• July 30, 2021

Exclusive: Rent is out of reach for minimum-wage workers in every state. New study shows how far out of reach

 Exclusive: Rent is out of reach for minimum-wage workers in every state. New study shows how far out of reach


Today’s minimum wage? Ha. The federal minimum wage is $7.25 an hour. Thirty states, the District of Columbia, and some counties and cities have higher minimum wages, but even so, “the average minimum wage worker must work nearly 97 hours per week (more than 2 full-time jobs) to afford a two bedroom rental home or 79 hours per week (almost 2 full-time jobs) to afford a one bedroom rental home at the fair market rent.”

In five states—Hawai’i, California, Massachusetts, New Jersey, and Maryland—the average renter’s wage falls more than $10 short of the wage needed to afford a two-bedroom rental.

The coronavirus pandemic has brought billions in federal rental assistance, though it’s being paid out too slowly, with the expiration of a federal eviction moratorium looming on July 31. But as the comparison between the cost of modest rental housing and the wages people are actually being paid shows—and as past years of this report show—even before the pandemic, housing was a crisis that demanded policy solutions. The National Low Income Housing Coalition is calling on Congress to expand rental assistance to every eligible household that needs it—current programs fall far short of the need—as well as to invest in affordable housing and bolster public housing. Another key policy would prevent landlords from refusing to rent to people with housing vouchers, since many people with vouchers struggle to find housing they can use the vouchers for.

Republicans will never, ever allow these policies—or a minimum wage increase—to pass if they have the power to block them. Democrats need to find a way to get Sens. Joe Manchin and Kyrsten Sinema on board with doing something, because the situation is dire.

Map showing the number of hours at minimum wage needed to afford a one-bedroom rental home at fair market rent.





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