Employee Compensation Contributes Most to Household Income Increase

Income of both employees and self-employed individuals was higher in 2024 than in 2023. Total employee compensation grew by 7.3 percent. The number of employee jobs grew by 0.7 percent, while collective labor agreements were 6.6 percent higher. Mixed income was 6.7 percent higher. Especially in healthcare, retail, and hospitality, the income of self-employed individuals increased.

The increase in total received benefits was 6.8 percent. This is mainly because benefits are often linked to the minimum wage. The minimum wage increased by 3.75 percent on January 1, 2024, and by another 3 percent on July 1. Additionally, benefits also rose significantly as more people received pension benefits. Households paid 8.8 percent more taxes and social contributions.

To arrive at the real disposable income, the net disposable income is adjusted for price increases.

Mortgage Debt Increases, Debt Ratio Decreases

The mortgage debt increased by 35.7 billion euros in 2024 compared to a year earlier. The mortgage debt rose more sharply than last year due to rising house prices and more houses being sold. Because the economy grew nominally faster than the increase in debt, the mortgage debt as a percentage of GDP decreased; from 80 percent in 2023 to 78.5 percent in 2024. This is the lowest level since 2000.