MINIMUM AND AVERAGE SALARY IN LATVIA

Latvia is a small Baltic state located in the northern part of Europe. It borders Estonia to the north, Russia to the east, Belarus to the south-east, and Lithuania to the south. Since 2004 Latvia is part of the European Union, and in 2014 joined the euro zone.

Salary in Latvia

Latvia is home to only 1.8 million people, and the labor force is about 965 thousand. The unemployment rate is about 6–7%. The population of the state consists of 35-40% Russian-speaking citizens, while the share of ethnic Russians is about 25-27%. Next, let's find out what salary in Latvia in 2024.

Minimum salary in Latvia

According to official figures from the Latvian government, the minimum wage in Latvia in 2024 is 700 euros per month. This is the lowest figure among the Baltic countries. In Lithuania, workers receive a minimum of 924 euros, and in Estonia 820. Compared to all EU member states, the minimum wage is lower than in Latvia only in Bulgaria – 933 Bulgarian levs per month, which is equivalent to 475 euros. The highest rate is in Luxembourg – 2,570.93 euros per month.

Note. The minimum wage in Latvia is regularly revised to take into account several factors, in particular the economic situation, changes in productivity, development of the labour market, unemployment rate and possibilities of the central budget.

According to Article 61 (paragraph two) of the Latvian Labor Law, the level of the minimum wage in Latvia is established by the Cabinet of Ministers. Until 2021, the rate did not change for 3 years. The last increase took place in 2018 – from 380 to 430 euros. In 5 years, the minimum wage in Latvia has increased by 270 euros, and in 10 years by 380 euros.

Average salary in Latvia

According to official figures from the Latvian Central Statistical Bureau, the average salary in Latvia in 2024 is 1,537 euros per month before taxes. Compared to last year, the earnings of Latvian workers increased by 164 euros or 11.9%. After taxes, the average salary in Latvia is 1,119 euros. During the year, net wages increased by 11.3%. Taking into account rather high inflation in 2023, the real wage growth of Latvians amounted to 2.2%.

Important. Median average salary in Latvia in 2024 is 1,225 euros before tax and 905 euros after all deductions.

AVERAGE SALARY IN LATVIA BY REGION

Region Euro per month (gross)
Riga 1,706
Riga planning region 1,505
Kurzeme 1,306
Zemgale 1,293
Vidzeme 1,242
Latgale 1,083

In 2024, the average salary in Latvia in the private sector was 1,533 euros, and in the public sector – 1,553 euros. Overall, earnings increased in almost all sectors of the Latvian economy, but especially in health care and social work. Similar trends were also observed in mining and quarrying, manufacturing and information and communication services.

SALARY IN LATVIA BY SECTORS OF ECONOMY

Economic sector Euro per month (gross)
Financial and insurance 2,678
Information and communication 2,549
Supply of electricity, gas, steam and air conditioning 1,972
Professional and scientific-technical activity 1,969
Public administration 1,810
Mining 1,703
Health care and social work 1,654
Agriculture, forestry and fishing 1,545
Water supply, sewerage and waste management 1,519
Transportation and storage 1,477
Production 1,460
Construction 1,449
Wholesale and retail trade 1,365
Administrative and support services 1,310
Art, entertainment and leisure 1,286
Education 1,247
Real estate operations 1,247
Accommodation and meals 993
Other services 1,247

Note. Information on average wages by region and sector is based on official data of the Central Bureau of Statistics of Latvia.

In conclusion, it should be noted that the income tax rate in Latvia on the wages of hired workers varies from 20 to 31.4%. At the minimum rate of 20% the annual income is taxed less than 20,004 euros per year, and at the maximum rate of 31.4% the income over 78,100. The rate of 23% is provided for annual income from 20,005 to 78,100 euros.

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