In 2025, the federal minimum wage is officially a “poverty wage.” The annual earnings of a single adult working full-time, year-round at $7.25 an hour now fall below the poverty threshold of $15,650 (established by the Department of Health and Human Services guidelines). The limitations of how the federal government calculates poverty understate how far the minimum wage is from economic security for workers and their families.
I’m kind of more shocked at $16,000 a year is considered above poverty.
The numbers are all made up, and they’ve not kept track with inflation or the economy in a long time. Things like “minimum wage” simply lingered to allow those better off that sometimes have a conscience to sleep at night, thinking there is a system in place for the less fortunate. Our Federal government has been failing us longer than Mango Mussolini’s presence, he is simply baring and accelerating the asshattery.
The poverty line was historically measured simply by multiplying the USDA’s cheapest food plan for a household to buy groceries with adequate nutrition, and multiplying by 3.
Then, in the intervening 6 decades or so, food inflation has gone up significantly slower than housing inflation, to where that simple assumption of “barely enough to eat, times 3” began systematically understating actual poverty.
Today, feeding the reference family of 4 (2 adults 20-50, 1 kid aged 6-8, 1 aged 9-11) costs $996.20 per month (as of March 2025). That’s basically $12,000 per year, so the poverty line for a family of 4 is $32,150 (updated every January with September data).
So cost of rent/mortgage is excluded.
Then the state provides a shelter, right?
You can maybe wait three + years for a Section 8 voucher!
If applying for that is anything like applying for unemployment, good luck lol.
In some places, that’s on a lottery system.