Philadelphia Minimum Wage 2026

The minimum wage in Philadelphia is $7.25/hour in 2026. See how it compares to the MIT living wage of $21.50/hour and local cost of living.

Last updated: May 2026 · Data: MIT Living Wage Calculator, C2ER, U.S. Census, BLS, IRS, state and city sources

Minimum Wage Income Calculator

Calculate annual, monthly, and weekly income at any hourly wage in Philadelphia.

Minimum Wage vs. Living Wage in Philadelphia

The minimum wage in Philadelphia is $7.25/hour, the federal rate, which Pennsylvania has not raised above the federal floor. Pennsylvania keeps its minimum wage at the federal $7.25/hour and preempts most local minimum wage increases, so $7.25 applies to most private employers in Philadelphia, though the city sets a higher wage floor for its own contractors and subsidized work. The bigger question for most workers is how that compares to what it actually costs to live in Philadelphia. With average 1-bedroom rent near $1,650/month and a cost-of-living index of 102 (US average = 100), the gap between the minimum wage and a true living wage is significant.

Benchmark (Philadelphia, 2026)HourlyAnnual (full-time)
Applicable minimum wage$7.25$15,080
MIT living wage (single adult)$21.50$44,720
MIT living wage (family of four, one earner)$42.00$87,360
Federal minimum wage$7.25$15,080
Average rent (1-bedroom, annual)-$19,800

Living wage figures: MIT Living Wage Calculator for the City and County of Philadelphia. Minimum wage reflects the rate applicable to most private employers in Philadelphia.

Philadelphia Cost-of-Living Snapshot (2026)

Philadelphia is the largest city in Pennsylvania and a major East Coast hub for healthcare and higher education (the eds and meds economy), pharmaceuticals and life sciences, financial services, a busy seaport, and tourism rooted in the nation's founding history.

Local MetricPhiladelphia (2026 estimate)
Metro population1.6 million
County / jurisdictionthe City and County of Philadelphia
Cost of living index (US avg = 100)102
MIT living wage, single adult$21.50/hour
MIT living wage, one earner supporting a family of four$42.00/hour
Applicable minimum wage$7.25/hour
Average rent, 1-bedroom$1,650/month
Average rent, 2-bedroom$1,950/month
Median home price$245,000
Median household income$60,000/year
Combined sales tax rate8%
Effective property tax rate0.92% of value/year

Local figures are 2026 estimates compiled from the MIT Living Wage Calculator, the C2ER Cost of Living Index, U.S. Census and Zillow housing data, and city and county sources. Verify current figures before relying on them.

Frequently Asked Questions

The minimum wage in Philadelphia is $7.25/hour, the federal rate, which Pennsylvania has not raised above the federal floor. Pennsylvania keeps its minimum wage at the federal $7.25/hour and preempts most local minimum wage increases, so $7.25 applies to most private employers in Philadelphia, though the city sets a higher wage floor for its own contractors and subsidized work. A full-time worker (40 hours/week, 52 weeks) earns about $15,080 per year gross before taxes at that rate.

Not for a single adult. The MIT Living Wage Calculator estimates a single adult in the City and County of Philadelphia needs about $21.50/hour (roughly $44,720/year) to cover basic costs. That is $14.25/hour above the applicable minimum wage, and a one-earner family of four needs closer to $42.00/hour.

At $7.25/hour, full-time work (2,080 hours/year) produces about $15,080 gross. Part-time at 30 hours/week is roughly $11,310/year. Average 1-bedroom rent in Philadelphia is about $1,650/month, or $19,800/year.

Pennsylvania keeps its minimum wage at the federal $7.25/hour and preempts most local minimum wage increases, so $7.25 applies to most private employers in Philadelphia, though the city sets a higher wage floor for its own contractors and subsidized work.

The federal minimum wage is $7.25/hour and has not changed since 2009. Pennsylvania has not set a state minimum above the federal floor, and it preempts most local minimum wage increases, so $7.25/hour applies in Philadelphia.

Disclaimer: This tool is for informational purposes only and does not constitute financial, tax, legal, or professional advice. Data is sourced from IRS publications, Bureau of Labor Statistics, and official state sources as of May 2026. Always consult a qualified licensed professional before making financial or legal decisions.