We live at the time of inflation. Everything costs more, but the earnings of people who work honestly seem more declining. What about income poverty in the Czech Republic? This wage indicates that you are considered poor, look.
Although we live at a time in which technology goes incredibly forward and no one seems to miss anything, but when we look at wages and poverty, the opposite seems true. Everything is available in the world, but not money. And in the Czech Republic, more than a million citizens are at risk of so -called income poverty. And even if they go to work and pay taxes honestly. How does it work?
YouTube video, as the Czech Republic with poverty compared to other countries is on the DVTV channel:
Source: YouTube
Income poverty in the Czech Republic
What is the income poverty? And what is its limit? The threat to income poverty is defined as 60 % of the median of the national equivalent income of disposable income. This means that it takes into account how many members are in the household. The median represents mean value, or when half of the households have lower income than the other. In 2023, the amount of this limit was set at CZK 16,774. So if your monthly earnings are lower than this figure, you are considered a person who is endangered by income poverty.
However, this applies to individuals. The amount varies for families. Households with more members have a different way of calculating whether they are at risk of income poverty. It is calculated by means of an equivalent scale that takes into account the savings of all working members of the household. For example, if the family consists of two adults and working people with two children who have not yet been 13 years old, the boundaries of income poverty are about 35,225 crowns per month. That was 2023.
Low salaries, rising inflation
While prices of virtually everything, especially food, are increasingly increasing, salaries seem to decrease. Even if they do not decrease, with increasing inflation it is not possible for the boundaries of income poverty to remain so low. 16 000 crowns for individuals barely sufficient for rent and payment of electricity, heating and water.
So how does such an individual still do to pay for food or hygiene products? Poverty has no impact on the life of man, but also on his mental health. And less than half of the people affected by income poverty will receive professional help. Maybe it’s time to change something.
Sources: www.statistikaamy.csu.gov.cz, www.hradec.rozhlas.cz
