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Thanks for the feedback.
Actually those don't look so bad as JPG (as long as I keep PS compression setting above 6/12), yet Instagram's (and yes, also LFGSS') algorhythm seems to think this kind of images do ok with being compressed even further (even if they're only as big as 600x600px, 250kb).
It's weird as I can upload other pics at 1080x1080px that are way above 500kb which still look good after they go through their processing..
I was wondering why the first one looked so shit.
Instagram (and LFGSS) presumably re-compress all uploads to minimise storage and bandwidth use. If they even insist on converting PNG to JPG you're probably screwed.