Which Countries Have the Highest Average Salaries After Cost-of-Living Adjustment in 2026? Top 10
Updated: 2026-08-24Iceland
Iceland had the highest average annual gross wage in the OECD in 2025 after adjusting for purchasing power. The figure equals about $8,384 per month when divided by 12.
Luxembourg
Luxembourg ranked second with an average annual gross wage of $98,530 in PPP-adjusted US dollars, or about $8,211 per month.
Switzerland
Switzerland ranked third with an average annual gross wage of $92,285 after purchasing-power adjustment. Its high wages remain among the strongest in the OECD even after accounting for local prices.
United States
The United States ranked fourth with an average annual gross wage of $86,977 on a PPP basis, equivalent to about $7,248 per month before taxes.
Netherlands
The Netherlands ranked fifth with an average annual gross wage of $80,136 in PPP-adjusted dollars, or approximately $6,678 per month.
Belgium
Belgium ranked sixth at $80,009 per year. Its PPP-adjusted average wage was almost identical to the Netherlands, with a difference of only $127.
Denmark
Denmark ranked seventh with an average annual gross wage of $78,090 after adjusting for purchasing power, or about $6,508 per month.
Austria
Austria recorded $78,301 in PPP-adjusted average annual wages in 2025. Its position is very close to Denmark and slightly higher in the OECD dataset.
Germany
Germany ranked ninth with an average annual gross wage of $76,285 on a PPP basis, equal to about $6,357 per month before taxes.
Norway
Norway completed the top 10 with an average annual gross wage of $73,462 after purchasing-power adjustment.
Frequently Asked Questions
Which country has the highest average salary in 2026?▼
Using the latest OECD 2025 wage data and adjusting for purchasing power, Iceland ranks first with an average annual gross wage of $100,605. Luxembourg follows at $98,530 and Switzerland at $92,285.
Which country has the highest salary after cost of living?▼
Iceland ranks first among OECD countries when 2025 average gross wages are compared using purchasing power parity, with $100,605 per year. PPP adjusts the comparison for differences in the prices of goods and services between countries.
Is the highest average salary the same as the highest take-home pay?▼
No. This ranking uses gross average wages before personal income taxes and other deductions. A country can have a high gross salary but a lower take-home salary because of taxes, social contributions and other deductions.