The two are close through the middle and flip at about £62,000, where both leave you with 74.9% of gross. Above that Mexico pulls away, by 10.0 points at £200,000.
And this table understates Mexico. The aguinaldo and PTU are statutory payments on top of salary, neither of which appears here.
They are level at
£62,316
both keep 74.9% of gross
Mexico ahead at £200,000
10.0 pts
68.9% against 58.9%
Not in these figures
Aguinaldo + PTU
both statutory, both on top
Run a Mexican salary through ISR and IMSS.
Open the Mexico salary calculatorWhere the two systems cross
The share of gross kept after ISR and employee IMSS, on sueldos y salarios. Independent of the exchange rate.
| Equivalent salary | UK keeps | Mexico keeps | Who is ahead |
|---|---|---|---|
| £30,000 | 83.7% | 80.8% | UK ahead by 3.0 pts |
| £50,000 | 79.0% | 76.5% | UK ahead by 2.6 pts |
| £62,316 | 74.9% | 74.9% | Level |
| £120,000 | 63.5% | 70.8% | Mexico ahead by 7.4 pts |
| £200,000 | 58.9% | 68.9% | Mexico ahead by 10.0 pts |
Mexican ISR tops out at a relatively modest rate and employee IMSS is small, so the Mexican line falls gently. The UK's allowance taper above £100,000 is what opens the gap at the top.
Two statutory payments sit outside this table
The aguinaldo is at least 15 days' salary, due before 20 December, and exempt from ISR only up to MX$3,519.30. PTU is 10% of the employer's taxable profit, paid by 30 May, exempt only up to MX$1,759.65. Both are real additions to a Mexican package, and both are mostly taxable at a professional salary because those exemptions are flat peso amounts. The UK has no statutory equivalent to either.
Who actually reaches the crossover
Not many people moving from a UK role to an equivalent domestic Mexican one, because Mexican salaries are substantially lower in absolute terms. Clearing £62,000 in Mexican terms means a package well above the local senior benchmark.
Where it genuinely applies is nearshore work. US companies hiring into Guadalajara, Monterrey or Mexico City for the timezone overlap routinely pay above the domestic market, and that is what puts people past the crossover. If that is your situation, compare against US nearshore rates rather than the local market, and check whether the arrangement is employment or RESICO, because the two produce very different answers and only one comes with IMSS cover.
The same three salaries in cash
Converted at £1 = MX$23.15, European Central Bank reference rates, 23 September 2026. The peso is volatile against the pound, so check the live rate; the percentages above do not move with it.
| UK gross | Mexican gross | UK net | Mexican net |
|---|---|---|---|
| £50,000 | MX$1,157,645 | £39,520 (£3,293/mo) | MX$885,518 (MX$73,793/mo) |
| £80,000 | MX$1,852,232 | £56,957 (£4,746/mo) | MX$1,357,230 (MX$113,102/mo) |
| £120,000 | MX$2,778,348 | £76,157 (£6,346/mo) | MX$1,968,467 (MX$164,039/mo) |
How these figures were produced
PayMetric Labs' own calculations with our UK and Mexican tax engines at 2026 rates, for an employee on sueldos y salarios with ISR and employee IMSS, against a single UK taxpayer with no pension contributions or student loan. The aguinaldo, PTU, vales de despensa and the fondo de ahorro are all excluded. The crossover was found by solving for the point where both keep the same share of gross.
Compare your own two offers
Add the aguinaldo to the Mexican side, and confirm whether the arrangement is employment or RESICO.
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Frequently asked questions
Does the UK or Mexico leave you with more of your salary?
It flips at about £62,000. Below that the UK is modestly ahead, by 2.6 points at the equivalent of £50,000. The two are level at £62,316, both keeping 74.9%. Above it Mexico pulls ahead steadily, by 7.4 points at £120,000 and 10.0 points at £200,000.
Why does Mexico pull ahead at higher salaries?
Because Mexican ISR tops out at a relatively modest rate and the employee IMSS contributions are small, while the UK keeps climbing. The UK's personal allowance taper between £100,000 and £125,140 creates an effective 60% marginal rate that has no Mexican equivalent, so the two curves diverge sharply exactly there.
Does this include the aguinaldo and PTU?
No, and both favour Mexico. The aguinaldo is a statutory year-end payment of at least 15 days' salary, due before 20 December. PTU is statutory profit sharing at 10% of the employer's taxable profit, paid by 30 May. Neither is in the figures here, so a Mexican package is worth more than this comparison alone suggests.
Are those payments taxed?
Mostly, yes. The aguinaldo is exempt only up to 30 UMA, which is MX$3,519.30 in 2026, and PTU only up to 15 UMA, MX$1,759.65. Both are flat peso amounts that barely touch a professional salary, so most of each payment is taxable as ordinary income in the month it lands.
Is a nearshore salary the same as a Mexican salary?
Often not. US companies hiring into Mexico for the timezone overlap frequently pay well above the domestic benchmark, which is what puts people above the crossover point in the first place. If your offer comes from a US company, compare it against US nearshore rates rather than against the local Mexican market, and check whether it is structured as employment or as a contractor arrangement.
What is RESICO and does it change the answer?
RESICO is a simplified regime for contractors and small businesses with a materially different effective rate from sueldos y salarios employment. Nearshore work is sometimes structured that way. If your offer is RESICO rather than employment, the figures on this page are the wrong comparison, and you also lose IMSS coverage.
How reliable is the currency conversion here?
Treat it as illustrative and check the live rate. The peso is a volatile currency against the pound. The percentages are the durable part, because the share of gross you keep does not depend on the exchange rate.
What does this comparison leave out?
The aguinaldo and PTU, both of which favour Mexico. Vales de despensa and the fondo de ahorro, common Mexican benefits with favourable tax treatment. RESICO, if that is your regime. UK pension salary sacrifice and student loan repayments. And healthcare, since IMSS cover and private insurance work very differently from the NHS.
Figures are PayMetric Labs' own calculations using our UK and Mexican tax engines at 2026 rates, for an employee on sueldos y salarios against a single UK taxpayer with no pension contributions or student loan. Aguinaldo, PTU and benefit structures are excluded. Currency conversions use £1 = MX$23.15, European Central Bank reference rates, 23 September 2026 and will drift; the percentages do not depend on the rate. General information only, not personal tax advice.