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By Lucy Notarantonio
Senior Reporter
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The federal minimum wage in America hasn't changed in over a decade, so it's no wonder a photo of it has quickly gone viral on Reddit.
Racking up 33,000 upvotes in less than 24 hours, the post shared by u/No_Pianist3260 shows a five-dollar bill, two separate dollars, and a quarter—equaling $7.25, which has been the federal minimum wage per hour effective July 24, 2009.
The 26-year-old poster said: "For consideration, this is $7.25. For even further consideration, the average Big Mac Meal from McDonald's (at least in Texas) is $9.29."
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Newsweek reached out to careers expert David Rice to find out how workers survive on minimum wage in high-cost-of-living areas.
"The reality is, by the time these folks pay for water, electric, rent, transportation and food in most high cost of living areas, there isn't much left if there is anything left at all," said Rice, who is the senior editor for the People Managing People podcast, aimed at managers and culture creators who want to lead better.
Statista reports wage growth reaching 7.7 percent in the summer of 2022, but the website states "it has not been enough to curb the impact of even higher inflation rates."
Inflation in the United States reached a 40-year high of 9.1 percent in June 2022, affecting workers in minimum-wage jobs across sectors like hospitality, retail, and education. According to Statista, some manufacturing workers reportedly earn below the federally mandated minimum wage, further highlighting the strain on low-income earners.
One user pointed out: "True this is the federal minimum wage but most states have much higher minimum wage laws. It's better for the states to have power like that since the cost of living varies so much across the U.S."
Approximately 0.05 percent of the 161 million employed individuals in the United States earn the federal minimum wage of $7.25 per hour, according to the U.S. Bureau of Labor Statistics.
But that hasn't stopped over 3,000 Reddit users from commenting on the post.
"It takes two hours of min wage work to buy the lunch you get a 1/2 hour to eat," said one user.
"When I got my first job in the mid-80s, the minimum wage was $3.35. It is beyond wild to me that in nearly 40 years it has gone up less than $4 an hour," shared another, and a third user replied, "Did it really even go up though? What was 3.35$ worth in the 80s? Edit: quick Google tells me 3.35$ in 1980 was worth 12.83$."
"Let's not forget that states like Texas, Oklahoma, Utah, and North Carolina (and more) still allow 'server wage' at $2.13/hr because tips compensate for the difference," said a fourth user.
"Minimum wage is a starting wage. It's not intended for you to live on. It's intended to get you in the door while you learn a skill," said a fifth user.
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3 Tips to Help Minimum-Wage Workers Upskill
Rice has provided the following strategies for minimum-wage workers to upskill and transition into higher-paying roles:
- Take any sort of training they will offer you. In low-wage roles, the biggest thing you can establish to make yourself more valuable to the business is a reputation built on reliability and a good work ethic.
- **Look for any sort of free education you can get—**whether it's applying for grants or taking free coursework, or getting licensed to use a piece of equipment through your employer, adding to your repertoire of qualifications shows your intention to grow.
- If the organization doesn't value it, leave and go to a place that does. One thing about minimum wage jobs is that you shouldn't waste too much time trying to prove yourself. Get what you need to show you're growing professionally and if they don't value it, go on to someone else who might pay you more than the minimum or at least help you continue to grow.
Newsweek reached out to u/No_Pianist3260 for comment. We could not verify the details of the case.
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