10 Cities Where Earning Minimum Wage Just Doesn’t Cut It Anymore
The minimum wage debate has been going on for years. Many believe it’s not enough to live on, while others say minimum wage jobs are meant for entry-level workers and teens.
Yet, there’s an indisputable fact: in many places, you can’t survive on the paltry wage. With rent prices out of control—they’ve skyrocketed since the pandemic—and a stagnant federal minimum wage ($7.25) that hasn’t increased since 2009, it’s just not enough. Add in rising costs across the board on everything from groceries to utilities and you’d be hard-pressed to find any location where minimum-wage workers thrive.
If you find yourself in this situation, it’s best to avoid these cities, according to Clever Real Estate.
1. Atlanta
More than half a million people call Atlanta home. The city is known for it cultural attractions and gorgeous weather most of the year.
You would need 4.38 minimum-wage incomes to afford a one-bedroom apartment, which has a fair market value of $1,653 in this city. Experts recommend you make no less than $31.79.
2. Nashville
A hot tourist attraction for country music lovers, Nashville is also home to more 715,000 people. Living in this city is also on the expensive side.
The fair market price for rentals in Nashville is $1,650 per month, and it would take 4.38 minimum wage incomes to afford it. In fact, you’d need to make $31.73 per hour to comfortably live here.
3. Austin
Nearly 1 million live in Austin, Texas, the live music capital of the world. A major technology hub, it draws people from around the world to live and work. It can be costly to settle here, though.
Like Atlanta and Nashville, it would take 4.38 people making minimum wage to afford a one-bedroom apartment in Austin. The housing would set you back $1,650 per month. It would take an hourly wage of $31.73 to afford.
4. Philadelphia
The City of Brotherly Love is home to more than 1.5 million people. Like major US cities, it has its good and bad areas, though it can be expensive to live here.
In Philadelphia, it would take just over four people making minimum wage to afford a one-bedroom apartment, which has a fair market value of $1,512 per month. To afford this, one would have to make a minimum of $29.08 per hour.
5. Houston
Called the Energy Capital of the World because of its prominent gas and oil sector, Houston is home to more than 2.3 million people.
A one-bedroom apartment in Houston has a fair market value of $1,279, and it would take 3.39 minimum wage salaries to pay for it. A person needs to make $24.60 per hour to live comfortably in the city.
6. Dallas
Another Texas city, over 1.3 million people live in Dallas, where cowboy culture is prominent. It’s quite expensive to live here, as well.
In Dallas, the fair market value of a one-bedroom apartment rental is $1,606 and you would need to make at least $30.88 per hour to afford that. That’s equivalent to 4.26 minimum wage jobs.
7. Raleigh
Nearly 500,000 call Raleigh, North Carolina home. In fact, it’s the second-most populated city in the state. You’ll pay to live here, though.
People looking for a one-bedroom apartment in Raleigh can expect to pay around $1,592 per month. Putting that into perspective, they would need to make around $30.62 per hour, or hold 4.22 minimum wage jobs.
8. Salt Lake City
The smallest location on our list, Salt Lake City has more than 200,000 residents. It draws millions each winter for snowboarding and skiing, and its parks. Those who live here won’t make it on minimum wage.
A one-bedroom apartment in Salt Lake City will set renters back approximately $1,453 per month. In order to afford this, they need to make around $27.94 hourly, or earn 3.85 minimum wage salaries.
9. New Orleans
Like Salt Lake City, millions flock to New Orleans each year for its various events, including Mardi Gras. Over 350,000 actually live here, though.
New Orleans is the cheapest city on our list, but a one-bedroom apartment still costs around $1,236 per month. Unless you make at least $23.77 per hour, or 3.28 times minimum wage, you may find yourself cost-burdened.
10. Charlotte
The most populous city in North Carolina, more than 900,000 call Charlotte home. It’s one of the most expensive cities on our list, setting renters back a pretty penny.
If you’re browsing the real listings in Charlotte, you’ll likely find many one-bedroom apartments around the fair market value of $1,647 monthly. This means you’ll need to make $31.67 per hour or 4.37 times the minimum wage.
Source: Clever Real Estate.
