When adjusted for inflation, the 2024 federal minimum wage in the United States is over 40 percent lower than the minimum wage in 1970. Although the real dollar minimum wage in 1970 was only 1.60 U.S. dollars, when expressed in nominal 2024 dollars this increases to 13.05 U.S. dollars. This is a significant difference from the federal minimum wage in 2024 of 7.25 U.S. dollars.

In March 2025, inflation amounted to 2.4 percent, while wages grew by 4.3 percent. The inflation rate has not exceeded the rate of wage growth since January 2023. Inflation in 2022 The high rates of inflation in 2022 meant that the real terms value of American wages took a hit. Many Americans report feelings of concern over the economy and a worsening of their financial situation. The inflation situation in the United States is one that was experienced globally in 2022, mainly due to COVID-19 related supply chain constraints and disruption due to the Russian invasion of Ukraine. The monthly inflation rate for the U.S. reached a 40-year high in June 2022 at 9.1 percent, and annual inflation for 2022 reached eight percent. Without appropriate wage increases, Americans will continue to see a decline in their purchasing power. Wages in the U.S. Despite the level of wage growth reaching 6.7 percent in the summer of 2022, it has not been enough to curb the impact of even higher inflation rates. The federally mandated minimum wage in the United States has not increased since 2009, meaning that individuals working minimum wage jobs have taken a real terms pay cut for the last twelve years. There are discrepancies between states - the minimum wage in California can be as high as 15.50 U.S. dollars per hour, while a business in Oklahoma may be as low as two U.S. dollars per hour. However, even the higher wage rates in states like California and Washington may be lacking - one analysis found that if minimum wage had kept up with productivity, the minimum hourly wage in the U.S. should have been 22.88 dollars per hour in 2021. Additionally, the impact of decreased purchasing power due to inflation will impact different parts of society in different ways with stark contrast in average wages due to both gender and race.

Graph and download economic data for Federal Minimum Hourly Wage for Nonfarm Workers for the United States (FEDMINNFRWG) from Oct 1938 to Jun 2025 about per hour, minimum wage, nonfarm, workers, hours, federal, wages, and USA.

This statistic presents the nominal and real value of the statutory minimum wage in the United States from 1938 to 2013, in 2013 U.S. dollars. In 1938, the minimum wage was 0.25 U.S. dollars per hour, the equivalent of 4.06 U.S. dollars in 2013 terms. The real value of the minimum wage peaked in 1968 when minimum wage workers earned 1.60 U.S. dollars per hour, the equivalent of 10.69 U.S. dollars in 2013 terms.

This statistic shows the real hourly minimum wage in the United States from 2001 to 2022 (in PPP U.S. dollars). In the United States in 2022, the real minimum wage was *** U.S. dollars per hour.

Analysis of ‘US Minimum Wage by State from 1968 to 2020’ provided by Analyst-2 (analyst-2.ai), based on source dataset retrieved from https://www.kaggle.com/lislejoem/us-minimum-wage-by-state-from-1968-to-2017 on 12 November 2021.

--- Dataset description provided by original source is as follows ---

US Minimum Wage by State from 1968 to 2020

The Basics

• What is this? In the United States, states and the federal government set minimum hourly pay ("minimum wage") that workers can receive to ensure that citizens experience a minimum quality of life. This dataset provides the minimum wage data set by each state and the federal government from 1968 to 2020.

• Why did you put this together? While looking online for a clean dataset for minimum wage data by state, I was having trouble finding one. I decided to create one myself and provide it to the community.

• Who do we thank for this data? The United States Department of Labor compiles a table of this data on their website. I took the time to clean it up and provide it here for you. :) The GitHub repository (with R Code for the cleaning process) can be found here!

Content

This is a cleaned dataset of US state and federal minimum wages from 1968 to 2020 (including 2020 equivalency values). The data was scraped from the United States Department of Labor's table of minimum wage by state.

Description of Data

The values in the dataset are as follows: - Year: The year of the data. All minimum wage values are as of January 1 except 1968 and 1969, which are as of February 1. - State: The state or territory of the data. - State.Minimum.Wage: The actual State's minimum wage on January 1 of Year. - State.Minimum.Wage.2020.Dollars: The State.Minimum.Wage in 2020 dollars. - Federal.Minimum.Wage: The federal minimum wage on January 1 of Year. - Federal.Minimum.Wage.2020.Dollars: The Federal.Minimum.Wage in 2020 dollars. - Effective.Minimum.Wage: The minimum wage that is enforced in State on January 1 of Year. Because the federal minimum wage takes effect if the State's minimum wage is lower than the federal minimum wage, this is the higher of the two. - Effective.Minimum.Wage.2020.Dollars: The Effective.Minimum.Wage in 2020 dollars. - CPI.Average: The average value of the Consumer Price Index in Year. When I pulled the data from the Bureau of Labor Statistics, I selected the dataset with "all items in U.S. city average, all urban consumers, not seasonally adjusted". - Department.Of.Labor.Uncleaned.Data: The unclean, scraped value from the Department of Labor's website. - Department.Of.Labor.Cleaned.Low.Value: The State's lowest enforced minimum wage on January 1 of Year. If there is only one minimum wage, this and the value for Department.Of.Labor.Cleaned.High.Value are identical. (Some states enforce different minimum wage laws depending on the size of the business. In states where this is the case, generally, smaller businesses have slightly lower minimum wage requirements.) - Department.Of.Labor.Cleaned.Low.Value.2020.Dollars: The Department.Of.Labor.Cleaned.Low.Value in 2020 dollars. - Department.Of.Labor.Cleaned.High.Value: The State's higher enforced minimum wage on January 1 of Year. If there is only one minimum wage, this and the value for Department.Of.Labor.Cleaned.Low.Value are identical. - Department.Of.Labor.Cleaned.High.Value.2020.Dollars: The Department.Of.Labor.Cleaned.High.Value in 2020 dollars. - Footnote: The footnote provided on the Department of Labor's website. See more below.

Data Footnotes

As laws differ significantly from territory to territory, especially relating to whom is protected by minimum wage laws, the following footnotes are located throughout the data in Footnote to add more context to the minimum wage. The original footnotes can be found here.

--- Original source retains full ownership of the source dataset ---

Wages in the United States increased 4.72 percent in May of 2025 over the same month in the previous year. This dataset provides the latest reported value for - United States Wages and Salaries Growth - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

In 2023, the usual median hourly rate of a worker's wage in the United States was 19.24 U.S. dollars, a decrease from the previous year. Dollar value is based on 2023 U.S. dollars. In 1979, the median hourly earnings in the U.S. was 17.48 dollars.

In 2022, France had the highest real minimum wage at **** U.S. dollars an hour out of all the OECD countries, once adjusted for purchasing power parity. Australia and Luxembourg followed behind at **** dollars per hour. On the other hand, the minimum wage in Malta was only *** dollars per hour.

Wages in the United States increased to 31.24 USD/Hour in June from 31.15 USD/Hour in May of 2025. This dataset provides - United States Average Hourly Wages - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Minimum Wages in Russia increased to 22440 RUB/Month in 2025 from 19242 RUB/Month in 2024. This dataset provides - Russia Minimum Wages- actual values, historical data, forecast, chart, statistics, economic calendar and news.

Wages in China increased to 120698 CNY/Year in 2023 from 114029 CNY/Year in 2022. This dataset provides - China Average Yearly Wages - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Content

Data was pulled from a table in the following Wikipedia article: https://en.wikipedia.org/wiki/List_of_United_States_cities_by_population I used Microsoft Excel's PowerQuery function to pull the table from Wikipedia. Lists each city, its rank (based on 2020 population), some data on its area, and population in both 2020 and 2010.

Living wages are based in US Dollars per hour, assuming 2080 hours worked per year.

In addition, living wage data from http://livingwage.mit.edu I left out the minimum wage from this dataset because it appears the data is somewhat inconsistent, and often falls back on the state minimum where localities can have a higher min wage. I also omitted the poverty wage data because for the most part it seemed to be the same for most areas. One last thing to keep in mind is some cities are grouped up into metropolitan statistical areas, and as a result you will see cities that are near each other have identical data.

Banner image source: https://unsplash.com/photos/wh-7GeXxItI

How well does public policy represent mass preferences in U.S. states? Current approaches provide an incomplete account of statehouse democracy because they fail to compare preferences and policies on meaningful scales. Here we overcome this problem by generating estimates of Americans' preferences on the minimum wage and compare them to observed policies both within and across states. Because we measure both preferences and policies on the same scale (U.S. dollars), we can quantify both the association of policy outcomes with preferences across states (responsiveness) and their deviation within states (bias). We demonstrate that while minimum wages respond to corresponding preferences across states, policy outcomes are more conservative than preferences in each state, with the average policy bias amounting to about two dollars. We also show that policy bias is substantially smaller in states with access to direct democratic institutions.

Costa Rica is the country with the highest minimum monthly wage in Latin America. According to the minimum salary established by law as of January 2025, workers in the Central American country enjoy a basic monthly wage of over 726 U.S. dollars, an increase of 2.37 percent compared to the previous year. They also earn over 200 U.S. dollars more than the second place, Uruguay. On the other side of the spectrum is Venezuela, where employees are only guaranteed by law a minimum salary of 130 bolívares or little more than 2.50 dollars per month. Can Latin Americans survive on a minimum wage? Even if most countries in Latin America have instated laws to guarantee citizens a basic income, these minimum standards are often not enough to meet household needs. For instance, it was estimated that almost 25 million people in Mexico lacked basic housing services. Salary levels also vary greatly among Latin American economies. In 2020, the average net monthly salary in Mexico was barely higher than Chile's minimum wage in 2021. What can a minimum wage afford in Latin America? Latin American real wages have generally risen in the past decade. However, consumers in this region still struggle to afford non-basic goods, such as tech products. Recent estimates reveal that, in order to buy an iPhone, Brazilian residents would have to work at least two months to be able to pay for it. A gaming console, on the other hand, could easily cost a Latin American worker several minimum wages.

This graph shows average wages around the world in 2012 as calculated by purchasing power parity. In 2012 the highest average wage was earned in Luxembourg at 4,089 purchasing power parity dollars. Wages and salaries Wages and salaries in the United States have increased during the last decades. The median weekly earnings of a full-time wage and salary worker were about 241 U.S. dollars in 1979 and shifted up to 768 U.S. dollars in 2012.

The median earnings of U.S. full-time wage and salary workers vary across their educational attainment. The highest paid workers are those who hold a bachelor’s degree, according to the U.S. Bureau of Labor Statistics.

The U.S. federal government specified minimum wage laws for workers in the United States, which say that workers must be paid no less than the current federal minimum wage. The minimum wage was set at 7.25 U.S. dollars per hour by federal law. The actual minimum wage varies from state to state, as some states have additional minimum wage laws.

For instance, the minimum wage in Washington was around 9.04 U.S. dollars per hour, while the worst minimum wage can be found in Georgia, where workers earn at least 5.15 U.S. dollars per hour. No minimum wages can be found in Tennessee, Alabama, Louisiana, South Carolina and Mississippi, as of January 1, 2012.

The number of workers paid hourly rates with earnings at or below the minimum wage in the U.S. was at its highest in the industry type of leisure and hospitality in 2013.

Recent statistics show that the share of female workers paid hourly rates at or below prevailing federal minimum wage in the United States decreased since 1979. In that year, 20.2 percent of the female wage and salary workers were paid below the federal minimum wage, while only 2.9 percent of the female workers were paid below the federal minimum wage in 2006.

In 2023, the real minimum wage per hour in Japan adjusted for purchasing power parity stood at **** U.S. dollars. Over the span of the past 10 years, the hourly minimum wage adjusted for PPP increased by around one dollar.

The federally mandated minimum wage in the United States is 7.25 U.S. dollars per hour, although the minimum wage varies from state to state. As of January 1, 2025, the District of Columbia had the highest minimum wage in the U.S., at 17.5 U.S. dollars per hour. This was followed by Washington, which had 16.66 U.S. dollars per hour as the state minimum wage. Minimum wage workers Minimum wage jobs are traditionally seen as “starter jobs” in the U.S., or first jobs for teenagers and young adults, and the number of people working minimum wage jobs has decreased from almost four million in 1979 to about 247,000 in 2020. However, the number of workers earning less than minimum wage in 2020 was significantly higher, at about 865,000. Minimum wage jobs Minimum wage jobs are primarily found in food preparation and serving occupations, as well as sales jobs (primarily in retail). Because the minimum wage has not kept up with inflation, nor has it been increased since 2009, it is becoming harder and harder live off of a minimum wage wage job, and for those workers to afford essential things like rent.

Analysis of ‘Living Wage - Top 100 Cities’ provided by Analyst-2 (analyst-2.ai), based on source dataset retrieved from https://www.kaggle.com/brandonconrady/living-wage-top-100-cities on 28 January 2022.

--- Dataset description provided by original source is as follows ---

Content

Data was pulled from a table in the following Wikipedia article: https://en.wikipedia.org/wiki/List_of_United_States_cities_by_population I used Microsoft Excel's PowerQuery function to pull the table from Wikipedia. Lists each city, its rank (based on 2020 population), some data on its area, and population in both 2020 and 2010.

Living wages are based in US Dollars per hour, assuming 2080 hours worked per year.

In addition, living wage data from http://livingwage.mit.edu I left out the minimum wage from this dataset because it appears the data is somewhat inconsistent, and often falls back on the state minimum where localities can have a higher min wage. I also omitted the poverty wage data because for the most part it seemed to be the same for most areas. One last thing to keep in mind is some cities are grouped up into metropolitan statistical areas, and as a result you will see cities that are near each other have identical data.

Banner image source: https://unsplash.com/photos/wh-7GeXxItI

--- Original source retains full ownership of the source dataset ---

Key information about United States Monthly Earnings

• United States Monthly Earnings stood at 4,901 USD in Feb 2025, compared with the previous figure of 4,887 USD in Jan 2025
• US Monthly Earnings data is updated monthly, available from Mar 2006 to Feb 2025, with an average number of 3,469 USD
• The data reached the an all-time high of 4,901 USD in Feb 2025 and a record low of 2,743 USD in Mar 2006

• In the latest reports, US Population reached 341 million people in Dec 2024
• Unemployment Rate of US increased to 4 % in Feb 2025
• The country's Labour Force Participation Rate remained the same rate at 62 % in Feb 2025