Teach in Peru: Salary, Taxation & Cost of Living

Let’s take a look at some average teaching salaries you can expect if you’re teaching in Peru. We’ll also outline how taxation works for international teachers and expats, and the cost of living in this country.

Packages and teaching contracts at most international schools in Peru include bi-annual return flights to your home country (or equivalent). Only a few schools appear to offer housing stipends but many help with settling in costs and relocation.

Most schools offer health insurance (although there have been mixed reviews on the quality of these packages). Many schools will include tuition costs for your children – often uncapped.

Mid-tier school packages do vary, but usually include similar benefits.

Tax System & Deductions

Peru has a progressive tax system that ranges from 8% to 30% depending on how much you earn.

• Tax residency after 183 days in Peru
• Must pay taxes on Peruvian-sourced income
• Available deductions: healthcare expenses, pension contributions, housing costs (check with your HR team for more assistance)

Important Note: Unlike some countries with teacher tax exemptions, Peru taxes all residents on local income. If you’re used to not paying tax, make sure you factor this into salary negotiations.

Housing Benefits

Some of the top schools provide housing allowances to help cover the costs of accommodation but not all. Some schools, like Markham College, pays higher because there is not housing allowance (so it’s technically built into the salary).

Most expats live in areas like Miraflores, Barranco or San Isidro and the quality of housing is high. But it can be expensive for large families. Expect to pay anywhere from USD$900 to over USD$2,000 for a large apartment with a view of the water.

Most expat families live in secure apartment buildings that come with security guards.

I know a lot of teachers and their families worry about safety in Latin America, particularly in Lima. But honestly I never felt unsafe living in Miraflores. We were in a gated apartment with security, but walked freely along the Malecon and found living there super family friendly.

EX teaching family based in LIMA, PERU

Cost of Living

Lima offers a relatively affordable lifestyle compared to many Western cities, though your experience will depend on where you live, your benefits package, and your lifestyle.

Day-to-day expenses are low (like groceries from the mercado – though picking up some basic Spanish can help ensure you’re paying a fair rate), while imported goods can be incredibly expensive (think over USD$20 for peanut butter).

Here’s what to expect:

• Local produce & dining: Extremely affordable by Western standards. Peru’s food scene is world-renowned, and in Lima you can enjoy both market produce and high-quality restaurants at very reasonable prices.
• Transportation: Low costs with extensive public transport, plus affordable ride-sharing services like Uber and Cabify.
• Domestic help: Very affordable. Many expat families employ housekeepers or nannies, which is common and accessible.
• Healthcare: Private healthcare is recommended, as the public system can be overstretched. Most international schools provide health insurance.
• Savings potential: Teachers can typically save USD $4,000–$12,000 per year, depending on package, housing, and lifestyle.

Visa & Work Permits

International schools in Lima typically sponsor teachers for work visas, though the process is complex and can take time. New hires almost always arrive in Peru on a tourist visa (which sounds dodgy but is typical practice) while the school completes the necessary paperwork for conversion to a work visa.

Spousal work permits: Dependent visas are available for accompanying family members, but work authorisation for spouses is difficult to secure. Many expat partners look for remote work, roles with international companies, or English teaching opportunities.

Sponsorship: Schools manage the work visa application, but the process involves multiple steps with Peruvian authorities and can take a few months. Teachers should expect to enter initially as tourists before their visa status is finalised.

Requirements: A recognised teaching qualification, a university degree, and at least two years of teaching experience are standard requirements. Supporting documents (such as police checks and birth or marriage certificates) must often be recently issued – usually within the last three months – to be accepted. You’ll also usually need to arrange for everything to be apostilled before flying to Peru.

We entered on a tourist visa and had to get all our birth certificates and marriage certificates ‘re-issued’ so that they were within three months of us arriving. The school covered the costs and although it was a little painful to coordinate getting additional paperwork, it was straightforward.

ex-teacher at MARKHAM COLLEGE, PERU

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The travel opportunities throughout Peru are amazing. You have the Amazon, Cusco and the Sacred Valley, Macchu Picchu and so much more within a few hours flight from Lima. It’s an incredible place to live if you want to explore Peruvian culture.

trailing spouse at an international school in lima, peru

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Teach in Peru: Tips for Families

Before accepting a role consider getting in touch with current teaching families at the school to find out what it’s like on the ground. Ask about integration support for you and your kids (especially given many Latin American schools are dominated by local students. Also be sure that you understand benefit structures and tax implications. And try to find out about specific neighbourhoods and safety before you arrive, to help finding a place to live easier and quicker.

Try to undertake some basic Spanish language learning before arriving (even if it’s just via an app like DuoLingo) and spend some time researching and understanding Latin American education and culture in general so you’re prepared.

Also prepare yourself to be flexible when it comes to getting things done – for example being open minded about bureaucratic visa processes!

Challenges & Things to Know

• Academic Environment: Unlike some Asian destinations, Peruvian schools may have less structured academic pressure, but parents still have a lot of influence at certain schools.
• Geographic Challenges: If you’re living in Lima (where the majority of international schools are located), expect traffic congestion and pollution. If you need to travel to your school you’ll need to build in time. And if schools are across campuses (like Markham College) and you have kids attending both sites it can be challenging logistics (and expenses add up if using the school bus service).
• Language Barriers: A basic knowledge of Spanish will make your life a whole lot easier for daily life. The more you learn, the easier life will be.

Teaching in South America isn’t for everyone. The students are very different to what you get in destinations like Asia. Many people say they’re less academically focused and more challenging. But for me, I found them far more engaging, polite, interactive and ready to debate. As a teacher in Peru, the students surprised and excited me. I found the teaching experience far more dynamic than teaching in Asia where there is so much more emphasis on ROTE learning and academic pressure.

EXPERIENCED INTERNATIONAL teacher WITH ASIA AND STH AMERICAN EXPERIENCE

Teach in Peru: Is It Right for You?

Peru offers a unique experience that gives you cultural depth, historical significance, and access to natural beauty. While salaries are moderate compared to top-paying international markets, the combination of affordable living costs, established expat communities, and unparalleled exploration opportunities more than makes up for it.

Choose Peru if you‘re looking for:

• Cultural immersion and Spanish language development
• Historical and natural exploration access
• Authentic Latin American experiences
• Moderate cost of living with saving potential
• Family-friendly, relationship-oriented culture

Consider alternative destinations if you want:

• Maximum salary potential
• Highly structured educational environments
• Minimal language barriers
• Cutting-edge school facilities