The current minimum wage nationwide is $7.25. The highest generalized minimum wage in the United States is $17.00 in the Washington District of Columbia. The highest food service minimum wage nationwide is in California—a state with a notoriously high cost of living—with $20 an hour. Even in the best conditions, including those of a budgeted lifestyle, the minimum wage cannot feasibly afford the average cost of living, which sits at a near minimum of over $2,000 a month.

Many have seen the graph of wages compared to the cost of living, which has been circulating around the Internet this past year. The regression line for home price increases exponentially faster than the regression line for income. Our parents tell us to step into the real world, yet even after hours of work with equal pay distribution—no compensation or punishment for harder or lax work—the issue persists. It’s time to raise the wage and make it easier to live.

Minimum wage has not always been an issue. The cost of living was more manageable forty years ago: roughly 24% of young adults’ monthly income was spent on rent. Today, that same budget is past 30%. Low rates, such as those in the 1980s, save tenants hundreds by giving them a roof over their heads and allowing more ease of spending on other essentials, such as food and mobility, alongside their wants, like entertainment and furnishing.

While going to a college and obtaining a well-rounded education can provide a better path through higher salary work opportunities, college lands students in tribulating money management issues, with years of student debt following graduation. Undergraduates will pay off over $25,000 in debt, with graduate students paying even more, with around $70,000 in debt, if not more.
Raising the minimum wage would also result in more job security. An employee working with a company that pays a subpar hourly wage would gravitate towards higher-paying companies, thus leading them to switch places of employment regularly. This leads to less time working (more time spent training and searching) and less reliability within the workplace. Further, no person is going to want to work a low-wage job. However, this leads to situations where low-wage jobs are all that some people can find since higher-paying jobs become more selective.

The money to pay these workers is there; it’s in the millions of dollars being funneled from sales towards the corporation instead of the people helping the corporation stay intact. In capitalist America, profit margins for dominant corporations tend to trump the priority of staff salaries.

Not only do big corporations lead to competition among small business niches, but they also contribute to inflation rates, directly hurting the economy in the hands of the people by reducing purchasing power—the quantity of a product or service your currency can get you. Additionally, money that could be spent on employee wages and amenities is frequently put towards interest groups, which lobby politicians’ campaigns, creating a political society based on the money. The minimum wage and political participation go hand-in-hand, and if this trend continues, it will lead to America becoming more of a plutocracy than it already is.

With an uncertain economy like America’s, it’s important to stay educated on what your labor entails, consider your value within the company, and make informed decisions based on national economics. It’s also important to know your rights as an employee and when and how to speak up against any salary-based issues that may come your way. Financial literacy is decreasing with each generation; however, the power is in your hands to advocate for your comfort and survival. Until the minimum wage changes, the average American citizen must fight for a place to call home.