Okay, so most people realize it’s quite expensive to live in Hawaii, paradise. Sure, the weather is usually nice, with a temperature of almost always 78 degrees. And, the food, delicious…and lots of it!
But, what about the cost of housing? A small 2 bedroom rental runs on the average $2,000/month. If you want to own a home, the median price is $635,000/month. When you take into consideration housing cost, plus your food, utilities, insurance, incidentals, it really adds up! So, if you’re making minimum wage of $10.10/hour, it’s surprising to see how anyone can live here.
If you’re on this side of the argument of raising the minimum wage to $15/hour you would think your chances would be good.
However, let’s take a look at the other side of the coin. The small business owner…which I am. We sell little ice pops for a $1.00 no tax. Just a $1.00. What does it take to make that ice pop? Well, we need to pay for: employees, our commercial kitchen, insurance, supplies, other overhead.
It’s eye opening! Before we (my husband and I) became business owners our conversations went something like this, “Wow, the mini plate lunch went up. Used to be $5.00, now it’s $7 something. Unreal.” Now, it’s like, “Yup, we got it.”
Mind you, I’m not complaining. I mean, if we didn’t like it, we wouldn’t be doing it. All I’m saying is if the minimum wage goes up to $15 per hour it would be very difficult to stay in business; in fact we probably wouldn’t be in business. It’s pretty obvious we can’t charge $5 for a little ice pop that’s only 4.6 oz! But, that’s what we would have to do because of the increased employee wages.
This does not even include the other expenses just employee wages.
So, for any other small business owners like me, it would be the end of us for sure!