#money #minimumwage #washington #benefits Washington's minimum wage is going up 3.4%, which comes out to just over 50 cents per hour, come January 1, 2024. But there could be some drawbacks when it comes to benefits. Alyssa Warner reports. READ: https://www.applevalleynewsnow.com/lifestyle/minimum-wage-hike-in-washington-set-to-go-into-effect-january-1---why/article_8a314230-a5d2-11ee-8152-0fa3eea76a81.html
#money #minimumwage #washington #benefits Washington's minimum wage is going up 3.4%, which comes out to just over 50 cents per hour, come January 1, 2024. But there could be some drawbacks when it comes to benefits. Alyssa Warner reports. READ: https://www.applevalleynewsnow.com/lifestyle/minimum-wage-hike-in-washington-set-to-go-into-effect-january-1---why/article_8a314230-a5d2-11ee-8152-0fa3eea76a81.html
#money #overtime #washington #newlaws Right now, if you make more than $1,100 per week, you could be exempt from earning overtime in certain industries. Alyssa Warner reports. READ: https://www.applevalleynewsnow.com/lifestyle/minimum-wage-hike-in-washington-set-to-go-into-effect-january-1---why/article_8a314230-a5d2-11ee-8152-0fa3eea76a81.html
WASHINGTON - Washington's minimum wage is going up 3.4%, which comes to just over $.50 an hour, starting January 1. It means a lot of people will be making more money, but there could be a drawback. While inflation has been pinching a lot of family budgets, that's why lawmakers said the state's minimum wage is making such a big jump come Monday.
But, while Washington's minimum wage is calculated based on the Consumer Price Index, the federal minimum wage has been the same since 2009. That's $7.25 per hour. When Washington goes to $16.28 per hour on January 1, it won't be just the highest minimum wage in the country, it will be more than twice the federal minimum.
However, here's where some families could see problems. Federal "safety net" benefits are based on the federal poverty level. Right now, the federal poverty level is $30,000 per year for a family of four. That measuring stick is not increasing nearly as fast as inflation. That means, if you're working full time at Washington's minimum wage, you're already above the federal poverty level. That impacts things like federal SNAP benefits (food stamps), free or reduced price school lunches, low-income home energy assistance program, health insurance coverage assistance and Medicaid eligibility.
In order to get most of those benefits, people have to be making less than about 130% of the federal poverty level. For a family of four in 2023, that would be $39,000 per year.
Now, compare that to one person, working full time at a minimum wage job in Washington, makes almost $33,000 per year, which is well over the federal poverty level for a family of four. It's almost enough to disqualify families from federal benefits. However, Washington does take the cost of living into account, so a lot of state safety net programs have much higher eligibility cut-offs than the federal government does. Sometimes, twice or even four times the federal government does. In order to bring things into a better balance, Congress would have to take action.
Changes in overtime pay
There is also going to be changes come January 1 to overtime pay. With the change in minimum wage, more people will be eligible for overtime. Right now, if a person makes $1,100 per week, they could be exempt from earning overtime in certain industries. Starting January 1, that number jumps to around $1,300 per week.
At the same time, however, unrelated, farm workers will be eligible to start earning overtime pay after working 40 hours in a week. This has turned into an ongoing debate as farm workers this year have started saying their hours are being cut so that employers can avoid paying overtime.
What teens will be allowed to work
In other business news, state lawmakers are already preparing to loosen the restrictions on how much teenagers are allowed to work. One of the proposals that has been pre-filed for the 2024 Legislative Session would make it so that 16 and 17-year-olds can work the same hours during the school year as they would during summer vacation. Just as long as they're enrolled in a college program, or in a "career and technical education program" and doing work connected to that.
The Legislative Session starts on January 8.
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