Gross wages up 15.2 percent, real wages drop 2 percent in July

In July 2023, Full-time employees’ average gross earnings amounted to HUF 559,100, having risen by 15.2% compared with a year earlier.

Estimated average gross regular earnings (gross earnings without premiums and one-month bonuses) were HUF 526,800, being 15.6% higher than a year earlier. Regular average gross earnings reached HUF 529,000 in the business sector, HUF 516,800 in the budgetary sector, and HUF 532,700 in the non-profit sector, representing growths of 16.1%, 14.7% and 12.5%, respectively, compared to the previous year.

Average net earnings were HUF 371,800 excluding tax benefits and HUF 385,600 including them, being 15.2% and 15.1% higher than in July 2022.

Real earnings fell by 2.0%, along with an outstanding 17.6% increase in consumer prices compared to the same period of the previous year.

Median gross earnings reached HUF 450,000, surpassing the previous year’s value by 16.3%.

Median net earnings including tax benefits were HUF 311,400, surpassing the value for the same period of the previous year by 15.9%.

In January-July of 2023, full-time employees’ average gross earnings amounted to HUF 557,100.

Average net earnings were HUF 370,500, excluding tax benefits and HUF 384,000, including tax benefits.

Average gross earnings and average net earnings excluding tax benefits increased by 13.9% and net earnings including tax benefits rose by 13.8% compared to the same period of the previous year. The change in average earnings was affected by the last year’s February payment of the “service premium” (the so-called “firearms money”) for the army and the law enforcement personnel corresponding to six-month salary. Without this effect the rise of the average gross earnings and the average net earnings including tax benefits would be 2.2 percentage points higher.

Full-time employees’ average gross earnings at enterprises employing at least 5 persons, at budgetary institutions as well as at non-profit organisations that are significant in terms of employment amounted to HUF 574,700.

Average net earnings were HUF 382,200, excluding tax benefits and HUF 395,700, including tax benefits.

Average gross earnings, average net earnings excluding tax benefits and net earnings including tax benefits increased by 13.9 %, compared with the same period of the previous year. The change in average earnings was affected by the last year’s February payment of the “service premium” (the so-called “firearms money”) for the army and the law enforcement personnel corresponding to six-month salary. Without this effect the rise of the average gross earnings and the average net earnings including tax benefits would be 2.5 percentage points higher.