What is the difference between a minimum wage and a living wage?

The difference between a minimum wage and a living wage is significant. A minimum wage is the lowest wage an employer is allowed to pay an employee, as mandated by the government. This wage is designed to ensure that employees are able to meet their basic needs with their income. In Virginia, the current minimum wage is $7.25 per hour, though many employers pay higher than this amount. A living wage is an hourly wage that is based on the cost of living in a specific area or state. It is calculated to allow a worker and their household to meet their basic needs, such as food, housing, and healthcare, and still have the means to save a portion of their income. Living wages are typically higher than minimum wages due to the high cost of living in an area. For example, in Arlington, Virginia the living wage has been calculated to be $16.20 an hour for a single adult with no dependents. The difference between a minimum wage and a living wage can affect the quality of life of a person or family. Minimum wages may be enough to just barely get by, but a living wage can provide a person with more financial stability, allowing them to save for the future and better meet their needs. In Virginia, employers are required to pay the higher of the state or local minimum wage, which allows many workers to earn a living wage.

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What is the difference between a minimum wage and a living wage?

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