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To cover the wage increase in the Raise the Wage Act, Menu prices may need to increase. We’ve used this study by UC Berkeley and Harvard economists Sylvia Allegretto and Michael Reich to inform our formula below.
Please enter the wage rates and menu item prices appropriate for your restaurant to get a result that can work for you.
Based on the Raise The Wage Act scale up period:
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 | |
| Subminimum Wage | $2.13 | $4.95 | $6.95 | $8.95 | $10.95 | $12.95 | $14.95 |
| BOH Wage | $12.25 | $12.25 | $12.25 | $12.50 | $14.00 | $15.00 | $15.00 |
| Burger Price | $10.00 | $10.30 | $10.60 | $10.90 | $11.20 | $11.50 | $11.80 |
This example uses the lowest legal subminimum wage of $2.13 per hour, and the average Alabama non-tipped wage for cooks according to the bureau of labor statistics. We’ve assumed a current price for a burger of $10.
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