Given Hawaii’s astronomical cost of living, the state’s minimum wage — $10.10 — is too low.

Once taxes are taken out of your check, there isn’t much money left to spend on rent, food, gas and other necessities.

According to the Hawai’i Appleseed Center for Law & Economic Justice, “Building a stronger Hawai’i for residents and businesses means creating more opportunities for families to climb the economic ladder, but Hawai’i’s low wages and unequal tax structure crushes those who can afford it the least, driving families into poverty and homelessness.

“Hawai’i has the lowest wages in the nation after adjusting for our cost of living, which is the highest in the nation. Families who are faltering beneath the weight of high costs for housing, utilities, and food are even further burdened by Hawai’i’s General Excise Tax (GET). Our lowest-income residents pay almost 10 times as much of their income on the GET as those at the top.”

Clearly, the state can improve economic conditions for residents by creating truly affordable housing and raising the minimum wage.

One bill just introduced at the Hawaii Legislature would increase the minimum wage to $12 per hour beginning Jan. 1, 2023, and go to $18 per hour beginning Jan. 1, 2026.

Through this incremental wage hike, state lawmakers can gauge the impact on Hawaii businesses.

Hawai’i Appleseed Center for Law & Economic Justice supports raising the minimum wage and expanding tax credits, so that low-income and working class families can keep more of their earnings.

State lawmakers should also consider tax cuts and incentives for businesses that will face higher costs. Growing the economy can help everyone.