Real wage calculator – pay rise vs inflation

The calculator shows how much your net salary in Estonia really grew – whether your current pay buys more or less than before. A pay rise smaller than the price increase is in fact a fall in purchasing power.

How is it calculated?

1. Net salary is calculated from gross using each year’s own tax rules: income tax (20% until 2024, 22% from 2025), basic exemption (€154 in 2015 → €500 with the tax hump in 2018–2023 → €654 with the hump in 2024–2025 → a flat €700 in 2026), unemployment insurance 1.6% and pension pillar II.
2. Price increase = ratio of the annual average consumer price index (Statistics Estonia). For the current, unfinished year the average of the last 12 months is used.
3. Real growth = net salary growth divided by the price increase. For example, if net pay grew 30% and prices 40%, purchasing power fell by about 7%.

For comparison, the growth of the Estonian average gross wage over the same period is shown. Statistics Estonia changed its wage statistics methodology in 2021 (new data source); the calculator links the old and new series at 2021 so that the growth rate is comparable.

The calculation assumes the basic exemption application was submitted and does not include the pensioner’s exemption, the low-income tax refund (2016–2017) or the 4–6% pillar II option. Inflation is an average – your personal price increase depends on what you spend money on (e.g. housing, food, transport). The data updates automatically when Statistics Estonia publishes new figures.