Living wage

Definition

A living wage is the minimum income necessary for a worker to meet their basic needs, including housing, food, healthcare, and other essentials, without government assistance. It varies by location due to differing costs of living and is often higher than the minimum wage set by governments.

Related terms

Minimum Wage: The lowest legal salary that employers can pay workers, set by government law.

Cost of Living: The amount of money needed to cover basic expenses such as housing, food, taxes, and healthcare in a specific place and time.

Economic Inequality: The unequal distribution of wealth and income among a population, often leading to varying standards of living within the same society