In average terms, in 2023, net wages, that is, after Social Security discounts and IRS withholding tax, grew only 2.97% to 1,041 euros, when the average annual inflation was 4.3%, almost 50% more than the increase in salaries, according to ECO.
This means that even with an increase of 30 euros, the average net salary lost, in the previous year, 13.47 euros due to the impact of rising prices. To neutralise this effect, the average monthly salary needed to increase by 43.47 euros to 1,054.47 euros.
The first quarter of 2024, however, brought an improvement, as the average salary rose 6.3%, above inflation, of 2.3%, which translated into a real gain of 39.99 euros.