Living Wage Series - Colombia - January 2018 - In Colombian Peso, per Month

WageIndicator Living Wage Series - Wages in Context - Living Wages / in 2018

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 uses prices from the Cost of Living Survey to calculate Living Wage in more than 60 countries. The Living Wage is an approximate income needed to meet a family’s basic needs including food, housing, transport, health, education, tax deductions and other necessities.

The following table summarises the varying expenditure and income needs for the three commonly occurring family household compositions.

Expenditure and Living Wage calculation (monthly rates in Colombian Peso)

  Typical family Standard family Single-adult
  from-to from-to from-to
Food 411000-564300 421600-578800 105400-144700
Housing 500000-650000 500000-650000 300000-390000
Transport 120000-160000 120000-160000 60000-80000
Health 40000-100000 40000-100000 10000-25000
Education 80000-177000 80000-177000 0
Other costs 57600-82600 58100-83300 23800-32000
Total Expenditure 1208600-1733900 1219700-1749100 499200-671700
Net Living Wage 671444-963278 677611-971722 499200-671700
Gross Living Wage 738600-1059600 745400-1068900 549100-738900

Note: For more details see Living Wage FAQ.

Family Living Wages (monthly rates in Colombian Peso)

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 most common family household compositions and under different assumptions about working hours.

Typical family (two parents + 1.9 children, 1.8 working) 738600-1059600
Standard family (two parents + 2 children, 1.8 working) 745400-1068900
Two parents and two children, 2 working 670800-962000
Two parents and two children, 1.5 working 894500-1282700
Two parents and two children, 1 working 1341700-1924000
Two parents and three children, 1.8 working 813000-1161700
Two parents and four children, 1.8 working 880600-1254600
Single-adult without children, 1 working 549100-738900

Note: Results in the table are rounded.

Living Wages in Context (monthly rates in Colombian Peso)

The Minimum Wage is a national legally binding obligation on employers which often make no reference to a living standard. Living Wage describes the adequate living standard. The common goal of the many living wage campaigns currently taking place all over the world is to lift Minimum Wages levels to those of the Living Wages. WageIndicator presents Living Wages jointly with Minimum Wages, aiming to raise awareness concerning the remaining differences in levels. Living Wages are presented in context with other wage indicators including prevailing wages of workers over recent years.

  2015 2016 2017 2018
Minimum wage 644350 689455 737717 737717
Living Wage - Single Adult 535400-736500 598800-775600 597200-804200 549100-738900
Living Wage - Typical Family 741900-1088000 806700-1125000 790700-1128900 738600-1059600
Real wage of low-skilled worker 716400-859500 698000-825400 716900-833200 755000-899500
Real wage of medium-skilled worker 883100-1220000 886400-1181300 909200-1206700 924600-1247700
Real wage of high-skilled worker 1554600-2496100 1588900-2470000 1620400-2503700 1651000-2598000

Note: Table shows the lowest monthly Minimum Wage in a country, when available. Reported monthly earnings of workers in low-, medium-, and high-skilled occupations are obtained from the voluntary WageIndicator web survey on work and wages. Results in the table are rounded.

Food basket and food prices in Colombian Peso

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
Wheat, barley and cereals products 67 183 2400-4000
Rice 60 221 1800-2500
Meat (beef, pork, poultry) 114 186 7000-10000
Oils (soyabean, olive, palm) 31 273 5000-6000
Sugar (Raw Equivalent) 124 435 2200-3000
Maize and products 64 198 1800-3000
Milk - Excluding Butter 231 139 2000-2200
Vegetables, Other 40 11 2000-4000
Potatoes and products 71 50 1500-2000
Butter, Ghee 3 22 2750-4000
Groundnuts (Shelled Eq) 6 10 5000-7000
Pulses, Other and products 3 11 1500-3000
Cassava and products 82 71 1500-2000
Egg (price per 10 eggs) 23 30 3000-3000
Sunflowerseed Oil 1 10 6000-8300
Fish products 13 9 10000-14000
Beer 89 32 3600-5000
Sweeteners, Other 1 5 2000-3000
Beans 7 23 2200-3400
Bananas 22 14 1500-2000
Soyabeans 2 6 5000-6000
Yams 12 11 3000-3000
Apples and products 5 2 3000-4000
Tomatoes and products 31 6 2000-2400
Onions 19 8 1500-2500
Oranges, Mandarines 16 5 2000-2500
Plantains 113 103 1500-2000
Peas 4 12 1500-4000
Roots, Other 3 3 2000-3000
Seeds and kernels 0 0 5000-8000
Wine 1 1 13300-24000
Cream 0 0 3400-5000
Olives (including preserved) 0 0 4000-6000
Honey 0 0 5000-6500
Citrus, Other 29 8 1500-3500
Lemons, Limes and products 5 1 1500-2000
Tea (including mate) 0 0 3000-3600
Grapefruit and products 0 0 2000-4000
Coffee and products 4 2 4600-6000

WageIndicator Living Wage background:

The WageIndicator Living Wage is set to provide acceptable living standard to a family of a particular size. WageIndicator presents Living Wages for several household types and working hours which reflect the most frequently found real situations in which people have to make a living: 1. Typical family Living Wage is a baseline estimate that respects the country specific conditions. Typical family is comprised of two adults and the number of children is given by country specific fertility rate (the average number of children a woman is expected to have during her lifespan). One adult is working full-time and the working hours of second adult are approximated by national employment rate. The total income earned by two adults paid living wage is sufficient to reach adequate living standard. 2. Standard family Living Wage is estimated for a family composed of two adults and two children (referred to as family 2+2). Living wage is calculated under different assumptions about working hours. These include that both adults work full-time (family employment rate is 2), or at least one adult works part-time or half-time (family employment rate is 1.8 and 1.5), or one adult does not work at all (i.e. patriarchal model with family employment 1). Alternatives refer to trade-offs between leisure and work and define what living wage represents. In every case the total income earned by two adults paid living wage is sufficient to reach adequate living standard. 3. Extended family Living Wage includes family with three or four children. One adult works full-time and the work intensity of second parent is approximated by national employment rate. 4. Individual Living Wage represents an acceptable standard of living for a single individual working full-time.

Data sources: WageIndicator Cost of Living Survey, World Bank Databank Fertility rate 2010-2014, ILO Estimated participation rate in 2017, FAO Food balance sheet in 2013.