The GapCheck is a tool that allows you to compare your basic wage (guaranteed pay without extras) with the Living Wage estimate for your region.
Companies often use this to understand what counts as a basic wage and what should be considered extras, like bonuses, allowances, or in-kind benefits. If there's a difference between your basic wage and the Living Wage, the tool will show the gap in red.
Companies that want to implement a Living Wage policy need to know the difference between basic pay and extras, like bonuses, allowances, or in-kind benefits. A Living Wage is about guaranteed basic wage, not dependent on overtime or performance. The GapCheck focuses on what the employee receives for regular work, without conditions.
The Fast Track is a quick check to see if your basic wage is close to the Living Wage in your area.
The GapCheck for an employee (yourself) is a detailed check. It asks questions about your wage, bonuses, allowances, and in-kind benefits (if any). It's useful for both workers and companies to get a clear first insight.
The GapCheck for a group or all employees is a contact form. The idea: companies can ask for a pre-filled self-explanatory Excel sheet to input wages and benefits. With a few simple steps, the company can analyze the gap. WageIndicator can assist over email. This route is not for free.
This is because the GapCheck is always up to date! It uses the most recent Living Wage estimates (from the last quarter) and compares them to your most recent salary.
For details related to Living Wages, check the FAQ for Living Wages.
See the list of available countries and regions, updated quarterly: https://wageindicator.org/salary/living-wage/list-of-country-region-living-wages-data-availability
WageIndicator suggests the below principles when looking at what to include or what to exclude in the implementation of Living Wage payments.
Inclusion and exclusion in the paid wage
| Item | Include in paid wage |
| Basic wage for full-time worker | Yes |
| Shifts, unsocial hours, or weekend work allowance | No |
| Hardship allowance | No |
| Production bonus | No |
| Seniority or skill bonus | No |
| Cost-of-living adjustment | No |
| 13th month / 14th month salary | Yes, if divided by 12 |
| End of year / Christmas / Eid – bonus | Yes, if divided by 12 |
| Holiday / visit 'home' bonus | Yes, if divided by 12 |
| Free housing and utilities, such as water or electricity | Yes, cash equivalent with limitations (not more than 25% of the Living Wage in total and not more than the calculated component) |
| Free meals / food rations given for free at work | Not recommended, but the cash equivalent can be considered with limitations (not more than 25% of the Living Wage in total, not more than the relevant portion of the calculated component) |
| Free transport / free fuel / free car to and from the place of work | Not recommended, but the cash equivalent can be considered with limitations (not more than 25% of the Living Wage in total, not more than the relevant portion of the calculated component) |
| Free school for workers’ children provided by employer | Yes, cash equivalent with limitations (not more than 25% of the Living Wage in total and not more than the calculated component) |
| Private medical insurance / free medical services, paid by the employer | Yes, cash equivalent with limitations (not more than 25% of the Living Wage in total and not more than the calculated component) |
| Savings fund | No |
Note: the total of the cash-equivalents cannot be more than 25% of the Living Wage
Source: WageIndicator Foundation 2024
Check chapter 6 of the Living Wages FAQs: https://wageindicator.org/salary/living-wage/faq-living-wage
Yes, there are differences. WageIndicator tries to make Living Wages implementation easy, therefore also the analysis by the GapCheck is kept simple. The basic wage is what everyone receives without any addition. Bonuses/allowances/in-kind are only included if all employees get them and they are guaranteed. Some in-kind items (like housing or schooling) can be counted, up to a limit. Other organizations (like IDH’s Salary Matrix) may allow more flexibility—for example, setting the limit to in-kind benefits to 30%, instead of the 25% limit of the WageIndicator GapCheck. Other players in the field allow to include overtime in the basis wage, while WageIndicator assumes not more than a full-time standard working week.
Without clear rules, any company could claim to pay a Living Wage even if most workers don’t actually receive it.
Example 1: If a 13th-month/Eid/Christmas bonus is counted, but workers are fired before receiving it, it's not real. It should be included only when all workers get it proportionally every month.
Example 2: If someone works 60–80 hours a week, their overtime pay shouldn't be used to claim Living Wage. The comparison should be based on a standard full-time week only, which is what the WageIndicator Liivng Wages are calculated for.