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Key Facts: Laos Wages

Country
Laos (LAO)
Continent
Asia
Currency
Lao kip (LAK)
Minimum Wage
₭10,417 /hr ($0.48 USD)
Average Gross Monthly Salary
₭4,000,000 /month
Average Gross Annual Salary
₭48,000,000 /year
Median Individual Income
₭18,000,000 /year
Standard Work Week
48 hours
Data Source
Ministry of Labour and Social Welfare — Lao PDR
Last Updated
2026-02-25
Laos flag

Laos — Average Salary & Wages

Lao kip (LAK) Data verified Jan 2026 Sources

The average salary in Laos is

₭48,000,000 a year

But half of all workers earn less than ₭18,000,000 .

The average is lifted by bonuses and high earners. Most workers earn less than that.

Minimum wage ₭10,417 /hr, up 127% in 6 years Average pay ranks #180 of 206 worldwide Take-home is about 90% of gross

The minimum wage in Laos is ₭10,417/hr ($0.48 USD) as of 2026. The average gross monthly salary is ₭4,000,000 ($185.79 USD). The median monthly income is ₭1,500,000 ($69.67 USD).

Estimates. Laos remains one of the least developed countries in Southeast Asia. Approximately 18% of the population lives below the national poverty line. Subsistence agriculture is the primary livelihood for the majority of the population.

Average monthly earnings in the formal sector. Net estimated after income tax (progressive 0%-25%, with first LAK 1,300,000/month exempt) and social security contributions (5.5% employee). Most workers are in the informal or subsistence agriculture sector and earn less than these figures. Urban workers in Vientiane earn significantly more than rural workers.

Minimum Wage Trend

Since 2018, the minimum wage has grown +127% in nominal terms.

Nominal wage
Compare Laos with other countries

• PPP ADJUSTED

₭10,417/hr $2.38/hr purchasing power

In Laos, the minimum wage has the purchasing power of $2.38/hr in the United States, adjusted for local cost of living using the World Bank PPP conversion factor.

In Context

At minimum wage, a full-time worker in Laos earns ₭1,805,579/mo. That is 45% of the average gross salary.

Monthly (full-time)
₭1,805,579 at min. wage
Share of avg. salary
45% gross, before tax
USD equivalent
$83.86/mo monthly
Nominal growth
+127% since 2018

Wage Breakdown

Hourly
₭10,417
Monthly
₭2,500,000

The minimum wage was raised to LAK 2,500,000/month effective October 1, 2024, up from LAK 1,600,000 (a 56% increase). This was the third increase since June 2022, driven by the depreciation of the Lao kip and rising living costs. Additionally, a subsistence allowance of LAK 900,000 per month is provided to unskilled workers without formal education or training. The minimum wage applies to production, business, service, and household sectors. The combined minimum wage + allowance for unskilled workers is effectively LAK 3,400,000/month.

Work Week

Standard
48 hrs/wk
Maximum
48 hrs/wk
Overtime
1.5x pay

Standard workweek is 48 hours (8 hours/day, 6 days/week). Workers in dangerous conditions are limited to 6 hours/day or 36 hours/week. Overtime is limited to 45 hours/month or 3 hours/day. Overtime compensation: 1.5x regular rate on normal days, 2.5x on weekly rest days during daytime, 3x on rest days at night. Governed by the Labour Law.

How Laos Compares

How Laos wages compare to Asia averages and highest values
Metric Laos Asia Avg.
Min. wage (USD equiv.) $0.48/hr $2.61/hr
Avg. salary (USD equiv.) $185.79/mo $1,185.31/mo

Countries with Similar Minimum Wages

Countries with minimum wages similar to Laos
Country Min. Wage /hr (USD)
Burkina Faso $0.47
Myanmar $0.46
Cameroon $0.46
Sri Lanka $0.45
Benin $0.54
Laos $0.48

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Cost of Living

Wages tell half the story. See purchasing power, prices, and quality-of-life context for Laos on our sister site.

Cost of living in Laos on costofliving.is →

Frequently Asked Questions

What is the minimum wage in Laos?

The minimum wage in Laos is ₭10,417/hr (approximately $0.48 USD), effective since 2024-10-01. The minimum wage was raised to LAK 2,500,000/month effective October 1, 2024, up from LAK 1,600,000 (a 56% increase). This was the third increase since June 2022, driven by the depreciation of the Lao kip and rising living costs. Additionally, a subsistence allowance of LAK 900,000 per month is provided to unskilled workers without formal education or training. The minimum wage applies to production, business, service, and household sectors. The combined minimum wage + allowance for unskilled workers is effectively LAK 3,400,000/month.

What is the average salary in Laos?

The average gross monthly salary in Laos is ₭4,000,000 (approximately $185.79 USD). Average monthly earnings in the formal sector. Net estimated after income tax (progressive 0%-25%, with first LAK 1,300,000/month exempt) and social security contributions (5.5% employee). Most workers are in the informal or subsistence agriculture sector and earn less than these figures. Urban workers in Vientiane earn significantly more than rural workers. Source: Lao Statistics Bureau / World Bank estimates (2024).

How many hours is the standard work week in Laos?

The standard work week in Laos is 48 hours, with a legal maximum of 48 hours. Overtime is paid at 1.5x the normal rate. Standard workweek is 48 hours (8 hours/day, 6 days/week). Workers in dangerous conditions are limited to 6 hours/day or 36 hours/week. Overtime is limited to 45 hours/month or 3 hours/day. Overtime compensation: 1.5x regular rate on normal days, 2.5x on weekly rest days during daytime, 3x on rest days at night. Governed by the Labour Law.

How has the minimum wage in Laos changed over time?

The minimum wage in Laos has changed as follows: ₭1,100,000 in 2018, ₭1,300,000 in 2022, ₭1,600,000 in 2023, ₭2,500,000 in 2024. This represents 4 recorded adjustments.

What is the minimum wage in Laos in USD?

The minimum wage in Laos converts to approximately $0.48/hr in US dollars, based on current exchange rates. Actual purchasing power may differ due to local cost of living.

What is the average salary in Laos in USD?

The average gross monthly salary in Laos is approximately $185.79 per month in US dollars, based on current exchange rates. Actual purchasing power may differ due to local cost of living.

How does Laos's minimum wage compare to the Asia average?

Laos's minimum wage ranks #30 out of 34 countries with statutory minimum wages in Asia, placing it below the median for Asia.

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