Ever wondered if you earn more or less than people in other countries?

In recent years, rampant inflation and muted GDP growth have led to the 21st century's first decline in real wage growth on a global level, according to the International Labour Organization (ILO). But what’s happening in 2026?

As salaries struggle to keep pace with rising prices, click or scroll on to discover the average yearly salary (after tax) for workers in 21 major nations around the world, with figures based on data collated by Numbeo, the world's largest cost of living database.

All dollar amounts in US dollars unless otherwise stated. Data correct as of June 2026.

In a bid to improve living standards and reduce poverty, the Indonesian government is increasing the country’s average minimum wage for 2026 by up to 7.3% in 2026, following a 6.5% increase in 2025. However, earnings across the country are still extremely low by international standards, and trade unions and some opposition politicians want significantly more. Indonesia's average annual salary right now is just $3,115 (£2,318), according to Numbeo. 

Low wage levels in the vast archipelago are due to a number of factors, ranging from its relatively affordable cost of living to its large cohort of unskilled workers and huge informal labour market. Businesses in the country have also opposed the wage increases, citing them as too high.

Despite being the world’s fastest-growing major economy, India has nevertheless seen real wages decline in recent years. Salaried workers in burgeoning industries like IT, finance and engineering are generally seeing wage increases. However, it's a different story for casual and hourly-wage workers in rural areas. 

Recent labour force data reveals that casual workers' wages have stagnated or even declined in real terms since 2022, and government data suggests that around nine in 10 Indian workers earn less than $300 (£223) a month.

Brazilian wages have generally been rising in real terms, with the nation enjoying four consecutive years of real income growth. Unemployment has also fallen to historically low levels, which tends to have a positive impact on the salaries workers can command.

However, inflation remains an issue in the country, eroding wage gains for many households. Stark regional disparities also persist, with workers in the north of the country earning significantly less than those in the south.

The Mexican government has been busy hiking minimum wages as inflation erodes incomes in the country. Despite that, the nation provides generally low wages for its workers and remains one of the most economically unequal in the world. For example, factory employees earn three times less than their counterparts in China.

There are, in fact, two rates of minimum wage across the nation: a general rate and another slightly higher one for the northern area bordering the United States. This year, they've increased by 13% and 5% respectively. But Mexicans can still typically earn six times more by entering the US and working there. 

Russia is a highly unequal country where much of the wealth is concentrated in the hands of the few – oligarchs and the political elite – while ordinary citizens endure high levels of grinding poverty.

Wages have risen across a number of industries since President Putin invaded Ukraine in 2022, defying expectations of an economic crash due to Western sanctions. In fact, estimates suggest nominal wages grew by around 12% in 2025.

However, all’s not well, especially for those working outside the war economy. Most notably, the country is experiencing steep inflation, which the central bank is trying to tame with sky-high interest rates. 

Gone are the days when China was a low-cost labour country, with the likes of India, Vietnam and Mexico now taking its place instead. This has been one factor behind moves by Western companies to relocate their manufacturing supply chains elsewhere. That said, with GDP growth slowing, average salaries in the People's Republic are rising at their weakest pace in over a decade, according to a report from Caixin Global. 

As for minimum wages, they're set by local governments and vary according to each region’s development and cost of living. Shanghai currently has the highest monthly minimum wage at around $378 (£280). 

Despite boasting one of the most progressive constitutions in the world, South Africa is officially the most economically unequal country. Its Gini coefficient – where 0 is total equality and 1 is total inequality – measures 0.67, and more than 80% of the nation's wealth is owned by just 10% of the population.

Although apartheid ended over 30 years ago, the average White South African still earns three times more than the average Black South African. The gender pay gap is also huge, with female South Africans typically earning 30% less than men.

Real wage growth in Japan has more or less stalled since the so-called 'Lost Decade' of the 1990s, with persistently low GDP growth affecting the country's economy. Back in 1990, average pay in Japan was similar to that of Germany and Australia, but it's lagged behind since. Things might finally be changing though. 

The country's ageing population and shrinking workforce mean companies are having to pay more to secure workers, and wages are rising faster than they have in decades. However, as in many other countries, inflation continues to absorb much of the benefits of higher salaries. 

Real wage growth has stagnated in Italy. According to the OECD, average full-time real wages barely grew between 1990 and 2021. This dire performance prompted the then-governor of the Bank of Italy, Ignazio Visco, to advocate for the introduction of a statutory minimum wage, a move that's since been scuppered by Prime Minister Giorgia Meloni's government, despite pressure from the EU.

Part of the reluctance to legislate is down to the Italian constitution, which forbids collective bargaining to be regulated by law or decree. Instead, wage levels are generally set by collective agreements for each sector of the economy. Pay tends to be higher in Italy’s more industrialised north than its poorer south. 

Liking this? Click the Like button above. And click the Follow button above for more great stories from loveMONEY

South Korean long-term wage growth is impressive. Private gross disposable income (PGDI) – a measure of net household income – increased by an astonishing 8% in every one of the past 50 years. According to the Korea Enterprises Foundation, South Korea’s average monthly pay even surpassed Japan’s in 2022. 

All is not perfect in the East Asian country though, notwithstanding its political crisis in 2024. Its gender pay gap remains the worst in the OECD for a start. Secondly, PGDI has been outpaced by gross national income. In other words, growth in disposable incomes has not kept up with the growth in national economic development. 

Like other countries across southern Europe, Spain’s been grappling with low real wage growth for years. The situation came to a head in 2022 as galloping inflation severely eroded real pay. A report from the OECD revealed that purchasing power fell by a taxing 5.3% in 2022.

However, the situation might now be easing. Real wages are recovering, but they haven't made up for the inflation shock that followed the pandemic. According to the OECD, real wages in early 2025 were still about 4.2% below their early-2021 level.

During the inflation spike, wage growth in France accelerated as workers and unions attempted to keep up with surging prices. As inflation cooled, wages continued to rise, albeit at a much slower pace. 

In fact, for many French households, real wages improved in 2024 and much of last year, as prices rose more slowly than pay. However, concerns about living costs and economic growth persist.

Similar to France, wage growth in Canada is slowing from post-pandemic levels but remains healthy nonetheless. Recent data from Statistics Canada showed average weekly earnings rising 3.5% year-over-year, while the federal minimum wage increased by around 2.3% earlier this year.

Current trends point to wage growth largely keeping pace with inflation, although growth is slower in some sectors and regions.

Data from the UK's Office for National Statistics shows pay currently growing at around 3.6% a year. However, when you factor in inflation, that figure is closer to 0.2% in real terms, with wage growth slowing significantly from the beginning of the decade.

Public sector workers have seen stronger pay growth, while the minimum wage rose by around 4% earlier this year. But unemployment is drifting upwards, and many Brits are failing to feel the impact of those modest gains.

The average salary in Europe’s largest economy is among the highest on the continent, and Germany's minimum wage rose by 8% earlier this year, with a further 5% increase scheduled for 2027. However, current economic weakness means the Bundesbank expects wage growth to be suppressed in the future.

Echoing that sentiment, the European Central Bank's (ECB) wage tracker points to negotiated wage growth of up to 2.6% this year, a figure that mirrors Germany's current inflation rate.

Wages in the Netherlands have been rising rapidly by historical standards, with the country's statistics office showing negotiated wage growth of 5% in 2025 and 6.5% in 2024 - some of the largest increases in decades.

However, after factoring in inflation, that 2025 figure is closer to 1.6% in real terms. In fact, over the past five years, wages and consumer prices have risen by almost the same cumulative amount, with Dutch workers only recently beginning to recover the purchasing power lost during the pandemic.

About 100,000 of Australia’s lowest-paid employees will receive an above-inflation pay rise of 6% this year, as part of the Fair Work Commission’s annual review. The reward comes as inflation in the country remains stubbornly high, with the current global oil shock hitting Australia hard.

The wage-setting tribunal has also delivered a 4.5% boost to an additional 2.7 million workers in an attempt to help lower-paid employees recover some of the real wage losses experienced in recent years. According to the Australian Bureau of Statistics, wage growth overall was around 3.5% in 2025.

Norway's average salary is one of the highest in the world, yet the country's real pay actually stagnated between 2015 and 2023 as inflation outstripped nominal wage growth. In some cases, real pay actually went down.  

However, workers have generally seen their salaries grow at a faster rate than inflation in recent years, and Norway's predicted wage growth of 4.5% in 2026 remains higher than in many other countries.

Wages in Singapore are rising at a healthy rate, and real purchasing power in the city state has actually improved in recent years as inflation has fallen. Real wages grew by 4% in 2025, compared with 3.2% in 2024. 

However, Singapore is one of the world's most expensive places to live, and its households are not immune to cost-of-living pressures.

Wages in America continue to rise in dollar terms, with average annual wage growth around the 4% mark, a far cry from the record 15% seen in 2021, but healthy nonetheless. However, real wage growth is flat, with inflation basically eroding any gains for the majority of households.

While the job market remains relatively robust, stagnating wages mean many Americans are failing to see a noticeable improvement in their living standards, with the price of housing, food and services continuing to go in one direction.

The world’s highest average salary after deductions belongs to Switzerland. The Alpine nation’s cost of living is extremely high, yet it’s still hard not to be impressed by an average annual take-home income that reaches $90,576 (£67,405), according to Numbeo.   

That said, wage increases are small and uneven, averaging around 2% annually, with the highest rises concentrated in the pharma, AI and engineering sectors.

Liked this? Click the Like button above. And click the Follow button above for more great stories from loveMONEY

Now discover how the average working week compares around the world