Where Does Hungary Stand With the Average Income of EU

While it is true that Hungarian salaries have increased over the past couple of years, many want to know how they compare to the rest of the European Union. For some time, the Hungarians were among the lowest-paid European citizens, but that looks to be slowly changing. Keep reading to get a better idea of what the GDP looks like for Hungary.

Average Hungarian Salary as of 2024

Average employees in Hungary make about 1,500,000 HUF to 26,400,000 HUF a year. This puts their low average income at 125,000 HUF and a high average of 2,200,000 HUF. There are four major factors that affect the GDP of Hungary. These are experience, education, city, and profession.

Experience and education make a difference in how much a person can earn. Moreover, a person’s location in Hungary can determine how much they make. Additionally, a person’s career path is also a basis for the amount they make yearly. While all these items factor in, the nation falls below the rest of Europe.

In 2019, the median household income for Hungarians ranked in the 18^th percentile in the EU. Therefore, though some Hungarians earned more money than half the country, they still made less than 82% of Europeans. It is reported that the salaries of two-parent families and unmarried individuals are the fourth lowest in Europe.

The GDP of Hungary has been on the rise since 2018, working to catch up with the EU average income level. For instance, in 2017, Hungary’s GDP was 69% of the EU average. As of 2022, the GDP of Hungary rose to 74.7%. Things are starting to turn around, however.

Labor Market Improvement

In addition, Hungary has shown significant improvement in its labor market. The employment rate is steady at 80.2%, surpassing the rest of the EU. Furthermore, unemployment is declining in Hungary.

Hungary isn’t the poorest nation in EU but is actually the second poorest. This is based on the actual individual consumption (AIC) from Eurostat data in 2022. This metric includes the consumption patterns and overall well-being of many individuals.

Hungary made strides in narrowing the gap between their average income and the average income of the EU. Challenges still persist, but the country is working toward prosperity and growth.

When a Hungarian family meets the European median, they are some of the highest-paid employees in Hungary and make more than over 90% of their fellow countrymen.

Government Help Is on The Way

The Hungarian government is giving aid in the form of 84 million euros for large companies to help preserve jobs. When all is considered, the median Hungarian salary is in the 13^th percentile, with only 1% of the Hungarian population reaching the European median salary. This is a key fact because top products like iPhones are sold internationally without considering the varying salary levels. There is a large amount of work still to do, but the Hungarian GDP is on the rise, which is good news.