How much is it really possible to earn working in the USA in 2025?

Many Brazilians dream of working in the United States, but a fundamental question persists: what is the minimum wage in the United States, and is it enough to live on? The answer is more complex than it seems, as the American system operates in a radically different way from ours.

The federal minimum and regional realities

Unlike Brazil, which adopts a single national minimum wage, the United States operates a decentralized model. The federal minimum is US$ 7.25 per hour — a frozen rate since 2009 — but this is just the beginning of the story. Each state, county, and even city has the autonomy to set its own wage floors, creating an impressive disparity.

While some states maintain the federal minimum of US$ 7.25/h, others already exceed US$ 17/h. Washington, D.C., leads with US$ 17.50 per hour, followed by states like Washington (US$ 16.66/h), California (US$ 16.50/h), and New York (US$ 15.50 to US$ 16.50/h, depending on the region).

Converting to monthly income: the calculations that don’t add up

If we consider the standard American workweek of 40 hours, the calculation looks like this:

Federal minimum wage: 7.25 × 40 × 4 = US$ 1,160 per month

In Brazilian reais (approximate exchange rate of US$ 1 = R$ 5.20), this amounts to about R$ 6,032 per month. At first glance, this seems higher than the Brazilian minimum wage of R$ 1,518 in 2025. However, when analyzing purchasing power and local costs, the story changes completely.

The cost of living destroys the illusion

Here’s the crucial detail: the federal minimum wage in the US is not enough to cover basic expenses in most states.

Average monthly expenses:

• Rent: US$ 1,626
• Cost of living (food, transportation, utilities): US$ 1,185

Total minimum: US$ 2,811

With a federal minimum wage of only US$ 1,160, there’s a deficit of US$ 1,651 per month. Even in states with higher minimum wages, such as California or Washington, D.C., rents are proportionally even more expensive, practically eliminating any financial margin.

Variation by state: from misery to subsistence

Some practical examples of how much you earn working 40 hours a week:

• Georgia and Wyoming: US$ 5.15/h (state minimum wage) → ~US$ 824/month (in practice, the federal US$ 7.25/h prevails)
• California: US$ 16.50/h → ~US$ 2,640/month
• Washington: US$ 16.66/h → ~US$ 2,664/month
• Washington, D.C.: US$ 17.50/h → ~US$ 2,800/month

Even in states with the highest minimum wages, the amount only just reaches what is necessary for subsistence — rarely offering comfort or savings.

Brazil vs. United States: which has better purchasing power?

A simplistic analysis would suggest that earning in dollars is automatically better. However, the purchasing power parity (PPP) reveals a different truth.

One dollar in the US buys fewer goods and services than the equivalent amount in reais in Brazil. A simple meal in New York easily costs US$ 15-20, while in São Paulo it costs R$ 30-50. Rent, transportation, and education follow a similar pattern.

Additionally, the regulatory model differs: Brazil has a single minimum wage to protect workers, while the US delegates this responsibility to the states, creating zones of extreme wage precariousness.

Who works for minimum wage in the US?

Young people from age 14, cashiers, restaurant and fast-food attendants, stockers, cleaning assistants, and entry-level operational roles.

Important detail: waiters and professionals who receive tips can earn an even lower base salary (sometimes US$ 2-3/h), with the expectation that tips will complete the income — a system that leaves many workers in an even more precarious situation.

Conclusion: is it feasible to work on minimum wage in the US?

In most cases, it is not advisable to rely solely on the minimum wage. Even in states with higher floors, the financial margin remains tight. Brazilians considering moving should research not only the state minimum but also the specific costs of rent, food, and transportation in the target city.

The American system offers opportunities but requires careful planning and, ideally, qualification to access positions that pay above the minimum.