The minimum wage in Phoenix, Arizona, is $13.85 per hour in 2023.
Phoenix, AZ is quickly becoming one of the most economically stable cities in the United States.
There is a strong and constantly expanding job market within the city, and when you consider that with the growing education system, Phoenix is becoming a more and more attractive place to live and become successful.
The following graphic shows the Phoenix minimum wage rate over the past several years, which has been increasing at a consistent and gradual rate.
The weekly minimum wage in Phoenix equates to $554 ($13.85 x 40) for those working a full 40-hour week.
There are, however, some exceptions to this hourly wage for student workers, tipped employees, and overtime workers, who will all receive different minimum wage rates.
Phoenix Minimum Wage Exemptions
There are rules and laws in place to ensure that employers are paying their employees the minimum wage or above in Phoenix, Arizona unless they are exempt employees.
Here are the minimum wage rates for exempt employees in Phoenix, AZ:
- Student-workers (full-time high school or college) in Phoenix are paid a minimum wage of $11.77 per hour for up to 20 hours a week. Any more than this, and they are eligible for the full minimum wage of $13.85 per hour.
- The overtime minimum wage in Phoenix is $20.78 per hour for every hour worked in excess of 40 hours per week.
- The minimum wage for employees under the age of 20 is $4.25 per hour for the first 90 days of employment; after this, they are eligible for the Phoenix minimum wage rate of $13.85 per hour.
- The minimum wage for tipped employees, such as servers in Arizona, is $10.85 per hour with a tip credit of $3.00 per hour.
What is the Phoenix Living Wage?
Due to Phoenix being such a large city with a busy and ever-growing population and a competitive job market, you would anticipate the minimum wage rate to be slightly higher than $13.85 per hour.
However, there is a ‘living wage’ for Phoenix, which is calculated based on how much a person needs to pay their bills, food, and general cost of living expenses while living in the city.
The living wage for an adult living alone with no children in Phoenix is $18.29 per hour (via Living Wage Calculator), which is $4.44 higher than the minimum wage for the state itself.
Fortunately, certain employers in Phoenix take this into account when they contemplate how much they should be paying employees within the city.
Taking all of the living expenses into account, the living wage annual salary (for a full-time person) in Phoenix is $38,043.20 before state income tax in Phoenix.
Phoenix Living Wage for 1 Adult
Below is a table representing the living wage in Phoenix for a single adult, with different living wages for the additional amount of children they live with and care for.
| Single Adult | 0 Children | 1 Child | 2 Children | 3 Children |
|---|---|---|---|---|
| Living Wage | $18.29 | $35.15 | $43.41 | $57.06 |
| Poverty Wage | $6.53 | $8.80 | $11.07 | $13.34 |
Phoenix Living Wage for 2 Adults
The table below showcases the living wage in Phoenix for 2 adults with only one working, including the costs for the different numbers of children.
| 2 Adults (1 working) | 0 Children | 1 Child | 2 Children | 3 Children |
|---|---|---|---|---|
| Living Wage | $28.76 | $35.70 | $40.78 | $46.50 |
| Poverty Wage | $8.80 | $11.07 | $13.34 | $15.61 |
What is the Average Wage in Phoenix?
Now that we know the minimum wage, exemptions, and the cost of living, or living wage in Phoenix, it makes sense to take a look at what the average wage is for employees in Phoenix.
According to ziprecruiter.com, the average base hourly rate is approximately $19.00 per hour in Phoenix. If you worked full-time (40 hours per week or 2080 hours per year) the average annual income would be approximately $39,520.
So, as an employee or future employee in Phoenix, you have a good chance of being paid a higher wage than the minimum wage of $13.85 per hour.
Fortunately, the average wage in Phoenix is just an average calculation, and you could certainly earn more than this when moving to the state.
However, you may be paid even less, with the minimum wage being $13.85 per hour, which is the case for many Servers in Arizona.
If the living wage in Phoenix is $18.29 and the average salary equates to an effective hourly rate of $19.00 per hour, Phoenix may not be considered the best choice for those seeking a move to the Grand Canyon State.
Phoenix Minimum Wage History
The table below displays the historical minimum wage rates in Phoenix since 1983. As you can see in the table, we have included percentage increases as well as the dollar increase per year.
| Arizona City | Wage | Year | $ Wage Increase | % Increase |
|---|---|---|---|---|
| Phoenix | $13.85 | 2023 | $1.05 | 8.2% |
| Phoenix | $12.80 | 2022 | $0.65 | 5.34% |
| Phoenix | $12.15 | 2021 | $0.15 | 1.25% |
| Phoenix | $12.00 | 2020 | $1.00 | 9% |
| Phoenix | $11.00 | 2019 | $0.50 | 4.8% |
| Phoenix | $10.50 | 2018 | $0.50 | 5% |
| Phoenix | $10.00 | 2017 | $1.95 | 24.2% |
| Phoenix | $8.05 | 2016 | $0 | 0% |
| Phoenix | $8.05 | 2015 | $0.15 | 1.9% |
| Phoenix | $7.90 | 2014 | $0.10 | 1.3% |
| Phoenix | $7.80 | 2013 | $0.15 | 1.9% |
| Phoenix | $7.65 | 2012 | $0.30 | 4.1% |
| Phoenix | $7.35 | 2011 | $0.10 | 1.4% |
| Phoenix | $7.25 | 2010 | $0 | 0% |
| Phoenix | $7.25 | 2009 | $0.30 | 4.3% |
| Phoenix | $6.90 | 2008 | $0 | 0% |
| Phoenix | $5.85 | 2007 | $0.70 | 13.59% |
| Phoenix | $5.15 | 2006 | $0 | 0% |
| Phoenix | $5.15 | 2005 | $0 | 0% |
| Phoenix | $5.15 | 2004 | $0 | 0% |
| Phoenix | $5.15 | 2003 | $0 | 0% |
| Phoenix | $5.15 | 2002 | $0 | 0% |
| Phoenix | $5.15 | 2001 | $0 | 0% |
| Phoenix | $5.15 | 2000 | $0 | 0% |
| Phoenix | $5.15 | 1999 | $0 | 0% |
| Phoenix | $5.15 | 1998 | $0 | 0% |
| Phoenix | $5.15 | 1997 | $0.40 | 8.42% |
| Phoenix | $4.75 | 1996 | $0.50 | 11.76% |
| Phoenix | $4.25 | 1995 | $0 | 0% |
| Phoenix | $4.25 | 1994 | $0 | 0% |
| Phoenix | $4.25 | 1993 | $0 | 0% |
| Phoenix | $4.25 | 1992 | $0 | 0% |
| Phoenix | $4.25 | 1991 | $0.45 | 11.84% |
| Phoenix | $3.80 | 1990 | $0.45 | 13.43% |
| Phoenix | $3.35 | 1989 | $0 | 0% |
| Phoenix | $3.35 | 1988 | $0 | 0% |
| Phoenix | $3.35 | 1987 | $0 | 0% |
| Phoenix | $3.35 | 1986 | $0 | 0% |
| Phoenix | $3.35 | 1985 | $0 | 0% |
| Phoenix | $3.35 | 1984 | $0 | 0% |
| Phoenix | $3.35 | 1983 | $0 | 0% |
Final Thoughts
The minimum wage in Phoenix is the same rate as the Arizona state minimum wage, following an hourly wage of $13.85 per hour. As an employee in Phoenix, you must be paid this wage or higher by law.
The living wage is significantly higher than the minimum wage within the city, which is why the majority of Phoenix employers will pay more than $13.85 per hour to their employees despite not being legally obliged to.
