In the year 1938, the first minimum wage was established; the rule was called the fair labor standard act. This was set to $0.25 per hour, in the year 2009, it was raised to $7.25. Different cities have different minimum wages. This minimum wage is needed for the workers to meet their necessities and maintain a standard of living. The cost includes the basic needs, which are shelter food and clothing. But it does not include education and health care. This minimum wage Act was set up to rule out labor abuses and not to guarantee a decent level of Living.

The minimum wage was not increased as compared to the cost of living.

To pay the rise in rents, the minimum wage has to be increased in between a certain period.

There is a term called housing wage, and this is a wage that the workers can afford so that they can provide a house in their community; this is usually 30% of the monthly household income. The housing cost has increased over a period.

A minimum wage is to be provided to workers so that they can meet their needs. Housing cost has been rising since the last few years and to meet the demands of the people it has become very difficult to import a good living if people with low income in paying 50% of the income for renting a house life becomes very difficult. It has been noticed in a survey that almost half of the renters where cost-burdened.

Raising the minimum wage is very important so that low-income rentals can afford a good housing solution. The government should protect people from low-income backgrounds so that they can meet their daily expenses, and afford good housing. Expanding the EITC is very important that helps in improving the poor households. The minimum wage should be increased and other Federal measures like earned income tax credit.

It has been decided that the minimum wage, has been fixed to $15 per hour, many areas have adopted this law. Especially the cities, which have high housing costs, needed to follow this rule, to cope with poverty.

It has been studied that there are different effects of changing the minimum wage on household spending and employment. The shelter is one of the basic needs of people, low-income people suffer a lot due to improper housing. Recently there has been a lot of inflammation.