Although Hungary is making great progress, regional disparities remain a challenge.Continue reading
The average monthly net income of young adults increased to HUF 234,000 (574 EUR; 1 EUR = 407 HUF) by the end of last year, compared to HUF 200,000 a year earlier, and doubled compared to 2019, according to the K&H Youth Index, which examined the financial situation of 19-29 year olds, wrote Világgazdaság.
There are significant differences within the age group: 7% have no income, 13% reported HUF 250-300,000, and 9% have more than half a million forints. Young people have reached a new record high for their personal income, which includes benefits and allowances from parents and other sources, and for those employed, wages.
According to the K&H Youth Index, which also examines the financial situation of 19-29 year olds, the average amount of money they earn had risen to 234,000 forints net by the end of last year, compared to 225,000 forints net in the third quarter of last year, and 200,000 forints net a year earlier.
The record is actually no surprise, as the rise in wages in recent years has also pulled up the income of young people. It is also evident from the longer-term data of the survey launched at the end of 2012, that the income of young people has doubled compared to the beginning of 2019,”
said Zoltán Rammacher, Head of Marketing of K&H’s Retail Client segment, assessing the recent results.
Young professionals’ average quarterly income (thousand HUF) Graph: K&H
There are differences within the average figures. Men reported an average net income of 261,000, women 205,000. The average income of 19-25 year olds, at 210,000 forints, has risen to 272,000 forints for 26-29 year olds. The average of HUF 284,000 for those living in the capital is higher than the HUF 265,000 for those living in the county capitals, and HUF 178,000 for those living in smaller towns. In contrast to the HUF 322,000 active earners, the average earnings of students are only HUF 177,000, while the average for the inactive is less than HUF 100,000.
In addition, 7% of young people surveyed said they had no income at all, and 11% of those surveyed had less than HUF 50,000 a month. 13% of those surveyed said they had a monthly income between HUF 250,000 and 300,000, while 9% had a monthly income of more than HUF 500,000.
The majority of those in the age group who are active, are optimistic about the future of their salaries: seven out of ten expect an increase in the future.
Via Világgazdaság; Featured image: Pexel