Regardless of the reason you may be visiting or moving to the Philippines, knowing how much the average salary in the Philippines is is important. Maybe you are a foreigner who is considering work opportunities in the country, or a local exploring job prospects, or a digital nomad excited about the Philippines’ low-cost living. You will want to know what people earn in various sectors to set your expectations realistically.
In this blog, we break down what the average salary in the Philippines is today, as well as looking into some sectors in particular – IT, general labor, and expat wages. We will also look at questions like, ‘Is $500 a lot of money in the Philippines?’ and ‘Generally, what is a good salary in 2025?’
Factors That Influence Average Salary in Philippines
There are many socio-economic and personal factors that determine the average salary in Philippines. Knowing these can help both local Filipinos and expats make better decisions when it comes to evaluating job opportunities and salary potential.
1. Location
Geography matters. Areas of increased demand and business activity, along with costly living arrangements, like urban areas (e.g., Metro Manila, Cebu, Davao), typically pay higher salaries. The opposite is true for lower-income, rural provincial areas, typically with lower-than-national-average salaries. For example, consider someone working as a call center agent. The call center agent in Metro Manila may earn ₱25,000, but the call center agent in a province may be offered a salary of ₱15,000. This regional salary gap affects the average salary in the Philippines significantly.
2. Industry
Not all industries are the same. The IT, finance, healthcare, and engineering sectors tend to pay higher than the agriculture, retail, or hospitality industries and remain heavy-weight, high-paying industries, attracting skilled workers, ultimately increasing the average salary in the Philippines in these industries.
3. Experience and Skill Level
In the job market, an entry-level graduate with an average skill set in a customer service role may expect to earn ₱15,000, while individuals with 5–10 years work experience and expertise in a customer service field may earn an excess of ₱30,000. Accordingly, salaries can also go significantly above the average in the Philippines for those who possess superior skills, have leadership roles, or are internationally trained, as per the data on the average salary in Philippines.
4. Education
Higher education qualifications often have a positive association with income. A college graduate or certified professional has an advantage in getting jobs that pay above the average salary in Philippines. Specialization, licensing, and lifelong education all play a role in salary growth.
In brief, the average salary in Philippines is not a constant – it is a function of where you live, what you do, what qualifications you have, and what experience you have.
Average Salary In the Philippines by Occupation
1. IT Professionals’ Salary
The average salary for IT workers is usually higher than the national average. Being a rapidly growing industry, this sector is the best-paid in comparison to others.
- Entry-Level Developers: ₱20,000 – ₱35,000/month
- Mid-Level Developers: ₱40,000 – ₱70,000/month
- Senior Developers or Tech Leads: ₱80,000 – ₱150,000/month
IT professionals under specific branches such as cybersecurity, cloud infrastructure, or artificial intelligence can even earn over ₱200,000 if working for a multinational or tech start-up.
The Philippines has a developing tech outsourcing talent pool, and foreign companies are willing to pay well above the average salary in the Philippines to hire the best IT professionals.
2. Salaries of Workers
For men and women performing manual labor or in service industries, the average wage is significantly lower than that of the average worker’s salary in the Philippines.
- Construction: ₱12,000 – ₱18,000/month
- Retail: ₱10,000 – ₱15,000/month
- Call centers: ₱18,000 – ₱30,000/month
- Domestic workers: ₱5,000 – ₱10,000/month
These job positions are integral to the nation’s economy, but they tend to pay less than the average worker’s salary. At the very least, these workers receive guaranteed income through the minimum wage laws the government enforces.
Although workers’ average salaries in jobs like these may not seem high by international standards, most of the time, the very low cost of living offsets the average salary in Philippines.
Is $500 a decent amount of money in the Philippines?
This is a common question that is asked, especially by foreigners and digital nomads. The short answer? It depends.
In dollar form, $500 is roughly ₱28,000 based on current conversion rates.
$500/month can pay you
- Rent for a small apartment outside the city center
- Meals are daily at inexpensive restaurants or home-cooked
- Public transportation and basic utilities
- Internet and basic phone capabilities
- Reasonable entertainment and lifestyle costs
For an average salary in Philippines, as we have discussed in a city like Davao, Iloilo, or Dumaguete, this budget can provide a modest but comfortable living. In Metro Manila, $500 won’t go as far when considering the rising rental costs and living expenses if you want to be considered middle-class.
Big Deal
While $500 might seem a small amount in Western countries such as the U.S. or the UK, a $500/month budget is more than many locals make. A worker earning ₱20,000/month (the national average) takes home far less than someone earning $500/month. This results in a significant amount of money, especially when considering that products and services can be substantially cheaper in provincial areas.
Digital nomads who earn in dollars or euros tend to live quite comfortably in the Philippines because their money goes farther at the current exchange rate. The purchasing power for an average salary in Philippines makes USD 500 better than the locals, especially for a single consumer who is not purchasing luxury items.
However, how one lives an acceptable lifestyle for $500 per month is always contingent on spending habits, location, and expectations. For locals, it can be a life-changing income. For foreigners living in provinces away from the main urban centres, it can be a simple but enjoyable lifestyle. Having the currency advantage is beneficial in various aspects, as you are already earning more than the average salary in Philippines in comparison to the majority of the local people.
How does the Average Salary in Philippines Measure Up Globally?
In comparison to developed countries like the U.S., Japan, or Singapore, the average salary in Philippines of $350–$450 a month is much smaller! – More importantly, when you look at the spectrum of salaries, you also have to take into consideration purchasing power parity (PPP) and the cost of living. While Filipinos may earn lower salaries in a nominal sense, their cost of living in terms of food, housing, commuting, and child care is drastically lower than in developed countries. The cost of living becomes average since the majority of the population in the country falls under the average salary in Philippines.
Just a few comparisons:
- Philippines: $350–$450 (monthly average salary)
- USA: $4,000–$5,000
- India: $300–$500
- Vietnam: $350–$500
- Indonesia: $250–$400
With this in mind, we can see that the average salary in Philippines in nominal terms is roughly similar to other Southeast Asian nations such as Vietnam and Indonesia, but lags behind emerging economies such as Malaysia or Thailand.
The lower average wage in the Philippines is part of the reason the country has transitioned to an outsourcing destination for the world, especially for customer service, IT support, and virtual assistants. The business process outsourcing (BPO) industry can pay workers above the national average, as clients from wealthy economies pay in dollars or euros into the economy. As a result, there is upward pressure on wages, especially in cities where outsourcing is more prominent, such as Manila, Cebu, and Clark. Hence, you can see the average salary in Philippines across the country.
What Is a Good Salary In The Philippines in 2025?
So if the average salary in Philippines is around ₱20,000–₱25,000 a month, what’s considered “good”?
Salary above ₱50,000 is considered a good salary, especially in the provinces. In Metro Manila, a salary above ₱70,000/month allows for a good middle-class lifestyle.
Salaries That Allow for a Good Life:
- ₱50,000/month – Good salary for small families in the provinces
- ₱70,000/month – Enjoyable lifestyle in Metro Manila, includes rent, car (if you have one), and savings
- ₱100,000+/month – For an upper-middle-class lifestyle, travel more and have luxurious experiences
If you earn double the average salary in Philippines, you will most likely have private healthcare, better housing and you could also put your family through the public health system or even secure them an education and make investment plans.
Why Is the Average Salary in Philippines So Low?
There is no singular reason why the average salary in Philippines is so low; many aspects contribute to this reality. The reasons are connected to structural, economic, and educational conditions that have accumulated over time. Key Factors Include:
1. High population and job competition
As the average salary in Philippines, there are over 45 million individuals in the Filipino labor force, which leads to fierce competition for jobs. This creates a labor surplus when supply exceeds demand, which leads to employers having to offer less pay.
2. Reliance on Overseas Filipino Workers (OFWs)
Millions of OFWs work abroad, sending remittance which helps the economy. However, this also eases pressure to raise wages in the Philippines because many skilled workers always have somewhere else to go to get better wages compared to the average salary in Philippines.
3. Prevalence of informal and contractual labor
In comparison to the average salary in Philippines, there are many workers employed in the informal labor sector or contracted who do not offer a formalized contract, benefits, or security. Labor in the informal sector tends to earn lower wages and have fewer protections for the worker, which pulls down the average.
4. Gaps in education
Misalignment of skills and people with jobs, many graduates of Fine Arts degrees do not match with institutional and organizational demands, causing a large sector of society to face lower wages and lower employment (underemployment).
5. Outsourcing economy
Outsourcing, especially in the BPO sector, leads directly to better-than-average pay but ultimately ensures a stable and competitive wage, low in comparison to other countries, but attractive enough to foreign clients.
All of these factors hold down the average salary in the Philippines, though the tables are starting to turn. As the Philippines invests more in tech education, vocational education, and infrastructure, there is hope that wages will rise. Remote work, freelancing, and foreign investment in tech and creative sectors have resulted in some Filipinos overcoming income ceilings that have long been barriers to the labor force overall.
Remote Work and Salary Trends in the Philippines
The global changes that occurred after the pandemic position remote work as a game-changer for the job landscape in the Philippines. Filipinos increasingly find themselves employed by international companies from the comforts of their home, even adopting flexible hours while benefiting from better earnings. In many cases, remote workers can make a significantly higher income than the average salary in the Philippines, allowing them to live better without relocating abroad.
Remote jobs and salary:
- Freelance software development
- Graphic design and UX/UI roles
- Virtual assistance for clients from the U.S. or the U.K.
- Online tutoring or coaching
- Content writing and SEO related roles
Many of these roles are compensated in U.S. dollars, British pounds, or euros, with the potential for conversion into pesos, yielding much higher earnings. For example, when a freelance content writer or virtual assistant can earn $1,500/month (₱84,000), they are reaping nearly three to four times the average salary in the Philippines.
The shift is especially advantageous for workers outside of Metro Manila. Rather than needing to move to find higher wage jobs, they can now earn international salaries while staying in more affordable provinces. This will not only lessen income disparity but will also increase salary expectations in a variety of industries. The gradual uptake of remote work will almost certainly raise the average salary in Philippines as a whole, particularly for less computer-literate staff who can adapt quickly to working in digital platforms and meet global standards.
Conclusion
The average salary in the Philippines shows its share of challenges and advantages. Whilst many Filipino workers earn a decent wage, the current landscape, shifting towards remote work and expanding industries such as tech and healthcare, presents an opportunity that would allow anyone to surpass the national average. Young professionals with growing working experience are finding themselves happier to begin pursuing freelancing, online gig jobs, and exploring career opportunities with international employers to escape becoming ‘stuck’ in the local employers’ salary policies.
In Philippines continues to invest in education, infrastructure, and digital reading for all ages, indicating a sign of improving competitiveness in the workforce on a global scale. As a result of these changes, it is anticipated that the average salary in the Philippines will increase over time, leaving a more favourable future for the next generation of workers in the Philippines.
