From this website, a sample budget that suggests how their employees could manage to survive on their wage. I am asking American here to comment on how realistic this budget is.
Well, it already has you working a second job, so it's kind of an admission that you can't live on MickeyDs money.
So you need two jobs to survive, and you'd have to work 50+ hours a week at 10$/hour (is minimum wage even that high in the US? If I'm assuming 8$/hour it's 60+ per week), and you don't buy any gas for your car, and you don't have heating, and you don't have health insurance (20$ doesn't even get you anything in my country, although you'd have automatic health insurance anyway with your job), and you end up with with 30$ a day? (adding the "savings" to the total, because who would be able to save up anything on that?) I hope you don't get pregnant or anything.
I'll put it this way: I could take those numbers to the attorney that handled my last bankruptcy and he'd say fuck filing bankruptcy you're collections proof.
Since it's running numbers based on minimum wage, looks about right. And yes, can't do it on one job, it admits you need two. Doesn't mention food, but DOES give you $27/day plus 'extra' $100 spending money, plus your $100 in savings, so it's not impossible. The expenses assume you're living alone in cheap housing as well, based on the rent, utilities, etc. Since you should probably have a roommate at that point, there's more money there than their could be. Not so sure about the $20 for health insurance, seems sketchy... But in general, while it would kinda suck, obviously, you could live off of that. Or get a job that pays more than minimum wage. But they require more than the ability to usually show up, so there's a bar you gotta pass there... You aren't SUPPOSED to want to work minimum wage at McDonald's as a career choice long-term
I know a few people that work and worked at McDonalds long term. It's a stable job with a flexible schedule. Granted they aren't trying to raise a family on that paycheck, but I'm sure there's people out there--especially in the current job market--that are having to. What gets me is the assumption of a second job. That's not always an option, for various reasons. And not all employers will deal with you having a second job.
Same comment: You aren't SUPPOSED to be able to buy a house and pay the mortgage making minimum wage at McDonald's. Just having A job doesn't mean you automatically get handed the house, 2.5 kids, 2 cars and a flatscreen. Gotta be more than entry-level menial work to get there. $600 is more than fair if you assume you're sharing rent in a couple bedroom apartment, or splitting a house with a few other people. Pretty tough if you're going it alone, but still doable, depends on the area. And if you're splitting a place, the other utilities are likely much lower than listed, so there's actually a bit more available money than listed.
I love that they have $0 for heating. Freeze motherf*cker! And the $20 for health insurance is laughable.
$20 for health insurance? If only that were true! No money was budgeted for heat, so this would have to be in the southern states. $27 a day for food, clothes, gas for the car? I couldn't do it.
I wonder if this is going to end up being a PR nightmare for McD? It made one of our news sites here in Canada.
I'm surprised that they admit you'd need a second job. Two minimum wage jobs for a single person MIGHT just barely cover your basic needs, as long as you didn't drive a car or have any serious health crisis, and as long as you didn't go out to restaurants, movie theaters, etc... oh, and yeah, don't even try raising a kid with this budget. Heck, having a pet might blow the budget.
Wondering if heat isn't listed because they are assuming electric heat in that example? $90 for electric seems like a lot, otherwise. And it DOES say car insurance, so gas must be part of the $27/day or the $100/month *other* charges. Was this a Canada thing vice US (wondering per comment about where it showed up)? Maybe $20/month had a bearing in their healthcare system vice the US model (which clearly won't cover anything here). other than that, it DOES work as a menial, entry level, no skill sorta job/lifestyle. As i keep reading the comments here, though, would like to ask the question about EXPECTATIONS. If you're working a minimum wage job (at McDonald's or elsewhere), what are the EXPECTATIONS of what kind of life you should have? We've had comments about how you'd have trouble with: -mortgage -going out to movies -eating out in restaurants -raising children -pets -gas/food/clothes Let's assume that the $27/day, plus $100 month covers your minimum food/clothes needs. Not going to get you fillet or new Jordans, but living frugally, splitting food money with roommates and eating together, not really buying lots of new clothes, maybe it can just work. If you live near work, and don't drive a ton extra, maybe gas just works as well. Let's say you have a roommate for your 2 bedroom apartment, so the other costs go down slightly and make the rest of that about a wash for 'extra' food/gas money. Maybe sometimes you're even up enough to see a movie, maybe sometimes stuff goes wrong and you don't put $100 in savings. Are the expectations here REALLY that while working literally flipping burgers at McDonald's, you should be able to afford to buy a house and have a mortgage? How about living alone in your own apartment? Raise children and pay for their expenses? How about even things like how often should you be able to go out and drop $20 to see a movie in the theater or eat out in a restaurant? If you can barely feed yourself, please don't get pets. Maybe I'm thinking about it differently, but I just don't see those as reasonable expectations at this income/career level. If you live at home and don't have all those bills, this money should cover more of the 'fun' activities. If you at least get a bunch of roommates and live cheaply, maybe you get a *little* fun money at the end. But if you're just straight up working minimum wage and bringing in 2k/month, how much of the money should be going to essential survival (food/clothes/shelter), and how much should be for a 'nicer' place, going out to movies, $100/month for cable tv / phone service (likely including a cellphone bill now), etc? Nice to have those things, but they really aren't NEEDED or rights, and at this level of income, aren't practical. Seems that in the US, they are seen as must haves (like a flat screen tv) and then people can't pay their regular bills. Or insist minimum wage should be $20/hour so that the numbers in that budget work out to get the things mentioned. I guess I'm having a hard time with this. It's certainly not desireable to live like that, but you CAN make the numbers work and live on that. I just don't WANT to, and wouldn't enjoy it. But at that level, SHOULD you?
Aside from the $20 health insurance (who is your provider? Sign me up!), in my area all those expenses seem fairly reasonable (hell, my mortgage is LESS than $600/month for a 4-bedroom house). The only thing I don't like is that it requires that you have a second job. I know that people have to work multiple jobs all the time, but as an example of how to survive on McDonald's wages, this report basically admits that you can't without some other kind of supplemental income.
I also wonder how much of this assumes that the employee gets or qualifies for some form of social service aide? Last time I worked for a chain grocery store, they actually handed out brochures and info on how to file for food stamps, WIC, etc when they gave us our payroll paperwork at hire.