UMA vs Minimum Wage in Mexico: What Expats Need to Know for Immigration, Notary Fees, and Property Registration

For many years in Mexico, the minimum wage was used as a reference to calculate government fees, immigration fines, solvency requirements, notary fees, and Public Registry costs. This created a major problem: increasing the minimum wage also increased all legal fees, which kept wages artificially low for decades in the name of "economic stability" and "competitiveness." This changed with a major legal reform in January 2016, which introduced the Unidad de Medida y Actualización (UMA) — a new index that replaced minimum wage for most legal and financial calculations. Although this reform is not new, it continues to impact everyday legal and financial matters — which is why this information remains highly relevant for anyone dealing with legal procedures in Mexico.

What Is UMA in Mexico?

The UMA (Unidad de Medida y Actualización) is a reference value, updated annually, used to calculate government fees, immigration solvency requirements, fines, and notary and public registration costs. It is not a salary, and it increases independently from the minimum wage.

Legal Reform: UMA Replaces Minimum Wage as Legal Reference

Two legal sources created this change:

1. Article 26-B of the Mexican Constitution: "The minimum wage shall no longer be used as an index, unit, base or reference for purposes other than labor remuneration."
2. Third Transitory Article of the Constitutional Reform – DOF, January 27, 2016: This is the true legal basis. It establishes that any mention of "minimum wage" in federal or local laws must now be interpreted in UMA, except when referring to actual salary payments to workers.

Why This Matters to Expats

If you are buying property, registering title, paying notary fees, or applying for Mexican residency, the amounts shown in legal texts may still refer to "days of minimum wage," but legally they must now be calculated in UMA. Wrong interpretations by non-legal consultants often lead to inaccurate financial planning or missed eligibility.

This affects:

• Notary fees for property transactions
• Public Registry fees for title registration
• Immigration solvency requirements
• Fines for late immigration procedures or overstays

Example: Immigration Solvency Requirement – Article 24 (Residency Change to Permanent Status)

Mexican immigration regulations still state: "Proof of average balance equivalent to 25,000 days of minimum wage" (for Change from Temporary to Permanent Residency).

Notary and Public Registry Fees Are Also Based on UMA

When purchasing property in Mexico, notary fees and Public Registry costs are no longer linked to the minimum wage. They are linked to UMA, which keeps real estate closing costs more stable for foreign buyers, even when the minimum wage increases.

UMA and Minimum Wage Adjustments in January 2026

In January 2026, Mexico will update both figures separately, based on inflation and national index:

• Minimum Wage
• UMA — separately, based on inflation and national index

This means government fees for expats (notary, registry, immigration) will not increase at the same rate as salaries — which has been a major social demand and one of the most significant achievements for Mexican families in the last seven years. During this period, the minimum wage increased by approximately 215%, rising from $88.36 pesos in 2018 to $278.80 pesos in 2025 (and even higher in the Northern Border Region).

Final Note for Expats

Before making financial decisions based on online forums or outdated wage figures, schedule a consultation with CityLaw to receive accurate legal guidance.