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Minimum wage increase & grocery tax cut laws heading towards Virginia in 2023

Along with some state change, there might be a little extra change in your pocket.
Minimum wage increase and grocery tax cut laws heading towards 2023
Posted at 6:48 PM, Dec 28, 2022
and last updated 2022-12-28 18:48:07-05

Virginia Beach, Va. - Along with some state change, there might be a little extra change in your pocket in 2023.

Tim Anderson, State Delegate for Virginia Beach and Norfolk, says it's because of a state tax that has been listed on your grocery store receipt for years.

"It will be a 1.5 percent decrease so if you spend $100 you're going to save a dollar fifty at the grocery store," says Anderson.

However, Anderson believes it's pennies compared to what should be done.

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"It isn't life changing money but it's a step in the right direction where we need to get rid of all these little nickel and dime taxes that we put on Virginians, and the more we get rid of the better," explains Anderson.

Another law expected to put a little more money in people's pockets is a minimum wage increase where the state hourly rate will rise from $11 an hour to $12.

General manager Andrew Kim with Farmers International Foods in Virginia Beach says every little bit counts. For workers working 40 hour weeks, it means clocking out with a little extra cash.

"I think it's going to be helpful for sure, and as long as inflation doesn't get out of control, then everyone will be happy," says Kim.

Kim tells us that small stores like his have felt the pressure of competition offering better hourly pay.

"The quality of candidates have gone down because of that competition and working at a grocery store its not physically demanding, but you're on your feet all day. If you can choose between that or working in an office, you definitely want to choose an office and that's what we've been struggling against," explains Kim.

However, Kim says he's hopeful.

That extra money means he keeps his workers and that the New Year means less of a financially heavy load to carry, despite how light of a pay increase.

As a reminder for shoppers, you might look at your receipt come the first week of January and see that there's still a grocery tax on it. According to State Delegate Anderson, that's a local tax not a state tax. Money from it typically goes towards school buildings and infrastructure for schools.