Work & incomeChile
Tax on pay in Chile
How much of my salary never arrives?
Chile's tax on pay is 7.11 % — #2 of 37 countries on the atlas (lower is better). Period 2025.
7.11%
Source: OECD Taxing Wages + OECD Tax Database
Of every $100 of gross pay at the average wage in Chile, about $7 goes to income tax and employee social contributions.
Among 37 countries
- Rank
- #2 of 37
- lower is better
- Ranked behind
- 95 %
- 35 of 37 countries
vs median 24.93 %: −17.82 pp (better)
The neighbourhood
| # | Country | Tax on pay | vs Chile |
|---|---|---|---|
| 1 | Colombia | 0.00 % | −7.11 pp |
| 2 | Chile | 7.11 % | — |
| 3 | Costa Rica | 9.85 % | +2.74 pp |
| 4 | Mexico | 13.17 % | +6.06 pp |
| 5 | South Korea | 16.53 % | +9.42 pp |
Income tax plus employee social contributions as a share of gross pay, for a single person at the average wage (OECD). The share of a salary that never arrives.
How to read this figure
The OECD net personal average tax rate: income tax plus the EMPLOYEE’s social contributions as a share of gross wage earnings, for a single person with no children at exactly the average wage. This is the rate you can apply to a salary. It is deliberately smaller than the tax wedge on the same page, which measures a wider bite (it adds the employer’s contributions) over a wider base (total labour cost) — two honest answers to two different questions.