Explore the Average Salaries in India: Based on Location & Professions
Do you want to know what the average salary is in the profession you want to enter? The average salary structure in India has evolved over the years. This is mainly because India has become a destination for outsourcing for many Western companies. For example, the IT outsourcing market in India was estimated at INR 5,649.47 billion in 2019 and is estimated to reach INR 8,830.14 billion by 2025. Investment and the creation of new jobs also contribute to the increase in average salary.
Let’s take a look average salary in India across different cities and professions, as well as the factors influencing it.
What is the Average Salary in India?
The average pay in India is not a fixed figure and is significantly low compared to other countries across the world. It varies according to location, qualifications, required experience, and so on.
The World of Statistics released a report on International Labor Day 2023 which stated the average in countries across the world. It claimed the average salary in India to be ₹46,861 monthly (around $573 dollars per month). This figure includes housing, transportation, and other factors. The type of profession also influences the average salary. The latest WTW Salary Budget Planning survey indicates that Indian salaries will increase by 10% in 2023, up from 9.8% in 2022.
Average Salaries of Top Professions in India
The highest paying jobs in India are in the domain of Information Technology (IT), Artificial Intelligence (AI), and Machine Learning offering ₹10-14 lakh per annum. In this section, let us look at the monthly average salaries across various popular professions in India.
| Profession | Average Salary (Monthly) |
| Software Developer | ₹50,000 |
| Data Scientist | ₹95,000 |
| Data Analyst | ₹60,000 |
| Business Analyst | ₹55,000 |
| Project Manager | ₹1,00,000 |
| Consultant | ₹60,000 |
| Teacher | ₹30,000 |
| Human Resource Manager | ₹58,000 |
| Legal Advisor | ₹35,000 |
| Journalist | ₹32,000 |
| Interior Designer | ₹25,000 |
| Restaurant Manager | ₹38,000 |
| Mechanical Engineer | ₹26,000 |
| Content Writer | ₹20,000 |
| Graphic Designer | ₹25,000 |
| Data Entry Operator | ₹16,000 |
These are the basic average salaries. They can differ depending on where you live in the country. For example, an interior designer in Mumbai earns more than one in Delhi or anywhere else. Similarly, the average teacher salary in public schools is higher than in private schools. Because the cost of living varies, people in metropolitan areas earn more than those in Tier 2 or Tier 3 cities.
Average Salaries in India Based on Location
In India, cities are classified as Tier 1, Tier 2, or Tier 3. This division is based on population and urban planning criteria. Tier-1 cities are the most densely populated, while Tier-3 cities are the least densely populated. Tier-2 cities come in between both. Let us look at the average earning in India’s cities as follows:
| City | Average Salary (Monthly) |
| Bangalore | ₹66,500 |
| Pune | ₹50, 000 |
| Delhi | ₹41,600 |
| Mumbai | ₹50,000 |
| Hyderabad | ₹50,000 |
| Kolkata | ₹27,200 |
| Ahemadabad | ₹35,400 |
| Chandigarh | ₹39,600 |
| Jaipur | ₹35,000 |
| Indore | ₹35,900 |
| Vadodara | ₹40,000 |
| Nashik | ₹30,000 |
| Raipur | ₹33,300 |
| Mysore | ₹26,700 |
Moving to metropolitan cities is a better option if you want to find a higher-paying job. Bengaluru, for example, is known as India’s Silicon Valley. The average salary in the IT/Engineering field is significantly higher than in any other city.
Another example is that if you want to work in finance, Mumbai is the best place to be. It is known as India’s financial capital. If you know what job you want to pick and want to crack the interview, you can do so by taking a job preparation and training course. Increase your chances of getting the desired job and salary.
Average Salary in India vs Average Salary in the World
In comparison to developed countries and transition economies, the cost of living in India is low. It is a significant factor in determining a low average salary in comparison to other countries. Many multinational corporations invest in India and hire employees at lower salaries. This is also another reason for low average salaries.
United Nations World Economic Situation and Prospects (WESP) 2021 places all countries in the world in one of three economic categories:
- Developed Economies
- Economies in Transition
- Developing Economies
Let’s take a look at the national average salaries in these categories and how they compare with India (if the base average salary is taken as $573):
Average Salary in Developed Economies
The developed economies comprise Northern America, Europe, Japan, Australia, and New Zealand. Take a look at some of them:
| Country | Salary | How much more is it compared to India? (in%) |
| United Kingdom | $7562 | 92.42% |
| United States | $7900 | 92.74% |
| Norway | $4851 | 88.18% |
| Japan | $3631 | 84.21% |
| New Zealand | $5034 | 88.61% |
Average Salary in Economies in Transition
The economies in transition include the countries which are undergoing a structural transformation from traditional to market-based economies. Some of them include:
| Country | Salary | How much more is it compared to India? (in%) |
| Georgia | $3346 | 82.87% |
| Russia | $1244 | 53.93% |
| Albania | $988 | 42% |
| Poland | $1876 | 69.45% |
Average Salary in Developing Countries
Developing countries are characterized by low human development indices, slow growth, low per capita income, and a preference for agriculture rather than industrialization and business. Some of the examples are:
| Country | Salary | How much more is it compared to India? (in%) |
| Thailand | $2757 | 79.21% |
| Philippines | $801 | 28.46% |
| Vietnam | $731 | 21.61% |
| Egypt | $582 | 1.54% |
India falls under developing nations and the average salary is low compared to many smaller countries in the same category.
Factors Responsible for Average Salary
Several factors affect the average salary in India per month. Let us discuss the major factors:
- Job location: The location of your employment is critical. A journalist in Delhi, Mumbai, or Kolkata, for example, will be paid more than one in Jaipur or Indore. This is primarily due to the high cost of living in the area where they work. The average salary for IT jobs will be similar across cities, but location does matter for many jobs.
- Education: A higher level of education means more job opportunities. In most cases, as you advance up the career ladder, higher education translates into job promotion along with demonstrated skills and abilities.
- Experience: The more experience you have in your professional field, the more likely you are to earn a higher salary. With 5 or 10 years or more experience in a specific industry, you will have substantial earning potential.
- Profession: Your salary will vary immensely depending on the profession you choose. In India, average salaries vary greatly across industries such as retail, customer service, manufacturing, education, and information technology.
- Nature of Job: The amount you earn is affected by the nature of your job, whether it is full-time, part-time, or freelance. Higher average income is determined by how well you establish yourself in your niche over time, regardless of the nature of the job.
- Demand and Supply of Workforce: When there is a greater demand for labor and a lower supply, average income rises; when there is a greater supply and a lower demand, average income falls. For example, there is a dearth of medical professionals in India. Because of the scarcity, they are paid well. Another example is machine learning, which is a burgeoning field with a high starting salary.
Conclusion
The job market in India is expanding. Every year, thousands of new employees enter the labor force. Each profession has its average salary, which is hard to determine. However, according to the data available, a decent annual average salary in India is ₹3 lakh per annum. Ultimately, your aim to earn a higher salary depends on your ability, skills, experience, education, and a few factors discussed above.
