In my state (Idaho) they can (and do) pay less than minimum wage if you are a tipped employee. [1]
"Most" who are in those positions tend to make at least minimum wage, if not more, but that is not a guarantee, and it is harder to claim tips as "stable income" when trying to get credit/housing.
Median wage/rent is hard to apply. Totally different results if you look at what the typical renter makes (at least in my area).
Minimum wage is one thing...but when it takes 3-4x minimum wage to stay at 0 every month things get difficult.
[1] https://www.dol.gov/agencies/whd/state/minimum-wage/tipped