Minimum Wage in The United States

Minimum Wage In The United States

As of July 24, 2009, the federal minimum wage in the United States is $7.25 per hour. Some states and municipalities have set minimum wages higher than the federal level, with the highest state minimum wage being $9.19 in Washington. Some U.S. territories (such as American Samoa) are exempt. Some types of labor are also exempt, and tipped labor must be paid a minimum of $2.13 per hour, as long as the hourly wage plus tipped income result in a minimum of $7.25 per hour.

The July 24, 2009, increase was the last of three steps of the Fair Minimum Wage Act of 2007. The wage increase was signed into law on May 25, 2007, as a rider to the U.S. Troop Readiness, Veterans' Care, Katrina Recovery, and Iraq Accountability Appropriations Act, 2007. The bill also contains almost $5 billion in tax cuts for small businesses.

Among those paid by the hour in 2009, 980,000 were reported as earning exactly the prevailing federal minimum wage. Nearly 2.6 million were reported as earning wages below the minimum. Together, these 3.6 million workers with wages at or below the minimum made up 4.9 percent of all hourly-paid workers.

Read more about Minimum Wage In The United States:  List of US Minimum Wage Levels By Jurisdiction, Prior U.S. Minimum Wages Laws, Economists' Analysis, Reasons For Economic Controversy, Jobs Affected By The Minimum Wage

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