El Salvador salary calculator: from gross to net in 2026
El Salvador runs entirely on US dollars, so a job offer of $1,200 a month sounds refreshingly concrete — until payroll deductions kick in. Whether you work in San Salvador or you live abroad and are weighing a move back home, three legal deductions stand between the gross figure and your bank account: the employee share of ISSS health insurance (3%, charged on at most $1,000 of monthly salary), the AFP pension contribution (7.25% with no salary cap since the 2022 pension reform) and the monthly income tax withholding your employer applies under Executive Decree 10/2025. Since the May 2025 reform, the first $550 of the monthly taxable base is exempt.
This calculator uses the values in force as of July 2026 and supports monthly or biweekly (quincena) pay. Everything runs in your browser; your salary never leaves your device.
How to use it
- Pick your pay frequency: monthly or biweekly.
- Enter your gross salary in US dollars.
- Read the breakdown: ISSS, AFP, income tax withholding and net pay.
- Expand the detail panel to see the taxable base and which bracket applied.
The 2026 deductions
| Item | Rule for 2026 |
|---|---|
| ISSS (health) | 3% employee share, on up to $1,000 of monthly salary (max deduction $30) |
| AFP (pension) | 7.25% employee share on the full salary, no cap |
| Income tax | Decree 10/2025 tables; taxable base = gross minus ISSS and AFP |
| Aguinaldo (13th salary) | Exempt from ISSS and AFP; tax-free up to $817.60 in 2026 |
Monthly withholding table (Decree 10/2025), applied to the taxable base:
| Monthly taxable base | Withholding |
|---|---|
| Up to $550.00 | None |
| $550.01 to $895.24 | 10% of the excess over $550.00, plus $17.67 |
| $895.25 to $2,038.10 | 20% of the excess over $895.24, plus $60.00 |
| Over $2,038.10 | 30% of the excess over $2,038.10, plus $288.57 |
For biweekly payrolls every threshold is halved: the first $275 is exempt and the fixed amounts become $8.83, $30.00 and $144.28.
Worked example
A gross salary of $1,200 per month in 2026 — high enough to show the ISSS cap in action:
- ISSS: 3% of $1,000 (the cap, not the full $1,200) = $30.00
- AFP: 7.25% of the full $1,200 = $87.00 (no cap since the 2022 reform)
- Taxable base: 1,200 − 30 − 87 = $1,083.00 (bracket III)
- Withholding: (1,083 − 895.24) × 20% + 60.00 = $97.55
- Net salary: 1,200 − 30 − 87 − 97.55 = $985.45
Reference salaries (monthly, 2026)
| Gross | ISSS | AFP | Income tax | Net |
|---|---|---|---|---|
| $408.80 (minimum wage, commerce) | $12.26 | $29.64 | $0.00 | $366.90 |
| $600.00 | $18.00 | $43.50 | $0.00 | $538.50 |
| $800.00 | $24.00 | $58.00 | $34.47 | $683.53 |
| $1,200.00 | $30.00 | $87.00 | $97.55 | $985.45 |
| $2,500.00 | $30.00 | $181.25 | $363.77 | $1,924.98 |
Frequently asked questions
What is the minimum wage in El Salvador in 2026?
It depends on the sector: $408.80 per month for commerce, services and industry, $402.32 for textile maquila, $305.23 for sugarcane harvesting and coffee mills, and $272.53 for farm work and coffee picking (Executive Decree 11/2025, in force since June 2025). There was no adjustment in 2026; the next mandatory review is due by 2028, though the government can raise it earlier by decree.
Why is ISSS capped but AFP is not?
The ISSS health regime only collects on the first $1,000 of monthly salary (a 2015 rule, unchanged as of July 2026), so the employee deduction tops out at $30. The pension system used to have a similar ceiling, but the 2022 Integral Pension System Law removed it: the 7.25% AFP contribution now applies to your entire salary, which is why high earners feel it the most.
Will my June and December paychecks match this?
Probably not exactly. Decree 10/2025 requires employers to recalculate the withholding in June (using January-June totals) and December (using the full-year total), charging or refunding the difference. The monthly figure here is the standard approximation used the rest of the year.
Does this apply to remote workers paid from abroad?
This tool models employees on a formal Salvadoran payroll, where the employer withholds ISSS, AFP and income tax automatically. If you live in El Salvador but invoice a foreign company as an independent contractor, these payroll withholdings do not apply automatically and your tax situation is different — worth a consultation with a local accountant.
Is the aguinaldo (Christmas bonus) deducted too?
No. The aguinaldo pays no ISSS or AFP, and it is income-tax-free up to two commerce-sector minimum wages ($817.60 in 2026). In 2022 and 2025 the Assembly temporarily raised that exemption to $1,500 for those years only; as of July 2026 no equivalent decree exists yet for December 2026.
This tool provides an informational estimate with the values in force as of July 2026; it is not tax or legal advice. Sources: Executive Decree 10/2025 (withholding tables), Legislative Decree 293/2025, ISSS, Integral Pension System Law, Executive Decree 11/2025 (minimum wages). Review the figures every year.