Can People Live Off Their Paychecks? Many Say It’s Not Enough

In recent years, workers in Slovakia have gotten used to steady wage increases. But while paychecks may appear to be growing, they don’t always reflect real purchasing power. When adjusted for inflation, real wages tell a different—and more complicated—story. So, how are workers faring financially, and what can help those struggling to make ends meet? 

After finally catching up with wage losses from the COVID-19 pandemic, real wage growth is slowing once again. In Q1 2025, real wages grew by only 1% year-over-year, mainly due to rising inflation since January. This marks the slowest wage growth since the end of 2023. It’s no surprise then that employees are feeling increasingly pessimistic about their income. 

According to JobsIndex, the largest employee survey in Slovakia (Spring 2025 edition), only 45% of employees saw a pay raise at the start of the year. Another 43% reported no change at all, while 13% experienced a pay cut. 

Among those who did get a raise, about half received 5% or less. 27% got a raise between 6–10%, only 10% saw increases between 11–20% and a mere 2% received raises above 20%. 

Even among those who got a raise, enthusiasm is hard to find. Most people who received only a 1–5% bump considered it insufficient—with less than a third expressing satisfaction.

Meanwhile, those who saw raises above 5% were slightly more optimistic: 54% considered their increase fair. Interestingly, expectations vary by income level. Those earning less tend to hope for larger raises, while higher earners are more content with smaller gains. 

Only one-third (33%) of people say they can manage their income without problems. The remaining two-thirds admit to facing some level of financial difficulty. 29% report having a significant or serious problem living off their salary. Another 38% face minor difficulties. 

The share of people struggling financially has increased again compared to the previous period. The worst-hit are employees in eastern Slovakia, where a staggering 71% report struggling to make ends meet. Even in Bratislava, the country's wealthiest region, 61% of workers still face financial difficulties. Education and job type matter. Workers with only primary or basic secondary education, especially those in smaller companies, report the most financial hardship. On the flip side, the more educated and qualified employees are, the more financially stable they tend to be. 

One of the clearest signs of financial insecurity? The ability to handle unexpected expenses. In this study, that threshold was set at €540—about the cost of a new appliance or a surprise car repair. 

Here’s what employees said: 

That first group—those unable to pay at all—has grown by a third since last year. These figures indicate that many households are operating on the edge, without a financial safety net. 

This lack of stability has wider implications. In regions where people are more financially vulnerable, rates of school dropouts, long-term unemployment, and intergenerational poverty are significantly higher. The cycle becomes hard to break. 

Roughly 17.6% of Slovakia’s population—around 943,000 people—live at risk of poverty. And that number is growing, with 50,000 more people added to that list in the past year alone. The risk increases the farther you go from major economic centers. 

For example: 

Even more concerning, in places with high poverty levels, more children are failing to complete school. Without education, their job prospects shrink—and the cycle of poverty deepens.