The Kingdom of Norway is one of the most developed countries in the world and ranks 1st in terms of standard of living, economic development and average salary. The country is located in Northern Europe, but is not a member of the European Union.
This in no way prevents it from developing and maintaining economic relations with other European countries.
The main income in the Kingdom of Norway is from oil,fishing and mining.
Despite the low levels of unemployment, the country is ready to accept foreign specialists.
Global economic crises have in no way affected the development of the economy and the standard of living of the population.
According to sociological data, the unemployment rate in Norway is 3.7%.
The average salary is higher than in the most developed European countries, which makes the kingdom extremely attractive for living and working.
Employers here adhere very strictly to the labor legislation, according to which the working day does not exceed 9 hours and the working week 40 hours.
According to studies, Norwegians spend an average of 30 hours a week at work. This of course in no way negatively affects labor productivity and employees feel the most protected and happiest in the world.
Minimum wage in Norway
The national currency of the country is the Norwegian krone. At the legislative level, there is no minimum wage,it is set and regulated at the level of trade unions and local authorities. The contract between the employees and the employer determines the level of remuneration.
In some sectors of the economy, however, a minimum wage per hour of work is established. In this way, both domestic and foreign workers receive a guarantee of a high salary. Average earnings in Norway depend on the worker’s qualifications, experience and age. As an example, the minimum wage for a qualified specialist is higher than for an employee without experience.
Young workers who have already reached the age of 18 receive on average 80 % of the minimum rate.
If an employee works overtime, works shifts or works on weekends, his minimum wage will be increased. In Norway, responsible and reliable employees are valued.
Average salary in Norway
The constant growth of income, comfortable working conditions and protection of every employee this puts the country at the forefront of the world. The average salary exceeds 4,800 euros before taxes. Men’s average monthly income relative to women is 15% higher.
Average salaries are the same for both domestic and foreign employees. It is because of its high level of pay that the kingdom attracts many labor migrants from the European Union and Eastern Europe. Foreigners can earn even more because Norwegians do not want to occupy positions related to physical labor. Thus, finding a job in a fish factory or farm, you can earn more than 4,800 euros.
The average wage in Norway is significantly higher than in other European countries and there is a trend towards annual wage increases.
Salary in Norway by profession
The amount of wages depends primarily on the field of employment and here are some examples of salary by profession in euros:
§ Engineers 4 850
§ Lawyers 4 650
§ Financiers 6 000
§ Programmers 5 720
§ Doctors 4,600
§ Dentists 5 100
§ Architects 4 500
§ Teachers 4 400
§ Policemen 4 600
§ Firefighters 4 720
§ Drivers 3 100
By 2023, there continues to be a shortage of IT specialists, economists, financiers, managers and doctors. Foreigners can fill these positions if they prove to be of real value to the company. Despite the transparent conditions of employment of citizens from other countries, the employer first searches among the local population and can then hire a foreign employee.
You can also receive decent wages in the construction industry of 4,400 euros, depending on the profession, and support workers can also receive a high salary.
Employees in fish enterprises and factories are sought. On average, an unskilled employee is offered around 3,500 euros per month. Factories and enterprises offer jobs on a rotational basis for 3 or 6 months.
The lowest salaries are in the service sector. Hotel employees, cooks, waiters, cleaners receive about 3,000 euros.
Wages by region in Norway
Unlike other European countries, where there is a significant difference in pay by region in Norway, this difference is almost insignificant. For example, in the capital Oslo and other large cities compared to small settlements and rural areas, there is almost no difference in wages.
High wages in all regions of the country are mainly due to the fact that Norway has natural oil and gas reserves. The country, which has a monopoly on natural resources, manages the commodity sector and directs profits to the social needs of citizens.
Payroll taxes in Norway
The Norwegian government is building a system in which, even in times of crisis, it does not reduce the cost of social programs and salaries in the public sector. The tax system is considered complex, but also the most perfect. For citizens and foreigners, the same system for calculating taxes applies. Approximately half of the net salary goes to the payment of taxes.
Citizens working in Norway pay the following fees:
§ Social security fund 8,2 %
§ Personal income tax is 24 %
§ If the annual income is less than 165,000 kroner (22,150 euros), 0 rate applies.
§ If the annual income exceeds 550,000 kroner (73,860 euros) but is less than 885,000 kroner (118,850), the tax is 9%. If the income exceeds 885 000 kroner, 12 % is charged
The average salary after tax is reduced from 30 % to 50 % depending on the employee’s salary.
People earning more than 1,500,000 CZK per year (€201,450) are subject to wealth tax and pay 0.15% of income as a state fee and 0.7% of income as a municipal tax.
Cost of living in Norway
The average salary, as we have already said, is 4,800 euros, making Norway the most prosperous country to live in.
Despite the high levels of pay, the cost of food and housing is also quite high.
In Norway, there is no concept of subsistence minimum, as it is for most European countries, which is determined by the calculation of the consumer basket.
According to experts, for a normal existence in the country you need about 2,000 euros per month. And because the tax system is progressive, people on lower wages can lead very decent lives.
Another part of the cost is for medical services. Although residents have health insurance, when visiting their personal doctor they pay extra.