Iceland
Data verified August 2026 · Sources
Iceland tops six figures with a $100,605 PPP-adjusted average wage in 2025, the series maximum, as collective bargaining and a tight labour market push pay sharply higher while consumer prices exceed the US at 112.
Iceland at a Glance
1Y Change
+1.8%
5Y Change
+21.6%
10Y Change
+34.6%
Historical Peak
$100,605 2025
Change From Peak
At the historical peak
Overall Price Level
112
Iceland’s Wage Story
Follow how PPP-adjusted average annual wages have changed in Iceland using constant-price OECD data.
USD PPP, constant prices · missing years shown as gaps, never interpolated
Ten Years Ago
$74,730 (2015)
Historical Peak
$100,605 2025
Latest Wage
$100,605 2025
Data Coverage
Wage history: 1990–2025
Reported observations: 36
Missing wage years: None
Latest price data: 2024 · 8 of 8 categories available
A Surge That Reached Six Figures
Icelandic wages have surged +34.6% over ten years, accelerated to +21.6% across five, and added +1.8% in the latest year. At $100,605 in 2025 the reading is the series peak, and the explosive five-year pace shows how fast the level climbed toward that ceiling. The 2015 figure of $74,730 marks a base that was already high — this surge started from strength, not from a hole. It is the only series in this set whose latest reading crosses six figures.
Small-Market Wage Rounds in the Data
In a small labour market where collective agreements carry exceptional weight, the +21.6% five-year figure partly reflects the wage-setting rounds that compressed recent gains into a short span. The +1.8% latest-year change at a record suggests the surge is moderating, but the +34.6% decade total confirms how dramatic the run has been. Among the economies here, only a handful approach this level at all. Wage rounds of that scale leave a mark on the series for years, and the current curve still carries their imprint.
Above the U.S. Price Line
Iceland, like Switzerland, sits above the benchmark: its 2024 overall price level is 112, twelve index points over the US reference of 100. An above-100 reading is still just an index position — not a krona amount — and here it forms the backdrop to the six-figure wage surge, with the two series kept apart. Iceland's wage record runs from 1990 with 36 observations.
Iceland’s Everyday Price Profile
Compare eight consumer price categories in Iceland with the United States reference value of 100.
Overall
Food
Clothing
Housing
Health
Transport
Recreation
Restaurants & Accommodation
What Stands Out
Highest: Transport
Transport has the highest relative price level of the 8 reported categories in 2024, at 144 against the United States reference of 100. That is +44.0 index points from the benchmark and 10.0 points ahead of the next category, Restaurants & Accommodation at 134.
Lowest: Housing
Housing is the lowest of the reported categories in 2024 at 91, −9.0 index points against the United States benchmark of 100. The spread between the highest and lowest reported categories is 53.0 index points, which shows how uneven the 2024 price profile is across categories.
Overall vs United States
The overall price level for 2024 is 112, above the United States benchmark (+12.0 index points). Looking across the profile, of the 8 reported categories, 6 read above 100 and 2 below it, so the overall figure summarizes a spread of category positions rather than a uniform level.
Compare Iceland
Choose another OECD economy to compare wages, historical changes and all eight consumer price categories.
Frequently Asked Questions About Iceland
What is the average annual wage in Iceland?
Iceland's average wage for 2025 is $100,605. The figure is also the series maximum.
How has the average wage changed in Iceland?
The ten-year change is +34.6%, with an extraordinary +21.6% over five years and +1.8% in the latest year. Collective bargaining in a small labour market amplified the recent surge. Each figure compares against its precise target year.
What are consumer price levels like in Iceland?
Iceland's overall consumer price index is 112 for 2024, above the US at 100. That is a relative index standing, not a dollar amount or inflation rate.
Is Iceland's wage at a record high?
Yes. At $100,605 in 2025, Iceland posts the series peak. The +34.6% ten-year climb reflects how collective agreements and a tight market drove wages to six figures.