Living Wage by State 2025: What You Need to Earn

MyCashCalc Team Updated
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Living Wage by State 2025

A “living wage” is the minimum hourly rate needed to cover basic living expenses — housing, food, healthcare, transportation, childcare if applicable — without relying on public assistance. It differs from the minimum wage (a legal floor) and the poverty wage (a much lower threshold).

MIT’s Living Wage Calculator is the most widely cited source for this data, updated annually.

What the Living Wage Covers

The living wage calculation includes:

  • Housing (rent + utilities)
  • Food (at home and modest dining)
  • Transportation (car payment or transit)
  • Healthcare (insurance premiums + out-of-pocket)
  • Childcare (if applicable)
  • Other necessities (clothing, personal care)

It does NOT include savings, retirement contributions, entertainment, vacations, or debt repayment.

Living Wage by State — Single Adult (2025 Estimates)

StateLiving WageAnnual Needed
Hawaii~$32.40/hr~$67,400/yr
California~$27.32/hr~$56,800/yr
Massachusetts~$26.85/hr~$55,800/yr
New York~$26.40/hr~$54,900/yr
Washington~$26.00/hr~$54,100/yr
Maryland~$25.60/hr~$53,200/yr
New Jersey~$25.40/hr~$52,800/yr
Connecticut~$25.20/hr~$52,400/yr
Oregon~$24.50/hr~$51,000/yr
Colorado~$24.40/hr~$50,800/yr
Illinois~$23.50/hr~$48,900/yr
Virginia~$23.40/hr~$48,700/yr
Texas~$22.80/hr~$47,400/yr
Florida~$22.40/hr~$46,600/yr
Georgia~$21.60/hr~$44,900/yr
Ohio~$21.20/hr~$44,100/yr
Michigan~$21.00/hr~$43,700/yr
North Carolina~$21.40/hr~$44,500/yr
Pennsylvania~$21.50/hr~$44,700/yr
Tennessee~$20.80/hr~$43,300/yr
Indiana~$20.40/hr~$42,400/yr
Arizona~$22.20/hr~$46,200/yr
Missouri~$20.60/hr~$42,800/yr
Alabama~$20.00/hr~$41,600/yr
Mississippi~$19.60/hr~$40,800/yr
Arkansas~$19.80/hr~$41,200/yr
West Virginia~$19.90/hr~$41,400/yr
Iowa~$20.80/hr~$43,300/yr
Kansas~$20.60/hr~$42,800/yr
Nebraska~$21.00/hr~$43,700/yr

Estimates based on MIT Living Wage methodology, 2024-2025 data. Local variation within states can be significant.

Living Wage With Children

The living wage increases substantially when children are factored in:

Household TypeUS Average Living Wage
Single adult~$24.50/hr
1 adult + 1 child~$42.00/hr
1 adult + 2 children~$55.00/hr
2 adults (1 working) + 1 child~$35.00/hr
2 adults (both working) + 1 child~$21.50/hr each

Childcare costs are the dominant driver of the living wage increase for families — particularly in states without subsidized childcare, where infant daycare alone can cost $15,000-$25,000/year.

Living Wage vs. Minimum Wage Gap by State (2025)

StateLiving WageMin WageGap
Hawaii$32.40$14.00−$18.40
California$27.32$16.50−$10.82
New York$26.40$16.00−$10.40
Texas$22.80$7.25−$15.55
Mississippi$19.60$7.25−$12.35
Washington$26.00$16.66−$9.34

Even in states with the highest minimum wages, the minimum wage falls short of the living wage for a single adult.

How to Use This Data

If your hourly wage is below your state’s living wage:

  1. Check whether benefits (employer healthcare, retirement match) close some of the gap
  2. Consider skills training or certifications in your field to increase earning power
  3. Evaluate whether a geographic move could improve the wage-to-living-cost ratio
  4. Use tax-advantaged accounts to stretch take-home pay further

Use our Paycheck Calculator to see your actual take-home and Hourly to Salary Calculator to compare wage scenarios.

See Also

Related guides

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