Gross and net incomes of minimum wage workers and their families. Calculations based on the OECD Tax-Benefit model (TaxBEN ). Income values are available either in national currency (gross/net annual incomes), or divided by the corresponding net/gross income of an otherwise identical familiy working at the average or medium wage. These rations can be interpreted as net/gross Kaitz indices for selected family types.

Tax-Benefit.Models@oecd.org

1. Calculations are available for two different values of the gross minimum wage: (a) the statutory minimum wage that applies on a selected date of the calendar year; (b) the weighted average of the statutory minimum wage values throughout the calendar year. The source for (a) is the OECD tax-benefit database and model ( click here for details ) a. The sources for (b) are the WageIndicator Foundation and Countryeconomy.com .

1. More information on the calculation of the minimum wage values starting from the web sources above is available in the following OECD document: www.oecd.org/employment/emp/Minimum-wages.pdf (click here for the link).
2. Kaitz ratios are available for two types of wage statistics: (a) the average wage calculated for all FTE employees; (b) the average wage calculated for all full-time employees working in ISIC sectors C-K.
3. More information on the average wage calculated using the statistical population (b) is available here .
4. The methodology to derive the median wage starting from the average wage for population (b) is described in D'Addio and Immervoll (2010), "Earnings of Men and Women Working in the Private Sector: Enriched Data for Pensions and Tax-Benefit Modeling", OECD Social, Employment and Migration Working Papers, No. 108, OECD Publishing, Paris (click here for the link).

1. Calculations for working adults assume full time work at the minimum wage.
2. Family and in-work benefits are included where available in the calculations of net incomes, subject to relevant income and eligibility conditions. Calculations for families with children assume two children aged 4 and 6. Neither childcare benefits nor childcare costs related to the use of centre-based childcare are considered.
3. Adults are aged 40 and are assumed to have full work capacity.
4. If housing benefits are included in the calculations, these are calculated assuming that the family is renting in the private market and paying a rent equal to 20% of the average wage, indipendently of the selected family type.
5. A full description of the taxes and benefits considered in the calculations of net incomes is available for each country in the OECD tax-benefit database .
6. For a detailed description of the assumptions underlying the OECD Tax-Benefit model, please see the methodology document.
7. For more information on the OECD Tax-Benefit model, visit the project webpage or contact the OECD tax-benefit team.