Understanding Basic Salary in Nigeria

What Basic Salary Means

Basic salary is the amount a worker receives every month without any extra payments. It is the starting point of an employee’s pay.

Difference Between Basic Salary and Total Salary

• Basic salary: The fixed monthly pay.
• Total salary: Basic salary plus transport allowance, housing allowance, feeding allowance, bonuses, and other benefits.

Why Basic Salary Matters

Basic salary is used to calculate:

• Pension contribution
• Tax (PAYE)
• Loan qualification
• Employee benefits
• Salary negotiation

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Basic Salary Structure in Nigeria

How Employers Set Basic Salary

Employers determine basic salary using:

• Job role
• Experience level
• Educational qualification
• Industry standards
• Company budget
• City or location

Basic Salary in Public Sector Jobs

Government workers usually earn based on a salary grade level system. Each level has its own fixed basic salary.

VIEW : What is the minimum Wage/Salary in Nigeria

Basic Salary in Private Sector Jobs

Private companies set their own salary structures. Some pay higher than government jobs, especially in banking, oil and gas, and technology.

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Basic Salary Range in Nigeria by Job Category

Below are common basic salary ranges for different types of jobs across the country.

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Entry-Level Jobs

Entry-level jobs are for people with little or no work experience.

Average Basic Salary

Most entry-level workers earn a basic salary between ₦40,000 and ₦120,000 per month, depending on the industry.

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Skilled Workers

These include electricians, plumbers, drivers, tailors, and technicians.

Average Basic Salary

Skilled workers often earn between ₦50,000 and ₦150,000 per month, depending on their skill level and location.

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Banking and Finance Sector

Bank workers in Nigeria usually earn higher than many other fields.

Average Basic Salary

The basic salary in banks ranges from ₦100,000 to ₦300,000 per month for junior staff and can go higher for senior roles.

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Oil and Gas Industry

This is one of the highest-paying sectors.

Average Basic Salary

Oil and gas workers often receive a basic salary between ₦200,000 and ₦700,000 per month, depending on the company and position.

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Teaching and Education Sector

Teachers’ salaries depend on the type of school (private or government).

Average Basic Salary

Most teachers earn between ₦30,000 and ₦100,000 per month as basic salary.

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Health Sector (Nurses, Doctors, Lab Staff)

Healthcare workers also receive structured salaries.

Average Basic Salary

• Nurses: ₦60,000 – ₦150,000
• Doctors: ₦150,000 – ₦400,000
• Lab scientists: ₦70,000 – ₦180,000

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Technology Sector (IT Jobs)

Tech jobs are becoming popular and well-paying.

Average Basic Salary

Entry-level IT staff earn between ₦120,000 and ₦300,000, while experienced workers can earn much more.

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Factors That Change Basic Salary in Nigeria

Location

Cities like Lagos and Abuja pay higher basic salaries than smaller towns due to higher living costs.

Company Size

Bigger companies usually offer higher basic pay.

Experience

The more experience you have, the higher your basic salary.

Education and Skills

Workers with advanced qualifications or in high-demand fields earn more.

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Basic Salary vs. Minimum Wage in Nigeria

Minimum Wage

Nigeria’s national minimum wage is ₦30,000 per month, which is the lowest legal basic salary an employer should pay full-time workers.

Does Everyone Earn Minimum Wage?

No. Many private companies pay higher, while some small businesses may still pay below minimum wage.

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Frequently Asked Questions (FAQs)

What is the basic salary in Nigeria today?

The basic salary in Nigeria varies by job, but most workers earn between ₦30,000 and ₦150,000 as their monthly basic pay.

Is basic salary the same as minimum wage?

No. Minimum wage is the lowest legal amount a worker should earn. Basic salary is the fixed monthly pay set by each employer.

Do allowances count as basic salary?

No. Allowances are added after calculating basic salary.

Which jobs have the highest basic salary in Nigeria?

Oil and gas, banking, technology, and health sector jobs offer some of the highest basic salaries.

Can basic salary increase?

Yes. It can increase through promotion, better experience, negotiation, or company salary review.