The Effects Of Minimum Wage On The United States Of America

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The low minimum wage in the United States of America is 7.25 dollars an hour, which did not keep up with the inflation rate in the States. Families dependent on the minimum wage not making enough money to support themselves. Increasing the minimum raise to 10.50 dollars would decrease the government spending on welfare, family income being boost, and putting more money in the economy. Minimum wage is the minimum hourly payed for an employee which was established in 1938. The Fair Labor Standards Act started with a rate of twenty-five cents per hour which in today would equal four dollars. The minimum wage has been raised twenty-two by Congress since 1938. However, the minimum wage has not been raised since 2009 since President Obama took office. Around 3.3 percent or 2,561,000 workers in America earns minimum wage. Families dependent on minimum cannot afford the essentials for their living. Families working a minimum wage job and can barely keep their lights on “The annual income of a full time minimum wage worker is almost the same as the poverty threshold for a family is almost the same as the poverty threshold for a family of two- in other words, minimum wage workers are barely able to support their families”. The poverty line of 15,952 and the annual salary of minimum wage15,080, annual. Family cannot support themselves with their housing, food, or clothing. Raising the minimum wage would boost the average income above the poverty line. The average family dependent on the minimum wage would have more money to afford the necessary essentials. With the minimum wage raising to 10.50 dollars would boost over 300,000 people out of poverty. Cause the standard of living of the people living on the minimum wage. More people out ... ... middle of paper ... ...axpayers money… Minimum-wage increases redistribute the income of low-skilled workers, helping some, hurting others,” Mr. Sabia said, and added that there’s scant evidence minimum-wage boosts reduce welfare caseloads or public spending on needs-based public programs.” The low wage workings income raising which allow them to support themselves and not relying on the government support. The government to save on welfare because the higher increase of minimum wages which allows the taxpayers to save on money. The government increase in the minimum wage would help the people within the States. The boost of the economy with the more money going into the economy which will create more jobs because of the increase of income within the average family household to get above the poverty line. The government saving money on welfare without people relying on welfare to survive.

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