With decades-high inflation eroding incomes, Washington state’s Department of Labor and Industries recently announced plans to hike the minimum wage. The state – home to some of the most worker-friendly policies in the country – has tied its minimum wage to the consumer price index, which climbed 8.7% in the past year as inflation soared. (Here is a look at the worst states for working people.)
Washington’s current minimum wage of $14.49 an hour is already the highest of any state – and it is set to rise by $1.25 in January 2023 to $15.74. The increase will come as a welcome relief for many workers in the state, but it still falls short of offering those in minimum wage jobs the ability to achieve a basic standard of living – particularly those with families to support.
According to a study published by the Massachusetts Institute of Technology, a working adult in Washington state would need an hourly wage of $37.66 to support a family of four. The mismatch between the income working families need and what the law requires employers to pay is far more pronounced in most states.
24/7 Wall St. reviewed the minimum wage in every state and the hourly wage necessary to support a family of four, based on MIT’s Living Wage Calculator. States are ranked by minimum wage and ordered alphabetically if there are ties.
The federal minimum wage – and the minimum wage in 20 states – stands at $7.25 an hour. The minimum wage is $13 per hour or higher In just over half a dozen states, which are located exclusively in the Northeast and along the West Coast.
While a higher minimum wage can raise people out of poverty and offer a higher standard of living, some economists argue it also comes with some drawbacks.
If employers are forced to pay their workers more, they may not be able to afford to hire as many workers, which could result in job losses and, theoretically, drive up unemployment. In four of the five states with the highest minimum wages, the August unemployment rate exceeded the 3.7% national rate. Meanwhile, 14 of the 20 states with a minimum wage of $7.25 (federal minimum wage) have a lower than average jobless rate. (Here is a look at the states where job openings are disappearing right now.)
Click here to see the states with the highest minimum wage.
Click here to read our detailed methodology.
50. Alabama
> Minimum hourly wage: $7.25 (Federal minimum wage)
> Est. hourly wage needed for a family of four: $35.02 — 10th lowest
> Unemployment rate, Aug 2022: 2.9% — 13th lowest
> Total population: 5,039,877 — 24th highest
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49. Georgia
> Minimum hourly wage: $7.25 (Federal minimum wage)
> Est. hourly wage needed for a family of four: $36.80 — 21st lowest
> Unemployment rate, Aug 2022: 3.1% — 18th lowest
> Total population: 10,799,566 — 8th highest
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48. Mississippi
> Minimum hourly wage: $7.25 (Federal minimum wage)
> Est. hourly wage needed for a family of four: $35.67 — 12th lowest
> Unemployment rate, Aug 2022: 3.8% — 19th highest
> Total population: 2,949,965 — 17th lowest
47. Louisiana
> Minimum hourly wage: $7.25 (Federal minimum wage)
> Est. hourly wage needed for a family of four: $36.96 — 24th lowest
> Unemployment rate, Aug 2022: 3.8% — 19th highest
> Total population: 4,624,047 — 25th highest
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46. South Carolina
> Minimum hourly wage: $7.25 (Federal minimum wage)
> Est. hourly wage needed for a family of four: $37.61 — 20th highest
> Unemployment rate, Aug 2022: 3.2% — 20th lowest
> Total population: 5,190,705 — 23rd highest
45. Tennessee
> Minimum hourly wage: $7.25 (Federal minimum wage)
> Est. hourly wage needed for a family of four: $33.17 — the lowest
> Unemployment rate, Aug 2022: 3.5% — 24th highest
> Total population: 6,975,218 — 16th highest
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44. Wyoming
> Minimum hourly wage: $7.25 (Federal minimum wage)
> Est. hourly wage needed for a family of four: $33.88 — 3rd lowest
> Unemployment rate, Aug 2022: 3.1% — 18th lowest
> Total population: 578,803 — the lowest
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43. Idaho
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $36.99 — 25th lowest
> Unemployment rate, Aug 2022: 2.7% — 9th lowest
> Total population: 1,900,923 — 13th lowest
42. Indiana
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $34.73 — 5th lowest
> Unemployment rate, Aug 2022: 3.1% — 18th lowest
> Total population: 6,805,985 — 17th highest
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41. Iowa
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $37.87 — 17th highest
> Unemployment rate, Aug 2022: 2.9% — 13th lowest
> Total population: 3,193,079 — 20th lowest
40. Kansas
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $37.45 — 21st highest
> Unemployment rate, Aug 2022: 3.1% — 18th lowest
> Total population: 2,934,582 — 16th lowest
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39. Kentucky
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $34.49 — 4th lowest
> Unemployment rate, Aug 2022: 3.7% — 21st highest
> Total population: 4,509,394 — 25th lowest
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38. New Hampshire
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $37.04 — 25th highest
> Unemployment rate, Aug 2022: 2.3% — 6th lowest
> Total population: 1,388,992 — 10th lowest
37. North Carolina
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $36.37 — 17th lowest
> Unemployment rate, Aug 2022: 3.9% — 17th highest
> Total population: 10,551,162 — 9th highest
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36. North Dakota
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $34.94 — 9th lowest
> Unemployment rate, Aug 2022: 2.2% — 5th lowest
> Total population: 774,948 — 4th lowest
35. Oklahoma
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $35.47 — 11th lowest
> Unemployment rate, Aug 2022: 3.4% — 23rd lowest
> Total population: 3,986,639 — 23rd lowest
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34. Pennsylvania
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $36.34 — 16th lowest
> Unemployment rate, Aug 2022: 4.8% — 3rd highest
> Total population: 12,964,056 — 5th highest
33. Texas
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $35.75 — 13th lowest
> Unemployment rate, Aug 2022: 4.2% — 12th highest
> Total population: 29,527,941 — 2nd highest
32. Utah
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $36.86 — 22nd lowest
> Unemployment rate, Aug 2022: 2.1% — 3rd lowest
> Total population: 3,337,975 — 21st lowest
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31. Wisconsin
> Minimum hourly wage: $7.25
> Est. hourly wage needed for a family of four: $36.34 — 16th lowest
> Unemployment rate, Aug 2022: 3.3% — 22nd lowest
> Total population: 5,895,908 — 20th highest
30. West Virginia
> Minimum hourly wage: $8.75
> Est. hourly wage needed for a family of four: $34.88 — 8th lowest
> Unemployment rate, Aug 2022: 4.3% — 8th highest
> Total population: 1,782,959 — 12th lowest
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29. Nebraska
> Minimum hourly wage: $9.00
> Est. hourly wage needed for a family of four: $37.36 — 22nd highest
> Unemployment rate, Aug 2022: 2.2% — 5th lowest
> Total population: 1,963,692 — 14th lowest
28. Montana
> Minimum hourly wage: $9.20
> Est. hourly wage needed for a family of four: $36.92 — 23rd lowest
> Unemployment rate, Aug 2022: 2.6% — 8th lowest
> Total population: 1,104,271 — 8th lowest
27. Ohio
> Minimum hourly wage: $9.30
> Est. hourly wage needed for a family of four: $34.83 — 7th lowest
> Unemployment rate, Aug 2022: 4.3% — 8th highest
> Total population: 11,780,017 — 7th highest
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26. Michigan
> Minimum hourly wage: $9.87
> Est. hourly wage needed for a family of four: $35.94 — 14th lowest
> Unemployment rate, Aug 2022: 4.0% — 16th highest
> Total population: 10,050,811 — 10th highest
25. South Dakota
> Minimum hourly wage: $9.95
> Est. hourly wage needed for a family of four: $33.83 — 2nd lowest
> Unemployment rate, Aug 2022: 2.4% — 7th lowest
> Total population: 895,376 — 5th lowest
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24. Florida
> Minimum hourly wage: $10.00
> Est. hourly wage needed for a family of four: $37.25 — 23rd highest
> Unemployment rate, Aug 2022: 2.8% — 10th lowest
> Total population: 21,781,128 — 3rd highest
23. Hawaii
> Minimum hourly wage: $10.10
> Est. hourly wage needed for a family of four: $45.71 — 2nd highest
> Unemployment rate, Aug 2022: 3.6% — 23rd highest
> Total population: 1,441,553 — 11th lowest
22. Minnesota
> Minimum hourly wage: $10.33
> Est. hourly wage needed for a family of four: $38.90 — 14th highest
> Unemployment rate, Aug 2022: 2.1% — 3rd lowest
> Total population: 5,707,390 — 22nd highest
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21. Alaska
> Minimum hourly wage: $10.34
> Est. hourly wage needed for a family of four: $36.40 — 18th lowest
> Unemployment rate, Aug 2022: 3.5% — 24th highest
> Total population: 732,673 — 3rd lowest
20. Delaware
> Minimum hourly wage: $10.50
> Est. hourly wage needed for a family of four: $38.93 — 13th highest
> Unemployment rate, Aug 2022: 4.6% — 5th highest
> Total population: 1,003,384 — 6th lowest
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19. Nevada
> Minimum hourly wage: $10.50
> Est. hourly wage needed for a family of four: $36.58 — 19th lowest
> Unemployment rate, Aug 2022: 5.2% — the highest
> Total population: 3,143,991 — 19th lowest
18. Arkansas
> Minimum hourly wage: $11.00
> Est. hourly wage needed for a family of four: $34.81 — 6th lowest
> Unemployment rate, Aug 2022: 3.5% — 24th highest
> Total population: 3,025,891 — 18th lowest
17. Virginia
> Minimum hourly wage: $11.00
> Est. hourly wage needed for a family of four: $39.18 — 11th highest
> Unemployment rate, Aug 2022: 3.2% — 20th lowest
> Total population: 8,642,274 — 12th highest
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16. Missouri
> Minimum hourly wage: $11.15
> Est. hourly wage needed for a family of four: $37.10 — 24th highest
> Unemployment rate, Aug 2022: 3.0% — 14th lowest
> Total population: 6,168,187 — 18th highest
15. New Mexico
> Minimum hourly wage: $11.50
> Est. hourly wage needed for a family of four: $36.61 — 20th lowest
> Unemployment rate, Aug 2022: 4.4% — 6th highest
> Total population: 2,115,877 — 15th lowest
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14. Illinois
> Minimum hourly wage: $12.00
> Est. hourly wage needed for a family of four: $38.42 — 15th highest
> Unemployment rate, Aug 2022: 4.8% — 3rd highest
> Total population: 12,671,469 — 6th highest
13. Rhode Island
> Minimum hourly wage: $12.25
> Est. hourly wage needed for a family of four: $38.11 — 16th highest
> Unemployment rate, Aug 2022: 3.9% — 17th highest
> Total population: 1,095,610 — 7th lowest
12. Maryland
> Minimum hourly wage: $12.50
> Est. hourly wage needed for a family of four: $40.40 — 8th highest
> Unemployment rate, Aug 2022: 4.4% — 6th highest
> Total population: 6,165,129 — 19th highest
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11. Vermont
> Minimum hourly wage: $12.55
> Est. hourly wage needed for a family of four: $39.53 — 10th highest
> Unemployment rate, Aug 2022: 2.0% — the lowest
> Total population: 645,570 — 2nd lowest
10. Colorado
> Minimum hourly wage: $12.56
> Est. hourly wage needed for a family of four: $40.11 — 9th highest
> Unemployment rate, Aug 2022: 3.3% — 22nd lowest
> Total population: 5,812,069 — 21st highest
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9. Maine
> Minimum hourly wage: $12.75
> Est. hourly wage needed for a family of four: $39.06 — 12th highest
> Unemployment rate, Aug 2022: 2.9% — 13th lowest
> Total population: 1,372,247 — 9th lowest
8. Arizona
> Minimum hourly wage: $12.80
> Est. hourly wage needed for a family of four: $37.82 — 18th highest
> Unemployment rate, Aug 2022: 4.2% — 12th highest
> Total population: 7,276,316 — 14th highest
7. New Jersey
> Minimum hourly wage: $13.00
> Est. hourly wage needed for a family of four: $43.44 — 4th highest
> Unemployment rate, Aug 2022: 3.7% — 21st highest
> Total population: 9,267,130 — 11th highest
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6. New York
> Minimum hourly wage: $13.20
> Est. hourly wage needed for a family of four: $43.10 — 5th highest
> Unemployment rate, Aug 2022: 4.9% — 2nd highest
> Total population: 19,835,913 — 4th highest
5. Oregon
> Minimum hourly wage: $13.50
> Est. hourly wage needed for a family of four: $41.36 — 6th highest
> Unemployment rate, Aug 2022: 4.3% — 8th highest
> Total population: 4,246,155 — 24th lowest
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4. California
> Minimum hourly wage: $14.00
> Est. hourly wage needed for a family of four: $46.75 — the highest
> Unemployment rate, Aug 2022: 4.1% — 14th highest
> Total population: 39,237,836 — the highest
3. Connecticut
> Minimum hourly wage: $14.00
> Est. hourly wage needed for a family of four: $40.76 — 7th highest
> Unemployment rate, Aug 2022: 4.3% — 8th highest
> Total population: 3,605,597 — 22nd lowest
2. Massachusetts
> Minimum hourly wage: $14.25
> Est. hourly wage needed for a family of four: $43.77 — 3rd highest
> Unemployment rate, Aug 2022: 3.5% — 24th highest
> Total population: 6,984,723 — 15th highest
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1. Washington
> Minimum hourly wage: $14.49
> Est. hourly wage needed for a family of four: $37.66 — 19th highest
> Unemployment rate, Aug 2022: 4.1% — 14th highest
> Total population: 7,738,692 — 13th highest
Methodology
To identify the minimum wage in every state, 24/7 Wall St. reviewed the minimum wage in each state as of July 1, 2022 from the United States Department of Labor. The living wage for each state comes from the MIT Living Wage Calculator and represents the hourly wage necessary for a single working adult to support two children and another adult, meeting a basic standard of living.
The seasonally adjusted unemployment rate for August 2022 is from the Bureau of Labor Statistics. Population figures are one-year estimates from the U.S. Census Bureau’s 2021 American Community Survey.
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