Biden Proposes $15 Minimum Wage
As part of his $1.9 trillion economic stimulus package, President Biden proposed an increase in the federal minimum wage.


Will the federal minimum wage go up to $15 per hour? If President Joe Biden gets his way, it will. Biden recently released details about his $1.9 trillion COVID-relief stimulus package. Overall, the package is designed to provide crush the coronavirus and provide financial relief for Americans struggling during the pandemic. Although it's no surprise that Biden would want to increase the minimum wage, it wasn't expected in this stimulus package.
The president did try to tie the proposal to the pandemic, though. A summary of the plan noted that millions of Americans have put their lives on the line to keep the country running. "Let's not just praise them, let's pay them," it said. In a speech to the nation, Biden also said, "if you work for less than $15 an hour and work 40 hours a week, you're living in poverty."
The tipped minimum wage and sub-minimum wage for people with disabilities would also be eliminated under the Biden plan.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
[Stay on top of all the new stimulus bill developments – Sign up for the Kiplinger Today E-Newsletter. It's FREE!]
In a separate executive order, the president also directed the Office of Personnel Management to provide recommendations for promoting a $15-per-hour minimum wage for federal government employees.
The current federal minimum wage is $7.25 per hour. President Biden's proposal would more than double that amount. States can have their own minimum wage. They can be higher than the federal amount, but not lower.
Biden's plan also called for an additional round of stimulus checks, extended unemployment benefits, increased tax credits, and more. For more information, see 12 Ways the Biden Stimulus Package Could Put (or Keep) Money in Your Pocket.
Rocky Mengle was a Senior Tax Editor for Kiplinger from October 2018 to January 2023 with more than 20 years of experience covering federal and state tax developments. Before coming to Kiplinger, Rocky worked for Wolters Kluwer Tax & Accounting, and Kleinrock Publishing, where he provided breaking news and guidance for CPAs, tax attorneys, and other tax professionals. He has also been quoted as an expert by USA Today, Forbes, U.S. News & World Report, Reuters, Accounting Today, and other media outlets. Rocky holds a law degree from the University of Connecticut and a B.A. in History from Salisbury University.
-
Can I Stop Social Security and Restart it Later?
This articles explains what is required to stop and restart Social Security and details how to do it.
By Jacob Wolinsky Published
-
Six Estate Planning Tips for Younger Generations
Millennials and Gen Zers are taking their estate planning seriously. These tips can help make the process seem less daunting.
By David Weinstock, CFP®, AEP®, CPA Published
-
Four Tips for Renting Out Your Home on Airbnb
real estate Here's what you should know before listing your home on Airbnb.
By Miriam Cross Published
-
Five Ways to a Cheap Last-Minute Vacation
Travel Procrastinator? No matter. You can pull off a fun and memorable getaway on a moment's notice — without breaking the bank.
By Vaishali Varu Published
-
How Much Life Insurance Do You Need?
insurance Instead of relying on rules of thumb, you’re better off taking a systematic approach to figuring your life-insurance needs.
By Kimberly Lankford Published
-
White House Aims to Limit Access to Short-Term Health Plans: The Kiplinger Letter
The Kiplinger Letter The Biden administration's draft rule would restore several Obama-era regulations.
By Matthew Housiaux Published
-
When Is Amazon Prime Day?
Amazon Prime In 2023 Amazon had two Prime Day events — one in July and another, called Big Deal Days, in October. We expect 2024 to follow the same schedule.
By Bob Niedt Last updated
-
How to Shop for Life Insurance in 3 Easy Steps
insurance Shopping for life insurance? You may be able to estimate how much you need online, but that's just the start of your search.
By Kaitlin Pitsker Published
-
5 Ways to Shop for a Low Mortgage Rate
Becoming a Homeowner Rates are high this year, but you can still find an affordable loan.
By Daniel Bortz Published
-
Retirees, It's Not Too Late to Buy Life Insurance
life insurance Improvements in underwriting have made it easier to qualify for life insurance, which can be a useful estate-planning tool.
By David Rodeck Published