Key Facts: Timor-Leste vs Costa Rica Wages
- Timor-Leste Minimum Wage
- $115/mo
- Costa Rica Minimum Wage
- ₡1,554.55/hr ($3.04 USD)
- Timor-Leste Avg. Gross Monthly Salary
- $350 /mo ($350 USD)
- Costa Rica Avg. Gross Monthly Salary
- ₡620,000 /mo ($1,210.94 USD)
- Data Sources
- Ministry of Commerce, Industry and Environment — Timor-Leste / ILO (2026-02-25), Ministerio de Trabajo y Seguridad Social (MTSS) — Costa Rica (2026-06-01)
Timor-Leste
Costa Rica
Updated 2026-06-01
The minimum wage in Timor-Leste is roughly 38 times higher than in Costa Rica in USD terms, reflecting the gap between a lower-middle-income and a upper-middle-income economy. Average gross salaries diverge further: $350/mo in Timor-Leste versus $1,211/mo in Costa Rica, a 3.5:1 ratio. GDP per capita (PPP) in Costa Rica is 7.0x that of Timor-Leste, underscoring the structural economic divide.
Timor-Leste has lower GDP per capita ($4,423 vs $31,107). Timor-Leste's unemployment rate is 1.6% compared to Costa Rica's 6.8%.
Detailed Comparison
| Metric | Timor-Leste | Costa Rica |
|---|---|---|
| Minimum wage /hr | — | ₡1,554.55 $3.04 |
| Minimum wage /mo | $115 | ₡373,092.42 $728.70 |
| Minimum wage /yr | $1,380 | ₡4,850,201.46 $9,473.05 |
| Avg. gross salary /mo | $350 /mo | ₡620,000 /mo $1,210.94 |
| Avg. net salary /mo | $330 /mo | ₡508,400 /mo $992.97 |
| Median individual income /yr | $1,500 /yr | ₡4,680,000 /yr $9,140.63 |
Percentage differences are based on USD equivalent values. Positive means Timor-Leste is higher.
Work Week
- Timor-Leste
-
40 hrs/wk standard
Max 52 hrs/wk
Overtime : 1.5x pay
Timor-Leste Labour Code sets a standard workweek of 40 hours (8 hours/day, 5 days). Maximum including overtime is 52 hours. Overtime is compensated at 1.5x the normal rate. Work on public holidays and Sundays is at 2x.
- Costa Rica
-
48 hrs/wk standard
Max 48 hrs/wk
Overtime : 1.5x pay
Labour Code sets maximum ordinary workday at 8 hours (daytime) and 6 hours (nighttime), with 48-hour weekly maximum for day shifts and 36 hours for night shifts. Mixed shifts max at 7 hours/day (42/week). Overtime paid at 150% of regular rate (50% premium). In practice, many formal sector jobs work 40-45 hours.
What This Means for Workers
A minimum wage worker moving from Costa Rica to Timor-Leste would see a 3688% increase in USD-equivalent hourly earnings. Standard work weeks differ: Timor-Leste mandates 40 hours while Costa Rica mandates 48 hours. A minimum wage worker's weekly earnings in Timor-Leste are $4,600 vs $146 in Costa Rica.
See this comparison from Costa Rica's perspective: Costa Rica vs Timor-Leste
Compare Timor-Leste with...
Frequently Asked Questions
Is the minimum wage higher in Timor-Leste or Costa Rica?
In Timor-Leste, the minimum wage is $115/mo. In Costa Rica, it is ₡1,554.55/hr ($3.04 USD). Timor-Leste has the higher rate by 3688% in USD terms. That nominal gap does not account for local prices; see the purchasing power comparison below for a cost-of-living-adjusted view. Workers in Costa Rica may retain a larger share of their earnings if prices there are lower.
How much less does the average worker earn in Timor-Leste compared to Costa Rica?
The average gross salary in Timor-Leste is $350/mo, compared to ₡620,000/mo ($1,210.94 USD) in Costa Rica. In USD terms, workers in Timor-Leste earn approximately 246% less. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Timor-Leste and Costa Rica is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Costa Rica earn more in nominal terms, though how far that income stretches depends on local prices in Timor-Leste.
How do work hours compare between Timor-Leste and Costa Rica?
Costa Rica has a longer standard work week at 48 hours, compared to 40 hours in Timor-Leste. Workers in Timor-Leste work 40 hours per week by law. Longer mandatory hours can offset a nominally higher wage; a worker in Timor-Leste working fewer hours may have comparable or better effective hourly earnings depending on the wage levels of each country. Total annual compensation depends on both the wage rate and the number of hours required.
What is the cost of living difference between Timor-Leste and Costa Rica?
While direct cost of living data varies by source, GDP per capita (PPP) gives a useful proxy for overall economic level. Costa Rica has the higher GDP per capita at $31,107, which is 7.0x that of Timor-Leste at $4,423. From Timor-Leste's perspective, this means goods and services are priced at a lower economic level. A higher GDP per capita generally correlates with higher wages, higher consumer prices, and greater availability of goods and services. Workers moving between these two countries should expect significant differences in rent, food, and transportation costs.