Minimum Wages in USA 2024-2025: State-wise Comparison

The Federal Minimum Wage is enforced by the United States Department of Labour (DOL). The Fair Labour Standards Act (FLSA) requires all employers in the United States to pay their employees a set minimum wage of USD 7.25 (599) per hour.

Aside from the established national rate, states can authorise their minimum wage rates. This must, however, be greater than the Federal Minimum Wage of USD 7.25 (INR 599). The reasoning behind this is that different states usually set a minimum pay or a basic salary representing the cost of living in that specific location. Generally, the states with higher cost of living tend to have higher minimum wages.

In addition to the state-level minimum wage, cities may also choose to raise their minimum wage per hour in USA to meet their needs. Seattle has a minimum pay rate of USD 18.69 (INR 1,545) per hour, New York City has a minimum wage rate of USD 15 (INR 1,240), and Sunnyvale has a minimum wage rate of USD 17.95 (INR 1,484) per hour.

Here are some of the latest updates related to Minimum wages in the USA that have been introduced recently.

• More than 20 states, including New York, Massachusetts, and New Jersey, have announced increases in the minimum wage for 2024. In other places, like Florida and Maryland, the rate is expected to rise again in 2025. 

• The Florida minimum wage is set to rise to USD 12.00 (INR 992) by September 30, 2024.

• California's minimum wage has been raised to USD 15.50 (1,281) per hour by 2024. The rate is slated to rise again next year, beginning on January 1, 2025. California's new hourly wage would be USD 16.00 (INR 1,323).

• Several states in the United States have approved laws to attain a minimum wage of USD 15 (INR 1,240) by 2024 and beyond. Some of the states are New Jersey (by 2025), Maryland (by 2025), and Florida (by 2026).

• Nevada has decided that the minimum wage will be raised to USD 12.00 (INR 992) from USD 11.25 (INR 930) on July 1, 2025. 

• Maryland's basic minimum wage of USD 13.25 (INR 1,095) is set to rise to USD 15.00 (INR 1,240) on January 1, 2025.

Minimum wage or basic pay jobs in the United States are traditionally viewed as "starter jobs" that help you get started in the country. It is also known as the first job for teenagers and young adults in the United States and pays a basic salary. In the United States, the majority of minimum-wage jobs are in food preparation, serving occupations, and sales. They are the most basic jobs, with the lowest pay for their services.

Since the proclamation of minimum wages in the United States, the list of minimum wage jobs that get basic income has grown yearly. According to the National Occupational Employment and Wage Estimates, the least-paid occupational sectors are as follows. 

• Gaming Dealers

• Combined food preparation and serving workers

• Waiters and waitresses

• Cafeteria attendants and bartender helpers

• Cooks

According to federal law, a student working full-time for a university, whether in a retail store, a service institution, or elsewhere, cannot be paid less than 85% of the minimum wage in the United States. However, full-time students are not permitted to work more than eight hours per day or more than 20 hours per week. You can work 40 hours per week when school is closed.

Moreover, when you graduate or leave school after finishing your education, you must be paid the same as any other worker, USD 7.25 per hour.

During the first three months of probation, workers under the age of 20 might be paid USD 4.25 (INR 351) per hour. After this period, or if you reach the age of 20, your employer must change your pay structure to the amount recommended by the federal minimum wage in the United States.

It is an excellent opportunity for international students pursuing their bachelor’s degree in the USA as they can do part-time jobs and get the minimum wages.

State minimum wage rates are primarily determined by the legislative activity of each particular state. In the table below, we have discussed the minimum wages in each city in the USA.

The following states have maintained their minimum wage unchanged from the federal minimum wage of USD 7.25 (~INR 599) per hour. 

• Alabama

• Georgia 

• Idaho

• Indiana

• Lowa

• Kansas

• Kentucky

• Louisiana 

• Mississippi

• New Hampshire 

• North Carolina

• North Dakota

• Oklahoma

• Pennsylvania

• South Carolina

• Tennessee

• Texas

• Utah

• Wisconsin

• Wyoming

In conclusion, the minimum wage landscape in the USA for 2024 holds profound implications, especially for international students. As discussions surrounding fair pay intensify, these students find themselves at the intersection of economic policies and educational pursuits. Moreover, as an international student in the USA, you must be aware that you are being paid enough and fair for your part-time jobs.

If you would like to get a deeper understanding of part-time jobs and minimum wages in USA, then we encourage you to have a word with our team of expert counsellors at Meridean Overseas Education Consultants (MOEC). If you are unable to travel to our offices, we offer online counselling services via our website. Our dedicated counsellors will provide you with the best guidance regarding your application to study in USA. Apart from this, our expert counsellors will also provide assistance in the visa process for your successful study abroad journey. Don't hesitate to contact us at application02@meridean.org or call us at 1800-1230-00011.

Q: Is minimum wage applicable to foreign students?

A: Yes, the minimum wage in the United States also applies to international students. According to federal law, a student cannot be paid less than at least 85% of the minimum wage in the United States. However, you will not be paid the minimum wage of USD 7.25 per hour until you graduate or complete your education.

Q: Can international students live with minimum wages in USA?

A: The minimum wage in the United States is the lowest amount an employer can pay you. This is not the same as the living wage in the United States. As a result, living in the United States on the minimum wage is challenging. However, your professional abilities and experience may enable you to earn a higher wage and allow you to cover your cost of living.

Q: What do I do if I do not receive the minimum wage in USA?

A: According to the Fair Labour Standards Act (FLSA), all workers in the United States are entitled to the government-determined minimum wage. If your employer fails to pay you the minimum wage in your state, you may submit a complaint to the Department of Labor's Wage and Hour Division.

Q: Which city has the highest minimum wage in USA?

A: West Hollywood currently has the highest minimum wage in the United States. The hourly wage is USD 19.08. Other cities with higher minimum wage rates than their states include Seattle, which has a rate of USD 18.69 per hour; New York City, which has a rate of USD 15; and Sunnyvale, which has a rate of USD 17.95 per hour.