As of right now, the federal minimum wage is an hourly wage floor to protect the lives of millions. This is meant to be the lowest legal amount a company can pay someone that is not exempt from federal minimum wage. It is meant to be able to be the legal minimum someone can live off of working for forty hours a week. In some cases, the minimum wage is not doing its job. The minimum wage needs to be determined according to the price of living in that municipality. In some cases $7.25 is what it is, the least you need to be paid to live off of, in other cases $7.25 does not touch living cost such as New York City or Washington D.C.
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Even the 2016 presidential election has brought light to the situation. JEB Bush has been said to wanting to eliminate the federal minimum wage and leaving the wage up to the private sector, Donald Trump on the other hand wants to leave the minimum wage where it is. The federal minimum wage needs to be eliminated and left to the municipality to decide what their cost of living is. That is the only way the minimum wage will effectively help the workers it is created to