Minimum Wage in Mexico
The daily minimum wage in Mexico is divided in geographical zones, A,B, and C. Geographical zone a, which comprehends Ciudad Juarez, Chihuahua as of January, 2009 is $54.80 pesos (approximately U.S. $4.21 dollars), which aggregates to a cost per hour of 30-35% including the benefits mandated by law and some non-mandated benefits typically granted to employees in maquiladoras.
|
Mexican Pesos |
U.S.
Dollars |
|
|
|
|
|
|
| Minimum Wage/day |
$ 54.80 |
$ 4.21 |
| Salary Composition |
|
|
| Base annual salary (minimum wage 365 days) |
20,002.00
|
1,538.62 |
| Christmas bonus (15 days minimum
wage)
|
822.00
|
63.23 |
| Vacation bonus (25% of 7 days x minimum
wage)
|
95.90
|
7.38 |
| Profit sharing (12 days per
year)
|
657.60
|
50.58 |
| Total Salary
|
21,577.50 |
1,659.81 |
| Taxes and Required Fringe
Benefits Paid by Employer |
|
|
| 5%
housing
|
1,000.1 |
76.93 |
| 2.08% state and
university
|
416.04 |
32.00 |
| Social
Security
|
4,600.46 |
353.88 |
| 2% Retirement fund
(SAR)
|
400.04 |
30.77 |
| Total Taxes |
6,416.64 |
493.58 |
| Additional Fringe
Benefits - Optional |
|
|
| Savings Fund
(10%)
|
2,000.2 |
153.86 |
| Cafeteria
|
4,600.06 |
353.85 |
| Transportation
|
2,000.2 |
153.86 |
| Uniforms
|
226.02 |
17.39 |
| Attendance
bonus
|
1,140.1 |
87.70 |
| Food
Bonus
|
4,600.06 |
353.80 |
| Total Benefits |
14,566.64 |
1,120.51 |
|
|
|
| Total
Cost of Minimum Wage Employees with benefits per year |
|
|
| 42,560.78 |
3,273.91 |
| Cost per
hour
|
17.79 |
1.37 |
|
|
|
| Hours worked per day 8/48 hour work week |
|
|
| Hours worked per year
|
2,392
|
|
| Total days worked per year |
299 |
|
Note: Exchange rate is calculated at 13.0 pesos to the dollar.
Updated: April 2010