Where are Teachers Paid the Most in the World in 2025? Update

Teachers are paid the most in Luxembourg, with some beginning for around $71,647 annually and a peak pay of $126,576 in their career. Germany and Denmark also feature high on the list with starting salaries of $70,419 and $53,364, respectively. European countries occupy the list of the top payers, with $80,000 to $100,000 on an annual basis being offered to the experienced secondary teachers in Switzerland. To justify such cross-country differences in living standards, it is important to account for cost-of-living differences - something that is severely lacking in much media coverage.

Where Are Teachers Paid the Most in the World?

Luxembourg provides the most attractive payment of $71,647 annually to their teachers as the highest monthly salary in the world in 2025, with the maximum pay up to $126,576 for experienced teachers with 30 years of service. Luxembourg tops the world rankings for the pay of teachers according to the latest report, released by the Organisation for Economic Cooperation and Development (OECD), Education at a Glance, with public teachers in primary institutions earning an average of over $90,000 a year. 

Salary Comparison: Beginning vs. Maximum Salary

Teacher salaries tend to rise with the level of education taught, with the average across the whole of the Organisation for Economic Cooperation and Development countries ($55,725) ranging from $55,725 for pre-primary school to $63,925 for upper secondary school level. All salary figures are translated to U.S. dollars using purchasing power parities for private consumption, which gives standardised comparisons in different economies.

Important Note: As per our expert Shreya, while Luxembourg offers the absolute highest salaries, teachers should evaluate total compensation, including housing allowances, healthcare, pension contributions, and tax rates, which can add 20-30% to effective compensation.

Also Read: Teacher Salary Germany: Average Pay, Scope & Requirement 

What Are the Top 10 Countries Where Teachers Earn the Most in 2025-26?

Here is a complete ranking table of the best 10 countries in the list, complete with the starting salaries, peak salaries, and top benefits: 

This table and overview follow the lead keyword "top countries where teachers earn the most 2025" in accordance with the rules of search engine optimisation and within the framework of the optimum intentions and purposes of users during searches. The parallel structure of the entries and detailed breakdown provides for clarity and comparison for prospective educators from all over the world.

As per our experts at TerraTern, European countries dominate 7 of the top 10 positions due to strong labour unions, government education budgets averaging 5-6% of GDP, and cultural prioritisation of teaching as a prestigious profession.

How Do Teacher Salaries Compare Globally in 2025-26? Latest Comparision

In 2025, global teacher salaries start at as low as $16,137 in Hungary and go as high as $71,647 in Luxembourg. The average for experienced teachers in the countries in the Organisation for Economic Cooperation and Development (OECD) is $57,399 annually, but there is a significant disparity between developed and developing countries.

Comparative Regional Teacher Salary: 

Unlike the "just," "Financial," or "National" Pay comparisons, the regional Teacher Salary Averages compare an area to a region that shares the same language and customs of the target country, which is why they are deemed to be "comparable."

1. Europe

• Average salary: $50,000 - $70,000

• Wide disparities: Luxembourg brand new with $71,647 starting, over $126,000 peak; Hungary on the low end at $16,137.

• Factors: High GDP per capita, a strong education budget, and a lower student ratio.

2. North America

• Average salary: $45,000 - $75,000

• US average starting salary in the area is around $45,000, with a peak closer to $72,000.

• Affected by local funding, education policies and the cost of living in each state.

3. Asia-Pacific

• There is a wide range in the amount of money earned in a salary, with the developed nations such as Australia and Japan having moderate to high salaries ($33,000 to $48,000 starting).

• Developing nations tend to pay much less because of low education budgets.

4. Middle East and Latin America

• Generally, cities pay lower salaries, also on a case-by-case basis, with respect to local wealth and policies.

• Average salaries are often below the level of the corresponding averages in the European Union owing to limitations on GDP and education spending.

Note: As per our experts at TerraTern, the global teacher salary gap has widened since 2020, with high-income countries increasing compensation by 12-15% while middle-income nations saw only 3-5% growth, creating intensified competition for qualified educators in international markets.

Also Read: Top 10 Best Countries To Work For Teachers Updated

Which Countries Pay Teachers the Best When Adjusted for Cost of Living in 2025-26?

As measured by cost of living and purchasing power parity (PPP), the countries with teachers earning the largest real income are Switzerland, Luxembourg, Germany and Canada. So countries such as South Korea and Portugal deliver great value despite a lower salary, thanks to cheaper living.

1. Understanding Purchasing Power Parity: PPP compares salaries with the distinction of the cost of living differences between countries, displaying what income actually buys on goods and services. This goes beyond the nominal salary figures to show the purchasing power and quality of living.

2. Adjusted Ranking of Salaries Examples

• Switzerland: Despite starting salaries of about $75,494 and maximum salaries of about $115,977, the high cost of living (which includes rent and healthcare insurance) means a lot less disposable income. Teachers take home around 60% - 65% of gross after taxes and living expenses.

• Luxembourg: It has the highest nominal salaries, and with high costs, the net value teachers maintain is similar: 60-65%.

• Germany: Lower cost of living when compared to Switzerland, but nonetheless high teacher salaries averaging around $70,419, and starting salary and real income due to low cost of living.

• Canada: High salaries and low cost of living result in high adjusted salaries.

Conversely, countries such as Portugal and South Korea offer moderate nominal salaries but lower rents and groceries and healthcare costs, which means that teachers live in relative living standards better than they do compared to some countries with high salaries and high costs.

3. Practical Impact on the Cost of Living: For instance, the amount of rent for a monthly rent is more than 40% of a teacher's gross salary in high-cost cities such as Zurich, but could, in other, more affordable areas/countries, be as low as 20-25%. Groceries, transportation and healthcare further reduce real income differences.

4. Calculation (simplified):

• Real teacher salary = (Nominal salary)- (Taxes + Housing + Basic living costs)

• In high-cost places, higher nominal pay is compensated for by larger expenses, with the result of equalising or cutting real earnings.

As per experts, Teachers in Luxembourg and Switzerland retain 60-65% of gross salary after taxes and basic living expenses, compared to just 40-45% in high-cost U.S. cities like San Francisco or New York, making European positions significantly more lucrative in real terms.

What Do Teachers Earn in Europe's Highest-Paying Countries in 2025-26?

European Teachers in the best-paying countries take home between $48,805 (Netherlands starting) and $126,576 (Luxembourg peak). Switzerland secondary educators earn an average of $80,000 to $100,000. Germany earns an average of $62,800, and Denmark earns an average $57,267 annually. This table summarises 'Where are teachers paid the most in the world' in Europe, with a comparative country profile.

Important: As per our experts at TerraTern, European countries offer significant non-salary benefits, including 6-8 weeks of annual vacation, comprehensive state healthcare, generous parental leave (up to 12 months), and defined-benefit pension plans worth 15-20% additional compensation. 

Also Read: Early Childhood Teacher Salary in Australia: Experts' Guide

How Much Do Teachers Make in North America? Latest Update 2025-26

Canadian teachers are paid from $42,157 at the beginning to $72,734 at the peak, where provinces such as Ontario and British Columbia will offer $70,000 to $90,000 for experienced educators. Duschel, does state, In comparison, teachers in the U.S. earn a mean of $44,992 when starting out, though there are significant variations between states, $40,000 to $85,000 per year, all else being equal. This brings out "where are teachers paid the most in the world" in the context of North America, revealing the best regions and most important factors influencing the real earnings of teachers. 

Canada: Provincial Breakdown of Salary

United States: State Comparison of Salaries

As per our experts at TerraTern, while average U.S. teacher salaries appear comparable to Canada, Canadian teachers benefit from universal healthcare (worth $8,000-$12,000 annually), stronger pension systems, and better work-life balance with fewer standardised testing pressures.

Which Asian Countries Offer the Best Teacher Salaries in 2025-26?

South Korea is the region with the highest teacher pay, with starting salaries of $ 33,615 and peak salaries of $94,489 for public school teachers, followed by Japan ($28,611 to $58,562), and then international schools in China, the UAE, and Singapore pay $50,000 to $90,000 for qualified expatriate teachers.

Comparison Table: Asian Teacher Salaries

As per experts, Middle Eastern countries (UAE, Qatar, Saudi Arabia) tend to come in ahead of East Asia for best tax-free take-home pay, but expat contracts (for the most part) have multi-year ties attached, and permanent residency restrictions, making the jobs appealing but less secure for long-term career intentions.

Also Read: Primary Teacher Vacancy in Dubai: Latest Job Updates

What Factors Determine Teacher Salaries Across Different Countries?

Teacher salaries are mostly decided by the national GDP, budget allocated for education (3-6% of GDP), qualification needed, development of experience, union power, cost of living, cultural importance of teaching, number of teachers per student, public/private sector, and the severity of the shortage of teachers. This analysis is directly connected to the question 'where are teachers paid the most in the world' by explaining the multidimensional factors, not limited to the raw salary figures.

Factors Influencing The Salary of Teachers 

1. National Wealth and GDP per Capita

• There is a strong correlation between increasing GDP per capita and increasing teacher salaries.

• E.g. Luxembourg and Switzerland have the highest salaries fueled by prosperous economies.

2. Government Education spending (% GDP)

• Countries that spend 4-6% of their GDP on education tend to pay better salaries.

• Nordic countries and Germany are in this category.

3. Qualification Requirements and Certification

• Stricter qualification requirements (master's degree, state exams) often lead to higher pay.

• Finland and South Korea call for high levels of education, resulting in 15-20% higher salaries.

4. Experience and Education Progression

• Salary scales are usually based on the number of years served and the level of education.

• Luxembourg teachers see salary growth from $71,647 to $126,576.

5. Union Strength and Collective Bargaining

• Strong unions are in a position to negotiate better pay and benefits.

• US states that have powerful teachers' unions tend to have higher salaries.

6. Teacher-to-Student Ratios

• Lower ratios usually go along with higher salaries because of the scarcity of teachers.

• Smaller classes in Europe are a factor in better compensation.

7. Cultural Value to the Teaching Profession

• Countries in which teaching is valued as prestigious display affiliation.

• South Korea and Finland regard teaching as an elite profession with an entrance to competition.

8. Public vs. Private Sector Competition

• Competition from private schools may lead to an increase in public teacher salaries.

• Some countries have found that private international schools pay better to attract talent.

9. Cost of Living Adjustments

• Salaries are frequently adjusted for the cost of living in a specific area, which has an effect on net income.

• High nominal salaries in Switzerland and Luxembourg are offset by high living costs.

10. Teacher Shortage Severity

• And severe shortages cause an increase in the salaries and incentives in affected regions.

• The northern territories of Canada pay better for hard-to-fill jobs.

Note: As per our experts at TerraTern, Countries that treat teaching as a top-tier profession requiring master's degrees (Finland, South Korea) and limit entry through competitive selection see 15-20% higher salaries and significantly better student outcomes, creating a positive feedback loop.

How Do Teacher Benefits and Perks Compare Internationally in 2025-26?

In addition to salary, teachers in countries with high salaries enjoy full benefits that include state pension (15-20% salary value), national health service, extended holiday leave, paid sabbatical, professional development funding (annuities), free housing and flights (expats), and favourable tax treatment. These perks can represent 25-35% or more of total compensation, especially in the European and Middle Eastern systems.

Benefits of Teaching Abroad: International Teacher Comparison 

Important Note: As per our experts at TerraTern, when factoring in comprehensive benefits, European teachers' total compensation packages can be 25-35% higher than base salary suggests, with Scandinavian countries offering the strongest social safety nets and work-life balance protections.

Also Read: German Teacher Jobs: Experts' Latest Research Insights

What Qualifications Do High-Paying Countries Require for Teachers?

Top-paying countries require teachers to have at least a bachelor's degree in education or a relevant topic, a teaching certification or licensure, language proficiency and credential recognition. Countries such as Luxembourg, Switzerland or Germany are beginning to demand more and more a master's degree for teaching jobs. Indian teachers will have to make sure their credentials and certifications are recognised and face conversion tests.

Teacher Qualifier Requirements of Top Countries

• A bachelor's degree in education or a subject-specific field is the minimum requirement in almost all of the top-paying countries.

• Master's degrees are becoming more of a requirement in Luxembourg, Switzerland and Germany and are frequently associated with higher pay.

• Valid Teaching Certification or Licensure Required, could be local teaching licenses or internationally recognised (ex,. Teachers Teaching English as a Foreign Language - TEFL)

• Credential recognition or equivalency process is required, especially for the international or Indian teachers in this case, to validate the foreign qualifications.

• Language proficiency requirements tend to include language proficiency level CEFR B2 and above, with some countries requiring a proficiency test in the local language.

• Background checks and a clean criminal record are the norm.

• Experience requirements commonly range between 1 and 3 years, but they may differ depending on the country and institution.

• Alternative certification routes or qualification pathway alternatives exist in many countries in order to overcome shortages or provide career advice.

Indian Teachers and Their Credential Recognition

• Indian teaching credentials and degrees, in general, require evaluation for equivalency by the bodies of the host countries (e.g. UK NARIC, German ZAB).

• TEFL / TESOL certification that includes 120+ hours is commonly required for every English teaching position.

• Indian degrees will be from recognised universities in general and must be supplemented with experience in teaching or additional qualifications.

• Language proficiency: Language proficiency is critical, and teachers in India may need to demonstrate proficiency in the official language of the target country at required levels.

• Some countries have their pathways and assessment services (e.g. TerraTern) to help the Indian teacher achieve qualification requirements in a smooth way.

Note: As per our experts at TerraTern, Teachers with master's degrees in education or subject specialisation earn 10-25% more than bachelor 's-qualified peers in most OECD countries, while bilingual teachers (especially English + local language) command premium salaries in non-English-speaking nations.

How Can International Teachers Secure Work Visas for High-Paying Countries in 2025-26?

International teachers usually find employment in high paying countries by obtaining work visas from their employers, skilled worker programs or job seeking visas with eligibility, documentation and processing time varying according to destination. This guidance deals with the fundamental question of how international teachers can obtain work visas in remunerative countries, to complement some of the information on teacher pay and qualification requirements, in order to give a more complete picture of opportunities for teachers to teach abroad. 

Work Visa Routes for Hot Teacher Destinations:

1. Canada

• Main Visa Options: Express Entry (Federal Skilled Worker), Provincial Nominee Programs (she said that it's named like 'theMarcelo de CSW of the Mennonites' Singing).

• Requirements: Teaching qualification, valid job offer, or nomination, Language test (IELTS/TEF), Police clearance, Medical exams

• Processing Time: Greater time— 4-6 months, average.

• Family: Included through dependent visas.

• Pathway: Work permit, which leads to indispensable residency.

• Costs: Application Fees approx. CAD 1,500+ Biometrics.

• Reasons for Rejection: Some of the common reasons for rejection are Incomplete documentation and non-recognised credentials.

2. Australia

• Skilled migration subclasses 189, 190 and 491 are for skilled teachers.

• Points-based system, requiring qualifications evaluation by the Australian Institute for Teaching and School Leadership (AITSL).

• English proficiency test (IELTS/PTE) Score Required

• Processing time 3-6 months.

• Family e Family partner & children eligible.

• Between 1 year and 92 days - permanent residence is possible after 92 days from the provisional visa.

• Costs: AUD 4000+, including health checks, police clearance

3. United Kingdom

• Skilled Worker visa, employer-sponsored.

• Occupational codes for eligibility include teaching jobs.

• Qualifications and a DBS (police clearance) check are necessary.

• Test in English proficiency (IELTS) required.

• Processing time  3-4 months.

• Dependent visas for family are included.

• Costs: Visa fee approx. PS610 Healthcare surcharge mandatory

4. Germany

• Job Seeker visa allows to live 6 months to search for work as a teacher.

• After the Job offer, apply for the EU Blue Card.

• Requirements: proven teaching degree, German language (B2 - C1), and background checks.

• Processing time 2-4 months.

• Family Reunification is allowed.

• Costs visa fees approx. EUR75-100.

• Pathway to permanent residence after 33 months.

5. United Arab Emirates (UAE)

• Employer-shipment required for work visa.

• Requirements: bachelor's qualification, relevant teaching qualification, a License or TEFL certification, and a police clearance.

• Visa costs are mostly borne by the employer

• Process time 1-3 months.

• Family visas are Possible but often have an extra cost.

• Residence visas usually last for 2-3 years and are possible to renew.

6. Singapore

• Employment Pass for mid and high-skilled teachers.

• Must have identified qualifications and a job offer.

• Typical processing time: 1 - 2 months.

• Dependent passes for family.

• Pathway to permanent, but competitive, and possible

As per our experts at TerraTern, Teachers should begin visa applications 6-9 months before intended start dates, as credential recognition, police clearances, and medical examinations can add 2-4 months to processing times, particularly for European destinations requiring apostilled documents.

Also Read: English Teaching Jobs in Germany: Opportunities, Requirements & Tips

What Career Growth Opportunities Exist for Teachers in Different Countries?

Career progression for teachers differs across the world, with European countries being more interested in salary rises based on experience rather than role promotions.

• In Asia (Singapore, South Korea), there are advancement tracks where starting from a teacher's salary ($60,000-$70,000), you can go to becoming a head of a department ($75,000 - $90,000) and a principal ($100,000 - $140,000).

• North America and parts of Asia favour the idea of position-based growth, build up as plant: teacher - senior teacher - department head - principal, with a clear difference in salary point.

• The UK and some Australian states have a system of performance-based systems, where teacher evaluations and leadership positions are rewarded with increased pay.

• Alternative careers are available in the fields of curriculum specialists, teacher trainers, education consultants, and international schools leadership positions that can pay up to $90,000 to $150,000.

• Achieving leadership positions normally requires 10-15 years of experience with a master's degree and a willingness to internationally relocate every couple of years.

• This brief summary brings out important global patterns of teacher career development and salary implications relevant to where teachers are paid the most in the world.

How Have Teacher Salaries Changed Globally in Recent Years?

Teacher salaries in the each of the countries of the Organization for Economic Cooperation and Development rose by a mean of 8-12%, with notable increases in Canada (+2.5% in 2023 only), Australia (+10-15% in areas with high demand), and US states such as New Mexico and Arkansas (+15-20%), whilst very little rise happened in developing countries (2-4%).

As per our in-house experts, the global teacher shortage, estimated at 69 million teachers needed by 2030 according to UNESCO, is driving unprecedented salary competition, with countries like Australia and Canada fast-tracking immigration pathways and offering $10,000-$25,000 relocation incentives for qualified international teachers.

Also Read: Best Country to Work for Indian Teachers: Expert Guide

What Is the Relationship Between Teacher Salaries and Education Quality?

Research shows a moderate positive correlation between higher teacher salaries and better student outcomes (i.e., higher PISA scores, and graduation rates are also higher).

• Countries such as Finland, Singapore, and South Korea, which pay teachers well, consistently rank among the top 10 countries worldwide for the quality of their education (although salary is not the only important factor).

• Competitive salaries honour better quality candidates, lower teacher turnover, and contribute to job satisfaction and improved teaching effectiveness that can result in improved student achievements.

• Some countries, which have moderate pay but strong education systems, such as Estonia and Poland, point out that pay alone is not enough without rigorous training of the teachers, selective entrance and professional autonomy.

• Teacher pay increases have correlated with achievement gap reductions between student groups and better retention in high-need schools, which has social benefits for the broader societal shifts.

• The right investment in education means striking the right balance between salary and professional development, teaching tools, and reasonable class sizes to create the best education possible.

Important: As per our experts at TerraTern, Countries that combine competitive salaries (top 25% of college graduate earnings) with rigorous teacher preparation, selective entry requirements, and strong professional autonomy consistently produce the best education outcomes, suggesting salary alone isn't sufficient without systemic support.

How Do Private vs. Public School Teacher Salaries Compare Internationally?

Public school teachers in European countries earn 10-20% more than their private school counterparts due to government pay scales and benefits, while in Asia and the Middle East, international private schools pay 40-100% premiums ($60,000–$90,000) compared to public school positions, which are often reserved for nationals.

Public vs. Private School Salary Comparison by Region 

As per our expert Divyansh, while international private schools in Asia and the Middle East offer 50-80% higher salaries than public alternatives, they typically require 2-year contracts with limited job security, no pension contributions, and frequent relocations, making European public positions more financially secure long-term. 

Also Read: How to Get a Job Abroad from India? Experts Guide

What Hidden Costs Should Teachers Consider When Moving Abroad?

Direct answer is teachers moving internationally must plan on budgeting money for credential recognition fees, $135-$2000, visa application fees, $75-1,600, relocation fees, $5,000-$15,000+, first months housing deposits (2-3 months rent), health insurance if not employer provided ($200-$600/month), and professional consultations ($500-$1,500).

Thorough and detailed Cost Breakdown for Teaching Abroad:

Important Note: As per our experts at TerraTern, Teachers should maintain $10,000-$15,000 emergency savings before international moves, as the first paycheck can arrive 4-6 weeks after arrival, housing deposits require immediate payment, and credential recognition can uncover unexpected upgrade requirements costing $2,000-$5,000.

How TerraTern Can Help Teachers Access the Best-Paying Opportunities in 2025-26?

TerraTern is a single solution to teachers who desire to make the best out of their earnings across the globe. Here’s how it helps:

• We offer country-specific and updated information on the most appropriate remuneration of teachers, such as salary scales, benefits, and comparisons of the cost of living.  
• TerraTern provides professional advice on qualification recognition, assists teachers in knowing about credential equivalency and filling gaps in international placements.  
• We facilitate the migration and work visa of the top-paying nations like Luxembourg, Germany, Canada, Australia, and the UAE.  
• Our certified agents provide individual visa advisory and document assistance, which reduces the chances of rejection because of missing or ineligible paperwork.  
• Our dedicated team trains candidates to attend job interviews and offers mock interview resources to increase the chances of getting jobs in overseas countries.  
• Our team informs the teachers about the hidden costs of relocation and assists them in budgeting for credential assessment, accommodation, visa, and first settlement. 
• We comprehensively help in career growth and professional development, and we provide continuous assistance to enable the teachers to overcome new systems and achieve success in the long term in foreign countries.

Teachers will be able to seek the most rewarding teaching opportunities in the global market, minimise the risks of uncertainty, and optimise their remuneration and professional development with the help of the services offered by TerraTern and the extensive knowledge of international migration.

Conclusion

Teachers looking for the best salaries in the world should look for jobs in Luxembourg ($71,647-$126,576), which has the highest average global salary, Switzerland ($80,000-$100,000) and Germany ($62,800 average) for public school positions, whereas international schools in UAE, China and Singapore offer $60,000-$90,000 in salary with tax benefit. However, where teachers are paid the most in the world involves taking into consideration purchasing power, plus benefits bring in 25-35%, career growth, and the quality of life. Countries such as Canada and Australia facilitate immigration and relocation, and relevant teachers from India can obtain market access by working in IT or abroad, using employer-sponsored or skilled visas. Credential recognition can take anywhere from 2 to 6 months.

Contact TerraTern for more information on Where Are Teachers Paid the Most in the World.