As many workers worry about losing their jobs or making due with less money in the coming months, low-wage earners in eight states will be seeing an increase in their paychecks in the New Year.
According to Money.com, workers in Arizona, Colorado, Florida, Montana, Ohio, Oregon, Vermont and Washington will see their pay increase “between 28 and 37 cents per hour on Jan. 1, thanks to state laws requiring that minimum wage keeps pace with inflation.”
The new minimum wage will range from $7.64 per hour in Colorado, to $9.04 in Washington.
The increase will also be a boost for the economy because low-wage workers usually spend the extra take-home pay on necessities, which pours money back into the economy.
Money.com reports: “Increasing minimum wage is a key form of local stimulus,” said Paul Sonn, legal co-director at NELP. “It helps front-line workers whose wages have been stagnant and falling by putting more money into the pockets of low income families who then spend the money at local businesses.”
Despite the small increase, however, workers bringing home a minimum wage still have trouble making ends meet and keeping pace with the rising costs of food and housing.
Do you have to get by on minimum wage? How do you make ends meet?