Living wage Series - Guatemala - August 2017 - In GTQ per Month

WageIndicator Living Wage Series - Wages in Context - Living Wages / in 2017

The Living Wage is based on the concept that work should provide an adequate income to cover the necessary living costs of a family. WageIndicator calculates Living Wage for around 50 countries based on prices collected within the WageIndicator Cost of Living Survey. The Living Wage calculated by WageIndicator is composed of seven parts: food, housing, transport, health, education, tax and other costs.

WageIndicator presents Living Wages for several household types and working hours to respond to different demands for living wage information: Typical family Living Wage is a baseline estimate that respects the country specific conditions. Family includes two adults and the number of children is given by country specific fertility rate (3.3 children per woman). One parent is working full-time and the working hours of second parent are approximated by national employment rate (66% in 2017). Standard family Living Wage is estimated for a family composed of two adults and two children. One parent is employed full-time and the second parent works 4 days a week it means family employment rate is 1.8. Single-adult Living Wage represents an acceptable standard of living for a single individual working full-time with no dependents.

Expenditure and Living Wage calculation (monthly rates in GTQ)

  Typical family   Standard family   Single-adult  
  from to from to from to
Food 1350 1690 1020 1280 255 320
Housing 1090 1250 1090 1250 600 900
Transport 120 240 120 240 60 120
Health 300 700 300 700 75 175
Education 500 1100 500 1100 0 0
Other costs 170 250 150 230 50 76
Total Expenditure 3530 5230 3180 4800 1040 1591
Net Living Wage 2076 3076 1767 2667 1040 1591
Gross Living Wage 2222 3292 1890 2853 1113 1702

Note: For more details see Living Wage FAQ.

Family Living Wages (monthly rates in GTQ)

There is not a single answer to what is the adequate cost of living. The result is complex, as the cost of living varies by household composition, location, and employment pattern. The following table presents the Living Wage estimates for a set of common household compositions and under different assumptions about working hours.

  from to
Typical family (two parents + 3.3 children, 1.7 working) 2220 3290
Standard family (two parents + 2 children, 1.8 working) 1890 2860
Two parents and two children, 2 working 1700 2570
Two parents and two children, 1.5 working 2270 3430
Two parents and two children, 1 working 3410 5140
Two parents and three children, 1.7 working 2170 3230
Two parents and four children, 1.7 working 2340 3450
Single-adult without children, 1 working 1120 1700

Note: Results in the table are rounded.

Living Wages in Context (monthly rates in GTQ)

Living Wages are presented in context with other wage indicators including minimum wage, poverty line, and various prevailing wages of workers. Table shows the development of income levels over two years.

7-12/20151-6/20167-12/20161-6/2017
  from to from to from to from to
Minimum wage 2201 . 2277 . 2277 . 2417 .
Living Wage - Typical Family 2920 4480 2630 4210 2560 3890 2220 3290
Living Wage - Single Adult 1350 2360 1370 2280 1350 2170 1120 1700
Real wage of low-skilled worker 2800 4530 2340 2760 2340 2810 2900 3620
Real wage of medium-skilled worker 2850 4070 3010 3820 3000 3910 3200 4460
Real wage of high-skilled worker 4470 7510 5130 8020 4830 7880 4800 8090

Note: Reported monthly earnings of workers in low-, medium-, and high-skilled occupations are obtained from the voluntary WageIndicator web surveys on work and wages over the last 36 months. Results in the table are rounded.

Living Wage model diet and food prices in GTQ

The food expenditure is the main component of Living Wage and it is determined by the price of food basket. The food prices are taken from WageIndicator Cost of Living Survey which collects the actual prices of all items necessary to calculate the Living Wage. The composition of the food basket is taken from the national food balance sheets published by the UN Food and Agriculture Organization (FAO). The food basket is scaled to 2,100 calories per person per day that is the nutritional requirement for good health proposed by World Bank (Handbook on poverty and inequality, 2009).

Food itemGrams per dayEnergy (kcal)Price per kilo fromto
Wheat, barley and cereals 92 258 8 10
Rice 14 47 4 5
Meat (beef, pork, poultry) 69 89 20 28
Oils (soyabean, olive, palm) 16 142 . .
Sugar (Raw Equivalent) 116 410 8 10.5
Maize and products 213 731 2 3
Milk - Excluding Butter 114 68 9 10
Vegetables, Other 85 22 6 10
Potatoes and products 26 13 4 6
Butter, Ghee 3 20 7 10
Groundnuts (Shelled Eq) 8 20 40 40
Pulses, Other and products 7 23 . .
Cassava and products 3 3 4.5 10
Egg (price per 10 eggs) 36 46 200 13
Sunflowerseed Oil 2 20 . .
Fish products 3 2 20 26.5
Beer 27 10 14 20
Sweeteners, Other 2 6 6 7
Beans 30 100 5 10
Sweet potatoes 0 0 4 6
Bananas 13 8 5 6
Soyabeans 1 3 22 25
Apples and products 3 2 10 15
Tomatoes and products 36 8 4 6
Onions 18 7 4 8
Oranges, Mandarines 39 12 5 10
Plantains 7 5 6 10
Peas 0 1 15.5 16
Roots, Other 0 0 4 4
Seeds and kernels 3 15 10 16
Wine 1 0 66.7 80
Cream 1 2 12 16
Olives (including preserved) 0 1 . .
Citrus, Other 1 0 6 6
Lemons, Limes and products 18 3 3.5 5
Tea (including mate) 0 0 15 16
Grapefruit and products 0 0 3 4
Coffee and products 7 4 20 24

Data sources:

Living Wage FAQ.

WageIndicator Cost of Living Survey

World Bank Databank, Fertility rate – average births per woman in years 2010-2014

ILO, Estimated participation rate in 2017

FAO, Food balance sheet in 2013 

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