MINIMUM AND AVERAGE SALARY IN ESTONIA

Estonia is located in the northern part of Europe. In the east it borders with Russia, in the south with Latvia. Washed by the waters of the Baltic Sea. Since 2004 it is a member of the European Union, and in 2011 joined the euro zone. In terms of economic development and living standards, Estonia is considered the most prosperous country in the Baltics.

Salary in Estonia

The population of Estonia is only 1.3 million people, and the labor force is about 694 thousand. The unemployment rate is around 7–8%. The largest city and capital of the country, Tallinn, is home to about 453 thousand people, of which about 40% are ethnic Russians. Let's find out what salaries in Estonia in 2021.

Minimum salary in Estonia

According to the official data of the Estonian government, the minimum wage in Estonia in 2021 is 584 euros per month or 7,008 euros per year. The hourly rate is 3.48 euros. This is the average among the Baltic countries. In Lithuania, workers receive a minimum of 642 euros, and in Latvia 500. For example, in Poland, the minimum wage is 2,800 PLN (615 euros).

Important. Estonian primary and secondary school teachers earn a minimum of 1,315 euros.

Compared to last year, the minimum wage in Estonia has not changed, but in comparison with 2019 it has increased by 44 euros per month or 8.15%. Inflation in Estonia at the end of 2020 was negative, so the purchasing power of Estonian workers did not decrease significantly. Over the past 6 years, the minimum wage in Estonia has increased by 194 euros - from 390 euros in 2015 to 594 euros in 2020.

Average salary in Estonia

According to the official information of the Estonian Statistical Office, the average salary in Estonia in 2021 is 1,515 euros per month. The hourly rate is 8.70 euros. Compared to last year, the salaries of Estonian workers have increased by 43 euros (1,472 euros in 2020). In the last 6 years the average salary in Estonia has increased by 476 euros.

The average gross income of men in Estonia is 1,530 euros per month, and 1,243 euros for women. Workers between the ages of 25 and 49 earn the highest average gross income of 1,544 euros per month. Young people under 25 have the lowest income, earning 932 euros per month.

Income was highest in Harju county (1,541 euros) and lowest in Ida-Viru county (1,088 euros). The highest average salary in Estonia is in information and communication, as well as financial and insurance activities, and the lowest in accommodation and catering services and real estate transactions.

AVERAGE SALARY IN ESTONIA BY SECTOR OF ECONOMY

Sector of economy Euro per month
Information and communication 2,574
Financial and insurance activity 2,461
Supply of electricity, gas, steam and air conditioning 2,118
Public administration and protection 1,835
Extraction of mineral resources 1,697
Professional and scientific-technical activity 1,676
Health care and social work 1,532
Water supply and waste management 1,433
Education 1,397
Transportation and storage 1,387
Construction 1,365
Manufacturing 1,363
Administrative and support services 1,212
Fishing, agriculture and forestry 1,202
Wholesale and retail trade 1,187
Art, entertainment and leisure 1,129
Operations with real estate 1,050
Accommodation and meals 860
Other services 1,133

Note. Information on average wages by sector is based on official data from Statistics Estonia.

In conclusion, we note that the Estonian income tax rate from the salaries of employees is 20%. As of 1 January 2018, the total tax-free amount (basic exemption) is 6,000 euros per year (500 euros per month).

Add comment


Security code
Refresh

© 2021 WageCentre.com. All Rights Reserved.