have minimum wages above the federal minimum wage of $7.25 per hour. Five states have not adopted a state minimum wage: Alabama, Louisiana, Mississippi, South Carolina and Tennessee. Two states, Georgia and Wyoming, have a minimum wage below $7.25 per hour.
Is the minimum wage higher than the cost of living?
While 29 states have established a minimum wage higher than the current federal rate, when you compare minimum wage to cost of living, only one state has a minimum wage higher than the living wage for a single individual. Add one additional person to that family, and not a single state ensures a minimum wage that would cover the cost of living.
Is the federal government going to raise minimum wage?
As the federal government remains stalled, individual states are moving forward. California was the first state to raise the minimum to $15 an hour (by 2023). In states with their own minimum wage laws, workers have a right to the higher of the two established wages.
What does a $15 minimum wage mean to you?
The American Enterprise Institute calculated what a federal $15 minimum wage effectively amounts to in each state. By indexing each state to DC’s cost of living (which happens to be the highest in the nation), a $15 minimum wage translates to a remarkably higher wage in most states.
Should the federal minimum wage be one-size-fits-all?
There are countless fundamental differences within our economy that a one-size-fits-all federal minimum wage can never take into account. Martha Njolomole is an Economist at the Center of the American Experiment, with a Master of Arts Degree in Economics from Troy University.