Material Living Conditions in Europe: What the Numbers Say

How Europeans Rate Their Own Finances

According to Eurostat, EU residents rated their financial situation 6.6 out of 10 on average in 2022. The source notes this is slightly lower than overall life satisfaction, which was rated at 7.3.

The highest scores came from the Netherlands and Finland, both at 7.6, followed by Sweden at 7.4 and Austria at 7.3. At the other end, 6 EU countries recorded a score below 6 - the point at which more people are dissatisfied than satisfied with their finances. Bulgaria had the lowest rating of all, at 4.6.

Between 2013 and 2022, satisfaction with financial situation rose in most EU countries. The biggest gains were in Portugal, which added 1.4 points, followed by Ireland (+1.3), Cyprus (+1.2) and Slovenia (+1.1).

The Gap Between High and Low Earners

How much your income level shapes your financial satisfaction depends heavily on the country.

In Greece, people in the lowest income group rated their financial situation at 3.3. In Bulgaria that figure was 3.5, and in Croatia 4.2. Eurostat notes that in Greece, those in the highest income group rated their situation at more than double the level of those in the lowest group. In Bulgaria and Croatia, the gap was 75%.

The picture is different in several EU countries. In 8 EU countries, even people in the lowest income group rated their financial satisfaction above 6 - meaning generally more satisfied than not. Those countries were Finland (6.7), the Netherlands (6.5), Sweden (6.3), Malta (6.2), Austria (6.1), Denmark, Belgium and Italy (all at 6.0).

At-Risk-of-Poverty Rates Across the EU

In 2023, 16.2% of the EU population was at risk of poverty. Eurostat defines this as having a disposable income below 60% of the national median - a relative measure, not an absolute one. The actual income level behind the threshold differs considerably between countries.

Six EU countries reported that at least one fifth of their population was at risk: Estonia (22.6%), Latvia (22.4%), Romania (21.1%), Bulgaria and Lithuania (both 20.6%) and Spain (20.2%).

The lowest rates were recorded in Czechia (9.8%), Denmark (11.8%) and Ireland (12%).

The relative nature of the measure is worth keeping in mind. Czechia's poverty threshold for a single-person household was 8,194 purchasing power standards (PPS). Luxembourg's was 28,582 PPS - more than 3 times higher - yet Luxembourg's at-risk-of-poverty rate was 18.8%, above Czechia's.

Single Parents and Large Families Face a Harder Path

Household structure has a strong effect on poverty risk.

In 2023, 31.9% of people in single-parent households in the EU were at risk of poverty, compared with 16.2% for the total population. Eurostat reports this pattern held in every EU country in the data.

Even in Czechia, which has the lowest overall poverty rate at 9.8%, the rate for single-parent households reached 33% - more than 3 times the national figure, and the largest relative gap among EU countries in the data.

For households with 2 adults and 3 or more dependent children, the EU-wide figure was 27.8%. In Romania and Bulgaria, it exceeded 50%. Six EU countries recorded a rate for this household type that was lower than their national average: Estonia, Latvia, Lithuania, Finland, Denmark and Slovenia.

Age and Household Composition Also Shape Wellbeing

Beyond poverty rates, Eurostat data shows that age and household composition influence reported satisfaction.

Young people recorded the highest life satisfaction score (6.8), compared with 6.5 for those of working age. Adults living alone reported the lowest satisfaction at 6.2, while those in 2-adult households averaged 6.8.

If you are thinking about where in Europe to build your career, these figures offer a more grounded picture of everyday financial conditions than headline pay figures alone. The country with the lowest poverty rate is not always the one where people feel most financially secure - and the differences by household type are substantial.

Source: Eurostat, Quality of life indicators - material living conditions.