Milwaukee minimum wage workers must spend 84% of their wages to pay typical rent, study finds

Among the 50 largest U.S. cities, Milwaukee ranks in the bottom half in affordability for minimum wage workers, according to a new study from Clever Real Estate.

Specifically, the study examined how feasible it was for minimum wage workers in each city to rent a one-bedroom residence if they followed the common advice that people should put down no more than 30 percent. of their income to rent.

Even though some areas were more affordable than others, Clever Real Estate found that it was not possible in any of the 50 cities, including Milwaukee, for minimum wage workers to rent a typical one-bedroom apartment in their city for less than 30% of the price. their salary.

Here’s what you need to know about Milwaukee’s rent-to-income ratio and how it compares to other big cities.

How affordable is Milwaukee rent for minimum wage workers?

Milwaukee is tied with New York as the 30th most affordable city for minimum wage workers.

According to Clever Real Estate, a person working minimum wage 40 hours per week in Milwaukee would have to spend 84 percent of their annual income to afford a typical one-bedroom rental in the city.

The typical price of a one-bedroom in Milwaukee is $1,056 per month, according to the study. Affordable rent for minimum wage workers – meaning it would cost 30% of their annual salary – would be $377 per month.

Milwaukee and Wisconsin have seen some of the fastest rent increases in the country over the past year. Between March 2023 and March 2024, Milwaukee saw a median rent of $1,835 per month, according to Rent.com. That’s well above the Midwest median of $1,456, but slightly below the national median of $1,987.

How does Wisconsin’s minimum wage compare to other cities?

Wisconsin is one of 13 states where the minimum wage is still at the federal minimum of $7.25 an hour. Thirty states have enacted higher wages, including neighboring Wisconsin, Illinois, Minnesota and Michigan.

Seven states have no minimum wage law or a rate lower than the federal wage, meaning the federal rate applies in those states, with a few exceptions.

To comfortably afford the typical one-bedroom rent in Milwaukee, Clever Real Estate found that a person must earn at least $20.31 an hour, or nearly three times the current minimum wage.

The Most Affordable Cities for Minimum Wage Workers

Although no city was affordable enough – or offered high enough wages – for minimum wage workers to follow the “30% rule,” here were the ones that topped the list:

1. Buffalo, New York (39% of the minimum wage income needed to rent a typical one-bedroom apartment)

2. St. Louis (46% of the minimum wage income needed to rent a typical T2)

3. Hartford, CT. (48% of the minimum wage income needed to rent a typical T2)

4. Minneapolis (51% of the minimum wage income needed to rent a typical T2)

5. Providence, RI (54% of the minimum wage income needed to rent a typical T2)

6. Cincinnati (55% of the minimum wage income needed to rent a typical T2)

7. Cleveland (55% of the minimum wage income needed to rent a typical T2)

8. Kansas City, Missouri. (55% of the minimum wage income needed to rent a typical T2)

9. Denver (56% of the minimum wage income needed to rent a typical T2)

10. Detroit (61% of the minimum wage income needed to rent a typical one-bedroom apartment)

Claire Reid contributed to this report.

This article originally appeared in the Milwaukee Journal Sentinel: Is Milwaukee Rent Affordable on Minimum Wage? This study says no