How much does a worker with a minimum wage earn in the United States in 2025? Complete state-by-state guide

For Brazilians dreaming of moving or working in the USA, one of the first questions is understanding how the initial compensation works. Unlike Brazil, which has a single national value, the United States adopts a more complex system: there is a federal minimum wage (US$ 7.25 per hour), but each state, county, and even municipality can set their own rates. This decentralization results in a salary range that varies from US$ 7.25 to US$ 17.50 per hour — a significant difference that greatly impacts the worker’s reality depending on their location.

How does the US minimum wage system work?

Unlike the centralized Brazilian model, the US operates with regional autonomy. The federal government set the minimum at US$ 7.25 per hour in 2009, and this rate has remained frozen for 16 years. However, states with a high cost of living — such as California, Washington, New York, and the District of Columbia — have raised their minimum wages well above this mark.

The logic is simple: more expensive regions need higher wages so workers can cover basic expenses. Therefore, metropolises like Los Angeles, Seattle, and New York have established their own minimums, generally between US$ 15 and US$ 17.50 per hour.

Monthly minimum wage in the United States: how much does it yield in practice?

Since American wages are calculated hourly, the monthly amount depends on the number of hours worked weekly. Using a standard 40-hour workweek as a basis:

Calculation of monthly minimum wage:

• Hourly rate: US$ 7.25
• Weekly hours: 40
• Weeks per month: 4
• Result: 7.25 × 40 × 4 = US$ 1,160 per month

This is the federal amount. However, in states with higher minimums:

• California (US$ 16.50/h): approximately US$ 2,640 monthly
• Washington (US$ 16.66/h): about US$ 2,666 monthly
• District of Columbia (US$ 17.50/h): up to US$ 2,800 monthly

Comparison of the US minimum wage with Brazil

A direct conversion to reais can be misleading. In 2025, considering an exchange rate of approximately R$ 5.20 per dollar:

• US federal minimum: US$ 1,160 ≈ R$ 6,032
• Washington D.C.: US$ 2,800 ≈ R$ 14,560
• Brazil: R$ 1,518 (current)

At first glance, the American salary in reais seems significantly higher. However, the actual purchasing power tells a different story. In the US, a federal minimum wage does not adequately cover basic expenses in most states:

• Basic living costs (without housing): US$ 1,185/month
• Average rent: US$ 1,626/month
• Minimum total needed: US$ 2,811/month

Even in smaller cities, earning US$ 1,160 is insufficient. In Brazil, although the minimum wage is also tight in capital cities, the proportion of cost coverage is slightly different due to variations in prices of goods and services.

Who earns minimum wage in the US?

Not all workers earn this base amount. US law applies the minimum to:

• Workers aged 14 and over
• Employed full-time or part-time
• Except apprentices, interns, and some special cases

The most common professions earning this floor are: restaurant attendants, cashiers, stock clerks, cleaning assistants, and supermarket employees. An important note: workers receiving tips (like waiters) can have a reduced base salary, as tips are considered additional income.

Minimum wage map by state in 2025

American states show great variation:

States with minimum wages above US$ 16/hour:

• District of Columbia: US$ 17.50/h (highest in the country)
• Washington: US$ 16.66/h
• California: US$ 16.50/h
• New York: US$ 15.50/h (with exceptions in expensive areas reaching US$ 16.50/h)
• Massachusetts: US$ 15/h

States close to the federal minimum:

• Texas: US$ 7.25/h
• Georgia: US$ 5.15/h (but federal prevails in most cases)
• Wyoming: US$ 5.15/h
• Mississippi: US$ 7.25/h

The regional disparity is remarkable: a worker in Washington D.C. can earn up to 3 times more than in a state like Mississippi for the same job.

How to calculate your weekly and monthly income

The method is straightforward and based on simple multiplications:

Weekly formula: Hourly wage × 40 hours = weekly income

Monthly formula: Hourly wage × 40 × 4 = approximate monthly income

Example with the federal minimum: 7.25 × 40 × 4 = US$ 1,160/month
Example with California: 16.50 × 40 × 4 = US$ 2,640/month

Is it possible to live on minimum wage in the United States?

The answer is complex and varies depending on location. In states with higher minimums like California and D.C., wages are higher — but these same places have the most expensive rents in the country. The average rent in Los Angeles or Manhattan can consume 50% to 60% of the monthly income.

In smaller cities and states with federal minimums, the situation is even more challenging. Economists point out that most minimum-wage workers in the US need additional benefits (food stamps, housing assistance) or a second job to cover basic expenses.

Conclusion

The US minimum wage reflects very different local economic realities. While the federal floor has remained stagnant since 2009, progressive states seek to keep pace with inflation and the cost of living. For Brazilians considering a move, researching not only the minimum wage of the chosen state but also the local cost of living is essential to make an informed decision.