The average hourly wage in Russia is about 200 rubles (USD 3). The median hourly wage in Russia is about 20% lower: 160 RUB (USD 2.60). The reason is in disproportionally high wages of top and middle managers as compared to the ground staff, which skews the statistics of average hourly rates.

In general, Russians don’t use hourly rates for calculations of remuneration. Instead, they use monthly salaries as a base value. But we can decipher hourly rates by analysing official statistics on the average salaries of Russian citizens.

Most people in Russia earn around USD 2-3 per hour

• Workers in capitals (Moscow, St. Petersburg) earn the highest hourly wages for regular jobs. They are earning $4-6 per hour.
• The highest hourly wages are in the mining industry: mining of crude oil and gas. Workers in this industry earn $19-24 per hour.

The hourly wages, deciphered from average salaries, differ by region greatly, influencing income per person (you can find official statistics on income below).

Let’s look at actual hourly rates

• In August 2019 the average monthly salary in the whole of Russia was officially 44,961 RUB (USD 704). This amount includes overtime and bonuses, which we estimate at about 20%.
• The average wage without bonuses and overtime would be about 36 thousand rubles.
• Multiplying this amount by 12 months, dividing by 52 weeks: 8,300 rubles weekly.
• In Russia, the official working week for a base salary is 40 hours: 5 working days 8 hours daily. Dividing 8,300 by 40, the result is 207 RUB per hour ($3.25). That’s our average hourly wage.
• Adjusting for pay inequality (minimum 20% difference between average and median salaries in Russia), we are getting 166 RUB as a median hourly rate ($2.60).

All in all, you won’t be wrong if you consider salaries of $3 per hour as a base wage in large Russian cities (excluding capitals).

• Moscow wages are the highest in the country: In 2018 it was on the level of 80,881 rubles ($1,268). Using the same methodology, the median rate is about $4.7 per hour. The average hourly rate is close to $6.
• Workers of gas and oil mines mines earn 131,682 rubles monthly ($2,064), the highest average wages among all categories of workers. Their average hourly rate is $24; median $19.

* These calculations are approximate based on information on pay inequality and levels of overtime and bonuses in the structure of remuneration, as per official statistics.

The average wage without bonuses and overtime would be about 36 thousand rubles.

Official statistics on the structure of the workforce in Russia

• 1% of Russians aged 15-72 are officially employed (2017 data).
• 4% of people in Russia are officially unemployed.
• 1% of people do not participate in the labour market (retirees, housewives, students, or workers employed unofficially).

51.4% of employed people in Russia are males; 48.6% are females.

Income per person, by region

In 2018 income per person in the whole of Russia was 32,609 RUB monthly ($511) or 391,309 RUB annually ($6,130).

As you can see, the highest income per capita is in national autonomous “Okrugs”, which are located in regions with the predominant industry of mining oil and gas. The bottom regions have 4.4 times lower income than the top ones.

1. The highest monthly income per capita is in Nenetsky Autonomous Okrug: 74,559 RUB ($1,169).
2. Yamalo-Nenetski Okrug is #2 with 74,304 RUB ($1,165).
3. Chukotka Autonomous Okrug is next on the list with 72,716 RUB ($1,140).

City of Moscow is next (#4) with 62,481 RUB ($980) in financial takings monthly.

National republics that aren’t rich in oil and gas aren’t that lucky.

The last 3 federal regions on the list with the lowest income per capita:

• Republic of Tyva: 14,379 RUB ($225)
• Republic of Ingushetia: 15,751 RUB ($247)
• Republic of Kalnykia: 16,837 RUB ($264)

The government committee of the Russian Federation recently adopted new methodology for calculating statistics, which resulted in higher values than before on many indicators. According to this methodology, “hidden income” (unreported wages, sales of home-grown produce, services to friends that people are paid for, etc.) is estimated on the level of over 25% for the whole of population.

In other words, officials data only includes monetary transactions for less than 75% of the income values presented in the statistics.

• Nearly 20% of income comes from social payments (pensions, etc.)
• 4% of personal revenues comes from leasing real estate.
• 6% of it comes from entrepreneurship.

Wages and salaries in the whole of Russia provide only for 41.5% of income, according to the official statistics.

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