Average Hourly Wage in the U.S. by Industry

What Is an Average Hourly Wage?

An average hourly wage is the amount workers earn per hour, calculated across a group of employees, jobs, industries, or locations. It is usually calculated by adding hourly earnings together and dividing the total by the number of workers or payroll records included.

For example, if three workers earn $20, $25, and $30 per hour, their average hourly wage is $25 per hour.

Average hourly wage data is useful because it gives workers and employers a general benchmark. Job seekers can use it to compare offers. Employers can use it to set competitive pay. Students and career changers can use it to understand which industries may offer stronger earning potential.

However, an average is not the same as a guarantee. Some workers earn much less than the average, while others earn much more. The average can also be affected by high-paying roles, overtime, bonuses, and differences in job seniority.

What Is the Average Hourly Wage in the U.S.?

As of June 2026, the average hourly wage for all employees on private nonfarm payrolls was $37.64, based on BLS Employment Situation data. This figure increased by 13 cents from the previous month and was up 3.5% over the year.

For production and nonsupervisory employees, the average hourly wage was $32.38 in June 2026. This group includes many workers who are not managers or executives and often provides a closer look at typical wage trends for front-line and non-supervisory roles.

The average hourly wage can look different depending on the data source and method used. Some wage reports focus on all private employees, while others focus on specific occupations, full-time workers, non-supervisory workers, or workers in a particular state or city.

Because of this, it is best to treat the national average as a starting point, not a final answer. To understand whether a wage is competitive, you should compare it with similar jobs in the same industry, location, and experience level.

Average Hourly Wage by Industry

Hourly wages vary significantly across industries. BLS data for June 2026 shows that industries such as utilities, information, financial activities, and professional and business services had higher average hourly earnings than industries such as retail trade and leisure and hospitality.

Here are average hourly earnings for selected private-sector industries in June 2026:

Utilities: $56.09 per hour

Information: $55.67 per hour

Financial activities: $49.60 per hour

Professional and business services: $45.73 per hour

Mining and logging: $41.76 per hour

Construction: $41.36 per hour

Wholesale trade: $39.72 per hour

Goods-producing industries: $38.64 per hour

Private service-providing industries: $37.41 per hour

Manufacturing: $36.71 per hour

Private education and health services: $36.33 per hour

Other services: $34.05 per hour

Transportation and warehousing: $32.57 per hour

Trade, transportation, and utilities: $31.99 per hour

Retail trade: $26.35 per hour

Leisure and hospitality: $23.62 per hour

These figures show why industry matters so much. Two workers may both be paid hourly, but their earnings can differ greatly depending on the sector they work in.

Highest-Paying Industries by Hourly Wage

Some industries tend to pay higher hourly wages because they require specialized skills, technical knowledge, advanced training, licensing, or significant responsibility.

Utilities had one of the highest average hourly earnings in June 2026, at $56.09 per hour. This industry includes electric power, natural gas, water, and related services. Many roles require technical expertise, safety training, and infrastructure knowledge.

Information also had high average hourly earnings, at $55.67 per hour. This sector can include publishing, broadcasting, telecommunications, software, data services, and media-related work. Higher pay in this industry often reflects technical roles, specialized business functions, and knowledge-based work.

Financial activities averaged $49.60 per hour. This broad category can include banking, insurance, real estate, investment services, and financial operations. Pay can be higher because many roles involve risk management, analysis, compliance, client advisory, or financial decision-making.

Professional and business services averaged $45.73 per hour. This category includes many consulting, legal, accounting, engineering, management, administrative, and technical services roles. Pay can vary widely, but specialized knowledge and client-facing expertise often increase earning potential.

Lower-Paying Industries by Hourly Wage

Some industries have lower average hourly wages because they include more entry-level roles, part-time schedules, seasonal jobs, or positions that require less formal education.

Leisure and hospitality averaged $23.62 per hour in June 2026. This sector includes restaurants, hotels, entertainment, recreation, and other hospitality-related work. Many roles are customer-facing and may include part-time or seasonal employment.

Retail trade averaged $26.35 per hour. Retail jobs can include cashiers, sales associates, stock clerks, supervisors, store managers, and e-commerce support roles. Pay varies widely depending on the company, location, role, commission structure, and management responsibility.

Transportation and warehousing averaged $32.57 per hour. This category includes logistics, delivery, warehousing, freight, and transportation support. Some roles pay above the average, especially those requiring commercial licenses, safety training, or specialized equipment knowledge.

Lower average pay does not always mean poor career potential. Many workers use entry-level hourly jobs to gain experience, move into management, build transferable skills, or enter higher-paying roles over time.

Factors That Affect Hourly Wages

Hourly wages depend on many factors beyond industry.

Experience is one of the biggest factors. Workers with more years of relevant experience often earn higher wages because they can work more independently, solve problems faster, and bring proven knowledge to the job.

Education can also affect hourly pay. Some roles require a high school diploma, while others require a degree, certification, license, apprenticeship, or technical training.

Location matters because wages often reflect local cost of living and labor demand. A job in San Francisco, New York, Seattle, or Boston may pay more than a similar job in a smaller city, but living costs may also be higher.

Skills can strongly affect pay. Workers with technical, analytical, leadership, sales, communication, or specialized trade skills may be able to command higher hourly rates.

Industry demand also matters. If employers need workers urgently and qualified candidates are limited, wages may rise. If many people can perform the same job, wages may be lower.

Company size can also play a role. Large companies may have more structured pay bands and benefits, while smaller companies may offer more flexibility but less predictable compensation.

Average Hourly Wage vs. Median Hourly Wage

Average hourly wage and median hourly wage are related, but they are not the same.

The average hourly wage is calculated by adding wages together and dividing by the number of workers or jobs. This number can be pulled upward by very high earners.

The median hourly wage is the middle point. Half of workers earn more than the median, and half earn less. Because the median is less affected by very high wages, it can sometimes provide a better sense of typical pay.

For example, if a small group of highly paid executives or specialists is included in a wage calculation, the average may look high even though many workers earn less. In that case, the median may provide a more realistic view of what a typical worker earns.

When comparing wages, it is useful to look at both average and median data when available.

Hourly Wage vs. Salary

Hourly wage means a worker is paid based on the number of hours worked. If someone earns $25 per hour and works 40 hours in a week, their gross weekly pay is $1,000 before taxes and deductions.

Salary means a worker is paid a fixed amount per year, usually divided into regular paychecks. A salaried employee might earn $60,000 per year regardless of whether they work slightly more or fewer hours in a specific week.

Hourly jobs may offer overtime pay when workers exceed a certain number of hours, depending on labor laws and job classification. Salaried roles may offer more predictable pay, but some salaried employees work long hours without additional hourly compensation.

Neither structure is automatically better. Hourly pay can be useful for workers who want overtime opportunities or schedule flexibility. Salary can be useful for workers who want predictable income and benefits.

How To Calculate Annual Pay From an Hourly Wage

To estimate annual pay from an hourly wage, multiply the hourly rate by the number of hours worked per week, then multiply by the number of weeks worked per year.

For example:

$25 per hour × 40 hours per week × 52 weeks = $52,000 per year

This formula assumes full-time work with no unpaid time off. If you work part time, have unpaid leave, work seasonal hours, or receive overtime, your actual annual income may be different.

Here are a few examples:

$15 per hour at 40 hours per week equals about $31,200 per year.

$20 per hour at 40 hours per week equals about $41,600 per year.

$30 per hour at 40 hours per week equals about $62,400 per year.

$40 per hour at 40 hours per week equals about $83,200 per year.

$50 per hour at 40 hours per week equals about $104,000 per year.

This calculation is useful when comparing hourly jobs with salaried positions.

How To Compare Your Hourly Wage

To compare your hourly wage, start by identifying your job title, industry, location, and experience level. A general national average may not be specific enough.

Next, compare your pay with similar roles in your area. Look at job postings, salary tools, government wage data, recruiter insights, and industry reports.

You should also consider your full compensation package. Hourly wage is important, but benefits can add significant value. Health insurance, retirement contributions, bonuses, paid time off, tuition support, transportation benefits, and flexible scheduling can all affect the total value of a job.

Think about growth potential too. A job with a slightly lower starting wage may still be attractive if it offers training, promotion opportunities, or a path into a higher-paying field.

Finally, compare your wage with your responsibilities. If your role has expanded, if you manage others, if you train new employees, or if your performance has improved, you may have a strong case for a raise.

How To Negotiate a Higher Hourly Wage

Negotiating hourly pay starts with preparation.

First, research the wage range for your role. Use current job postings and wage data to understand what similar employers are paying.

Second, list your achievements. This could include productivity improvements, customer satisfaction, sales results, safety records, training responsibilities, technical skills, or years of reliable performance.

Third, choose a clear target number. Instead of saying, “I want more money,” say, “Based on my experience and the current market, I’d like to discuss moving my hourly rate to $X.”

Fourth, connect your request to value. Employers are more likely to respond positively when you explain how your work helps the business.

You can say:

“Over the past year, I’ve taken on additional responsibilities, trained new team members, and consistently met performance goals. Based on my current role and local market rates, I’d like to discuss increasing my hourly wage to $X.”

If the employer cannot approve the raise immediately, ask what milestones would make an increase possible.

Tips for Employers Setting Hourly Wages

Employers should set hourly wages carefully because pay affects hiring, retention, motivation, and fairness.

Start with market research. Compare wages for similar roles in your industry and location.

Create clear pay bands. A pay band helps explain why one employee earns more than another and reduces confusion.

Consider experience and skills. A new employee may start near the lower end of a range, while a highly experienced employee may deserve a higher rate.

Review wages regularly. If market pay rises but internal wages stay the same, employees may leave for better offers.

Be transparent when possible. Even if you do not publish exact wages, sharing a realistic range can improve trust with candidates.

Employers should also consider total compensation. Benefits, scheduling flexibility, bonuses, career development, and workplace culture can help attract and retain workers, especially when wage competition is strong.

FAQ About Average Hourly Wages

What is the average hourly wage in the U.S.?

The average hourly wage for all employees on private nonfarm payrolls was $37.64 in June 2026, according to BLS data.

Which industries have the highest hourly wages?

Utilities, information, financial activities, and professional and business services had some of the highest average hourly earnings among major private-sector industries in June 2026.

Which industries have lower average hourly wages?

Leisure and hospitality and retail trade had lower average hourly earnings than many other major private-sector industries in June 2026.

Is $25 per hour a good wage?

It depends on your location, industry, experience, benefits, and cost of living. In some areas, $25 per hour may be competitive. In higher-cost cities or specialized fields, it may be below market.

How much is $30 per hour per year?

If you work 40 hours per week for 52 weeks, $30 per hour equals about $62,400 per year before taxes and deductions.

How much is $20 per hour per year?

If you work 40 hours per week for 52 weeks, $20 per hour equals about $41,600 per year before taxes and deductions.

Why do hourly wages differ by industry?

Hourly wages differ because industries require different skills, training, education, certifications, responsibilities, and labor supply. Some industries also have higher revenue per worker, stronger unions, or more technical roles.

Should I compare my wage to the national average?

You can use the national average as a general benchmark, but it is better to compare your wage with similar jobs in your location, industry, and experience level.

Do hourly workers get benefits?

Some hourly workers receive benefits, while others do not. Benefits depend on the employer, job status, weekly hours, company policy, and applicable laws.

Can hourly workers earn overtime?

Many hourly workers are eligible for overtime pay when they work more than a certain number of hours, depending on their classification and applicable labor laws.

How Dokie Helps Teams Present Wage and Industry Data Clearly

Wage data can be difficult to explain because it often includes multiple industries, job levels, locations, and time periods. Dokie helps teams turn this kind of information into clear, professional presentations.

Dokie is an AI presentation maker that creates business-ready slides from structured content. HR teams, recruiters, business analysts, consultants, educators, and managers can use Dokie to build presentations about compensation trends, hiring plans, labor market research, employee benefits, and industry benchmarks.

For example, a recruiting team could use Dokie to turn wage data into a clean internal hiring report. An HR manager could create a compensation review deck that explains average hourly wages by industry. A teacher or career coach could use Dokie to create slides that help students compare career paths and earning potential.

Instead of spending hours formatting charts, rewriting slide copy, and adjusting layouts, users can focus on the message. Dokie helps organize the content, create polished layouts, and make complex data easier to understand.

Conclusion

The average hourly wage in the U.S. is a useful benchmark, but it is only one part of the compensation picture. As of June 2026, average hourly earnings for all employees on private nonfarm payrolls were $37.64, while production and nonsupervisory employees averaged $32.38 per hour.

Industry differences are significant. Utilities, information, finance, and professional services tend to have higher average hourly wages, while retail and leisure and hospitality tend to be lower. Experience, location, education, skills, job demand, and company size can all affect how much a worker earns.

Whether you are choosing a career, comparing job offers, negotiating a raise, or setting pay as an employer, the best approach is to use wage data as a guide. Compare similar roles, consider total compensation, and focus on both current pay and long-term growth potential.