Fight the good fight but get your facts right as well!
The headline says:
People Working A Minimum Wage Job Can’t Afford Rent Anywhere In The U.S.
At local minimum wage rates, a worker would have to put in 79 hours a week, nearly two full-time jobs, to afford a modest one-bedroom rental, a report finds.
First off, the “can’t afford” is based on the concept that accommodation should never cost more than 30% of your income. As inequality shifts, this is no longer a reality – the 30% rule dates back 50 years.
Secondly, they only take into account the low income of minimum wage earners. In reality, the US is actually a quite socialist country, and the state contributes to low wage earners in numerous ways, from food stamps, to school meals, to tax credits to subsidised housing.
The study is based on minimum wage, not actual income. Many people on minimum wage receive tips, for example.
Thirdly, the study refers to “modest housing”.
The Housing Wage is based on HUD Fair Market Rents (FMR), which are estimates of what a family moving today can expect to pay for a modest rental home, not what all renters are currently paying… The FMR is usually set at the 40th percentile of rents for typical homes
occupied by recent movers in an area.
40th percentile is high, and far from the cheapest available rental properties. Clearly 40% of people are paying less, however the standards might not qualify as “modest”.
And finally, it is based on people living alone. The reality is that a lot of Americans don’t leave home until their late-20s. Those that do tend to be in a relationship (shared rent costs), in college dorms, or sharing a house.
Inequality is terrible. The lowest paid are vastly underpaid. Housing is too expensive relative to income. These are inarguable.
But make sure you get the full facts when discussing this.
