If you’re hiring in El Salvador, it’s important to adhere to the latest laws surrounding minimum wage to remain compliant as an employer. Learn what the updated minimum wage is, how it applies to different workers, and factors influencing minimum wage in El Salvador.
Capital City
San Salvador
Currency
United States Dollar
(
$
)
Timezone
CST
(
GMT -6
)
Payroll
monthly
Employment Cost
15.25% - 16.25%
As of June 1 2025, El Salvador's minimum wage varies by industry. The rates are standardized in U.S. dollars (USD), as El Salvador uses the USD as its official currency.
The current monthly minimum wages are:
Average Minimum Wage: This refers to the mean wage calculated across various sectors. In El Salvador, the average minimum wage is sector-dependent, ranging from $272.53 to $408.80.
Reasonable Minimum Wage: A wage level considered sufficient to cover basic living expenses. While the legal minimum wage in El Salvador ranges from $272.53 to $408.80 monthly, discussions continue about whether these amounts meet the reasonable cost of living, especially given the varying expenses across regions.
Typical Minimum Wage: The most commonly observed minimum wage within the country. In El Salvador, the typical minimum wage aligns with the $408.80 per month rate prevalent in commerce, services, and industry sectors.
Full-time employees are entitled to the full monthly minimum wage corresponding to their industry sector. For example, a full-time worker in the commerce sector would earn $408.80 per month.
Part-time employees receive wages proportional to the hours they work, based on the standard hourly rates derived from the monthly minimum wage of their respective sectors.
El Salvador's labor laws do not explicitly address minimum wage provisions for interns and trainees. Compensation for these positions varies and may be subject to employer agreements.
Expatriates working in El Salvador are subject to the same minimum wage laws as local employees.
Minimum wage rates differ across industries to reflect economic conditions and labor demands. The commerce and services sectors have higher minimum wages compared to agriculture.
Inflation and employment rates significantly impact minimum wage policies. The government reviews wages to ensure they align with the cost of living adjustments.
The Salvadoran government, through its Ministry of Labor, establishes and reviews minimum wage rates in consultation with labor and employer representatives.
El Salvador's minimum wage has undergone periodic adjustments, with the most recent increase in August 2021. Future reviews will consider economic conditions and labor market changes.
El Salvador's minimum wage policy has undergone significant changes over the past decade, reflecting efforts to balance economic growth with workers' welfare.
Historical Changes:
While El Salvador has established minimum wage rates for various sectors, top-paying roles often have salaries negotiated on a case-by-case basis, reflecting the specialized nature of these positions. Top paying roles in El Salvador and their average salaries include:
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Disclaimer
THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). Playroll does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect Playroll’s product delivery in any given jurisdiction. Playroll makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.
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In El Salvador, the average minimum wage is sector-dependent, ranging from $272.53 to $408.80 per month.
Generally, all employees are entitled to the minimum wage corresponding to their industry sector.
The minimum wage is reviewed at least every three years by the National Minimum Wage Council.
As of June 1, 2025, the minimum wage in El Salvador ranges by sector, with the highest rate at US $408.80 per month (≈ US $13.44/day) for commerce, services, and industry, and the lowest at US $272.53 per month for agriculture. In contrast, estimates of the living wage—the income needed to meet basic food, housing, health, and education costs—are significantly higher, often cited at US $600–700 per month in urban areas. This gap fuels ongoing debate about whether current minimum wages adequately cover the real cost of living.
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