Hungary’s average gross earnings surged to HUF 840,600 in January 2026, marking a sharp year-on-year increase largely driven by a one-off payment to armed forces and law enforcement personnel.
According to newly released data by the Central Statistical Office (KSH), full-time employees’ average net earnings reached HUF 585,700 during the month, while real earnings rose by 25.4% compared with the same period a year earlier.
The spike in wages was primarily influenced by the so-called “service premium,” often referred to as “firearms money,” a lump-sum payment equivalent to six months’ salary for members of the military and law enforcement. This one-time measure accounted for 18 percentage points of the 26.3% increase in gross average earnings.
Stripping out the impact of the bonus, gross earnings grew by a more moderate 8.3%, offering a clearer picture of underlying wage trends.
Net earnings rose at a faster pace than gross wages, climbing 28% year on year. The stronger increase was partly due to expanded family tax benefits, including higher family tax allowances introduced in mid-2025 and early 2026. Additional factors included personal income tax exemptions for mothers raising three children, introduced in October 2025, and for mothers under 40 with two children, effective from January 2026, alongside broader tax relief for mothers under 30.
Regular Earnings Show Steady Growth
Excluding bonuses and one-off premiums, regular average gross earnings stood at HUF 694,700 in January, representing a 9.4% increase from a year earlier.
By sector, regular gross earnings averaged HUF 683,800 in the business sector, HUF 720,400 in the budgetary sector, and HUF 726,800 in the non-profit sector. These figures reflect annual increases of 8.4%, 12.8% and 9.0%, respectively, with the budgetary sector posting the strongest growth, largely due to the government-related payments.
Despite the headline surge in wages, inflation remained relatively subdued. Consumer prices rose by 2.1% year on year, contributing to the significant jump in real earnings. However, excluding the effect of the service premium, real wage growth is estimated at a more modest 8.1%.
Median Wages Point to Narrower Gains
Median earnings, which better reflect typical income levels, showed more moderate increases.
Median gross earnings reached HUF 598,700 in January, up 11.0% from a year earlier, while median net earnings rose 12.5% to HUF 420,200.
The divergence between average and median figures highlights the distorting effect of the one-off payments, which lifted overall averages more sharply than the earnings of a typical worker.
While the January data points to a substantial rise in headline wages, underlying trends suggest a more measured pace of income growth once temporary factors are excluded.