Report Reveals Minimum Wage Not Enough to Afford Rent in the US

By: Alyssa Wilson

Americans working full-time at jobs that pay minimum wage cannot afford a two-bedroom apartment in any state, according to the National Low Income Housing Coalition’s “Out of Reach” report. In 93% of U.S. counties, those workers cannot afford even a “modest” one-bedroom apartment.  

REPORT: Activists Fear Biden’s Commitment to Higher Minimum Wage 

Workers would need to earn $24.90 per hour for a one-bedroom rental. The average hourly worker currently earns $18.78 per hour, according to the report. The report said, “Over the course of the last several decades, low-wage workers have struggled to afford their homes in both good and bad economic times, and COVID-inspired changes are unlikely to solve that problem.”  

California has the highest housing wage, with $39.03 needed to be the hourly wage to afford a two-bedroom rental. It is followed by Hawaii, Massachusetts, New York, New Jersey, Washington and Maryland.  

Black and Latino workers are more likely to spend more of their income on rent because they make less on average than white workers, according to CNBC 

The nationwide pause on evictions, put in place by the Centers for Disease Control and Prevention, is set to end July 31. The coalition that produced the report is urging the government to make sure COVID-19 emergency rental assistance programs continue to help those with the greatest needs. It is also calling for legislatures to create permanent, universal rental assistance for eligible households, to invest in affordable housing, and implement stronger laws to protect renters.  

RELATED: SCOTUS Leaves CDC Eviction Moratorium in Place  

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