How much does someone working with minimum wage earn in the USA? Analysis for 2025 state by state

Many Brazilians dream of working in the United States, but few truly understand how the minimum wage works in the US. Unlike Brazil, which adopts a single national value, the American system is decentralized: there is a federal minimum, but states and cities set their own minimums, creating significant regional variation.

The Structure of the Minimum Wage in the US

The federal minimum has remained at US$ 7.25 per hour since 2009 — a number that shocks due to its low value. However, this is only the legal minimum: many states have already surpassed this mark. Some places, like Washington DC, reach US$ 17.50 per hour, while cities like New York, Los Angeles, and Seattle have their own policies, usually well above the federal level.

This means that the monthly salary varies drastically depending on the location. A worker in Wyoming might earn US$ 1,160 per month, while another in Washington DC earns about US$ 2,800 — a difference of over 140%.

How Much Is the Minimum Wage in the US in Reais?

Converted to Brazilian currency (approximate exchange rate of R$ 5.20 per dollar in 2025):

Federal minimum:

• Per hour: US$ 7.25 ≈ R$ 37.70
• Per month (40h/week): US$ 1,160 ≈ R$ 6,032

Washington DC (the highest in the country):

• Per hour: US$ 17.50 ≈ R$ 91
• Per month: US$ 2,800 ≈ R$ 14,560

At first glance, it seems advantageous. But the cost of living in the US is proportionally much higher, especially in states where the minimum wage is higher.

Minimum Wage in the US vs Brazil: What Really Matters

In gross numbers, the American minimum seems higher. However, this comparison is misleading when ignoring purchasing power parity. One dollar in the US buys significantly fewer essential goods than the equivalent in reais in Brazil.

Average cost of living in the US:

• Basic expenses (excluding rent): US$ 1,185/month
• Rent in metropolitan areas: US$ 1,626/month
• Total: US$ 2,811/month

With the federal minimum of US$ 1,160, the numbers don’t add up. Even in states with higher minimum wages, rents tend to follow the upward trend.

The Highest Minimum Wages by State in 2025

Leading states:

District of Columbia: US$ 17.50/h (US$ 2,800/month) Highest in the country, reflecting Washington’s very high cost of living.

Washington: US$ 16.66/h Driven by technological growth and demand for labor.

California: US$ 16.50/h With extra rules: hours above 8/day pay 1.5x; above 12/day pay 2x.

New York: US$ 15.50/h (state) and up to US$ 16.50/h (in NYC and expensive counties) Differentiation between urban and rural areas.

Massachusetts, Illinois, Connecticut: Range between US$ 15 and US$ 16/h

In contrast, states like Georgia and Wyoming maintain values closer to the federal (US$ 5.15/h), but the federal minimum of US$ 7.25 generally prevails in practice.

How to Calculate the Minimum Wage in the US for Your Region

The system is simple, based on hours worked:

Basic formula: Hourly rate × 40 hours × 4 weeks = monthly salary

Example with federal minimum (US$ 7.25): 7.25 × 40 × 4 = US$ 1,160

Example with Washington DC (US$ 17.50): 17.50 × 40 × 4 = US$ 2,800

Some states apply different rates for overtime or night work, so researching specific state legislation is essential.

Who Earns the Minimum Wage in the US?

The law applies to workers:

• Aged 14 or older
• In regular employment contracts
• Who are not apprentices or interns
• Without significant income from tips

The most common professions include:

• Restaurant and fast-food attendants
• Supermarket cashiers
• Stockers
• Cleaning assistants
• Checkout operators

Important note: Waiters and other professionals who receive tips can earn a lower base salary (sometimes just US$ 2.13/h), as tips officially supplement the salary.

Can You Live on the Minimum Wage in the US?

The realistic answer is: it depends on the state, but it’s generally challenging. The federal minimum wage in the US is considered below the poverty line in many analyses. Even in states with higher values, the relative cost remains high.

Practical scenarios:

• In DC (US$ 2,800/month) with rent of US$ 1,500+, only about US$ 1,300 remains for everything else
• In Texas (US$ 1,160/month) with rent of US$ 1,200+, the balance is negative
• Less expensive states (Oklahoma, Arkansas) offer better margins, but opportunities are limited

Many Americans work multiple jobs or supplement with remote/gig economy work to achieve financial stability.

Conclusion: Research Before Moving

The minimum wage in the US varies greatly depending on the location. While the federal minimum has been frozen since 2009, progressive states continue approving increases to keep up with inflation. For Brazilians considering moving, the analysis should not stop at the minimum wage — it’s essential to map the specific cost of living in the target city, local job market, and opportunities for professional growth before making any decision.