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McDonald's Budget Report Shows Limit Of Minimum Wage
- 07/18/2013 07:29 AM EDT U.S.
McDonald's partnered with Visa to show their employees how they can best manage their ludicrously tiny salaries. Perhaps inadvertently, the breakdown reveals that if you make minimum wage, you can basically work two, full-time jobs... and still be broke as hell.
The site's Practical Money Skills Budget Journal section is billed as "the key to your financial freedom." But for most people who've seen the site, it seems more like "a breakdown of how working a minimum wage job gives you no freedom whatsoever."
It starts off assuming that the average worker has two jobs -- and assuming the federal minimum wage of $7.25/hour, close to two full-time jobs. Now, you'd like to think that someone working not one, but two full-time jobs would at least be able to afford basic necessities, but that doesn't seem to be the case.
By dividing down how an imagined person would spend their meager two-job earnings, and making some pretty huge assumptions (for instance, that health insurance costs twenty dollars a month, or that no money is needed for gas to shuttle between those two jobs), the bottom line is still pretty sparse.
And they seem to have forgotten to allocate money for food or clothing.