Data source is January 2005-December 2005 Current Population Survey Outgoing Rotation Group files. Calculations based on proposed increase in the minimum wage from $5.15 per hour to $7.25 per hour. Wages are indexed by monthly CPI and inflated at an annual rate of 2.5% from December 2005 CPI to July 2008.
The average family income of United States employees who would 'benefit' from
Senator Kennedy's proposed minimum wage hike: $ 46,889.
According to U.S. Census Bureau data, fully 86%
of employees in United States whose wages would be increased by the proposed minimum wage hike either live with their
parents or another relative, live alone, or have a working spouse. Just 14%
are sole earners in families with children, and each of these sole earners has access to supplemental
income through Earned Income Tax Credit.
Distribution of Workers Affected by Proposed $7.25 Minimum Wage