15 California Cities To Live In If You’re Living On Minimum Wage

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California has a lot of great things going for it. It’s beautiful, for one, and it has a mild climate along with a robust and diverse job market. But all these perks come at an incredibly high price. California is the second most expensive state in the U.S. (Hawaii is the first). 

That steep price tag is no problem for the many upper-class and ultra-wealthy folks who live in California, but it’s a major hurdle for lower-income people such as those living on a minimum wage income. 

The minimum wage in California is $16 per hour for most hourly employees (though some minimum wage jobs can pay nearly $20 in cities like Emeryville). This is well above the national average of $7.25 per hour. Even so, it’s still tough to get by on low income in such an expensive state. 

In a new study, GOBankingRates determined the 15 best cities to live in in The Golden State if you’re living on minimum wage. 

15. Alpaugh

• Population: 880 
• Household median income: $39,688 
• Total cost of living annually: $39,606 
• Annual cost of living after unadjusted minimum wage income: $6,326* 
• Annual cost of living after unadjusted minimum wage income: $8,630  

14. Taft

• Population: 7,414 
• Household median income: $52,414 
• Total cost of living annually: $39,095 
• Annual cost of living after unadjusted minimum wage income: $5,815 
• Annual cost of living after unadjusted minimum wage income: $8,119  

13. Needles

• Population: 4,895 
• Household median income: $38,368 
• Total cost of living annually: $38,699 
• Annual cost of living after unadjusted minimum wage income: $5,419  
• Annual cost of living after unadjusted minimum wage income: $7,723 

12. Bodfish

• Population: 2,320  
• Household median income: $27,215 
• Total cost of living annually: $38,291  
• Annual cost of living after unadjusted minimum wage income: $5,011 
• Annual cost of living after unadjusted minimum wage income: $7,315 

11. Weldon

• Population: 2,602 
• Household median income: $27,377 
• Total cost of living annually: $37,866 
• Annual cost of living after unadjusted minimum wage income: $4,586 
• Annual cost of living after unadjusted minimum wage income: $6,890 

10. Kettleman City

• Population: 956 
• Household median income: $46,261 
• Total cost of living annually: $37,174 
• Annual cost of living after unadjusted minimum wage income: $3,894 
• Annual cost of living after unadjusted minimum wage income: $6,198 

9. Maricopa

• Population: 1,217 
• Household median income: $45,685 
• Total cost of living annually: $37,168 
• Annual cost of living after unadjusted minimum wage income: $3,888 
• Annual cost of living after unadjusted minimum wage income: $6,192 

8. Stirling City

• Population: 501 
• Household median income: N/A
• Total cost of living annually: $36,736 
• Annual cost of living after unadjusted minimum wage income: $3,456 
• Annual cost of living after unadjusted minimum wage income: $5,760 

7. Boron 

• Population: 2,469 
• Household median income: $52,969 
• Total cost of living annually: $36,588 
• Annual cost of living after unadjusted minimum wage income: $3,308 
• Annual cost of living after unadjusted minimum wage income: $5,612 

6. Doyle

• Population: 679 
• Household median income: $51,750 
• Total cost of living annually: $36,132 
• Annual cost of living after unadjusted minimum wage income: $2,852  
• Annual cost of living after unadjusted minimum wage income: $5,156 

5. Happy Camp 

• Population: 998  
• Household median income: $37,841 
• Total cost of living annually: $35,848 
• Annual cost of living after unadjusted minimum wage income: $2,568  
• Annual cost of living after unadjusted minimum wage income: $4,872 

4. Alturas 

• Population: 2,683 
• Household median income: $51,051 
• Total cost of living annually: $35,556 
• Annual cost of living after unadjusted minimum wage income: $2,276 
• Annual cost of living after unadjusted minimum wage income: $4,580 

3. Tulelake

• Population: 811 
• Household median income: $41,154 
• Total cost of living annually: $34,003 
• Annual cost of living after unadjusted minimum wage income: $723 
• Annual cost of living after unadjusted minimum wage income: $3,027 

2. Herlong 

• Population: 1,280 
• Household median income: $61,250 
• Total cost of living annually: $32,397 
• Annual cost of living after unadjusted minimum wage income: $(883)
• Annual cost of living after unadjusted minimum wage income: $1,421 

1. Macdoel

• Population: 143 
• Household median income: N/A
• Total cost of living annually: $32,290 
• Annual cost of living after unadjusted minimum wage income: $(990)
• Annual cost of living after unadjusted minimum wage income: $1,314 

*Note that the cost of living after unadjusted minimum wage income does not take holidays and vacations into account, while the adjusted numbers do.

Photo is for representational purposes only and may not reflect the locations listed.

Methodology: For this study, GOBankingRates analyzed cities across the state to find the best places to live if you make minimum wage. The statewide minimum wage was sourced from the Department of Labor. Using a hourly to salary income calculator from calculator.net; assuming 8 holidays per year, 10 vacation days per year, 40 hours per week, and 5 days a week, the annual income can be calculated using the hourly minimum wage. Using the U.S. Census American Community Survey to find all the cities within the state, a number of factors can be found including; total population, population ages 65 and over, total households, and household median income all sourced from the U.S. Census American Community Survey. Using this data the percentage of the population ages 65 and over can be calculated. The cost of living indexes were sourced from Sperling’s BestPlaces and include the grocery, healthcare, housing, utilities, transportation, and miscellaneous cost of living indexes. Using the cost of living indexes and the national average expenditure costs, as sourced from the Bureau of Labor Statistics Consumer Expenditure Survey, the average expenditure cost for each location can be calculated. The livability index was sourced from AreaVibes for each location and included as supplemental information. The average single-family home value was sourced from Zillow Home Value Index for September 2024. Using the average single-family home value, assuming a 10% down payment, and using the most recent national average 30-year fixed mortgage rate, as sourced from the Federal Reserve Economic Data, the average mortgage can be calculated. Using the average mortgage and average expenditure costs, the average total monthly and annual cost of living can be calculated. Using the calculated annual income from a minimum wage income and the average total annual cost of living, the annual cost of living after a minimum wage income can be calculated. Using the median household income and the average total annual cost of living, the annual cost of living after a median household income can be calculated. The cities were sorted to show the lowest (cheapest) cost of living after an annual minimum wage income, representing the best places to live for a minimum wage income. All data was collected on and is up to date as of Oct. 28, 2024.

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