Living Wage Act of 1990

Living Wage Act of 1990 - Title I: Earned Income Tax Credit - Amends Internal Revenue Code provisions governing the earned income tax credit to: (1) increase from $5,714 to $7,000 the amount of earned income subject to the credit; (2) increase the basic credit from 14 percent to 15 percent; and (3) add additional credits to apply to not more than four children of five percent for each dependent school age child between age six and age 16 and ten percent for each preschool age child. Reduces the amount of the credit for taxpayers with adjusted gross income over $40,000. Indexes amounts relating to the credit beginning in 1992.

Disallows application of the nonrefundable dependent care income tax credit with respect to a taxpayer's dependents under age 13, unless the child is physically or mentally incapable of self-care. Permits the credit with respect to handicapped children under age 15 only if the taxpayer elects not to include the child within the framework of the earned income credit.

Repeals provisions of the Family Support Act of 1988 that revise the way in which the earned income credit is treated in the context of needs analysis for purposes of State plans for aid and services to needy families with children under title IV of the Social Security Act.

Title II: Federal Minimum Wage - Amends the Fair Labor Standards Act of 1938 (the Act) to increase the minimum wage per hour from $3.35 in 1989 to: (1) $3.65 in 1990; (2) $3.95 in 1991; and (3) $4.25 in 1992 and thereafter.

Increases the tip credit under the Act from 40 percent to 50 percent. (The tip credit deems the amount paid to a tipped employee, for minimum wage purposes, to be increased by an amount determined by the employer, but not by an amount in excess of the specified percentage of the applicable minimum wage rate).

Increases the small business exemption by revising the definition of an enterprise engaged in commerce, for purposes of coverage under the Act ("the enterprise test"). Exempts from such coverage enterprises whose annual gross volume of sales or business is less than $500,000 (currently $362,500), effective in 1990. Requires employers who were covered in 1988, but who are exempt under the new threshold, to continue to pay the $3.35 per hour minimum wage.

Authorizes employers, in lieu of the minimum wage, to pay a newly hired employee not less than $3.35 an hour and thereafter not less than 80 percent of the increased minimum wage.

Applies the rights and protections of the Fair Labor Standards Act of 1938 to employees in the House of Representatives, employees under the Architect of the Capitol, and employing authorities of the House of Representatives.

Authorizes employers to employ any employee for periods of not more than ten hours in excess of the 40-hour maximum without paying overtime if during such periods the employee is receiving remedial education.