EL SALVADOR

This report updates the Anker Living Wage Reference Value for rural El Salvador to 2023. The updated Anker Gross Living Wage for 2023 is USD 4072 per month, comprised of a Net Living Wage of USD 365, plus a social security contribution to State Welfare and private pension of USD 42. The Gross Living Wage was USD 355 for 2020 in the original Reference Value report, comprised of a Net Living Wage of 318 USD plus a social security contribution of USD 36. Inflation in this period was 14.7% . Without accounting for inflation, the Living Wage estimated in 2020 would not be sufficient for families to afford a basic but decent standard of living in 2023, because the purchasing power of the living wage would have decreased. Social security contributions and income tax were calculated using tax laws in force in June 2023.

This report updates the Anker Living Wage Reference Value for urban El Salvador to 2023. The updated Anker Gross Living Wage for 2023 is USD 5392 per month, comprised of a Net Living Wage of USD 484, plus social security contributions of USD 55. The Gross Living Wage was USD 519 for 2022 in the original Reference Value report, comprised of a Net Living Wage of 466 USD plus deductions on the gross wage of USD 53. Inflation in this period was 3.8% . Without accounting for inflation, the Living Wage estimated in 2022 would not be sufficient for workers and their families to afford a basic but decent standard of living in 2022, because the purchasing power of the living wage would have decreased. Social security contributions and income tax were calculated using tax laws in force in 2023.

This report updates the Anker Living Wage Reference Value for rural El Salvador to 2022. The updated values for 2022 are: (i) Gross Living Wage of: USD 3932 , comprised of a Net Living Wage of USD 352, plus a social security contribution to State Welfare Fund and private pension of USD 41. The living wage was USD 355 for 2020 in the original Reference Value report,3 comprised of a Net Living Wage of 318 USD plus a social security contribution of USD 37. Inflation in this period was 10.55%4 and it increased the net living wage. Without accounting for inflation, the living wage estimated in 2020 would not be sufficient for families to afford a basic but decent standard of living in 2022, because the purchasing power of the living wage would have decreased. Social security contributions and income tax were calculated using the most up-to-date tax laws.