Senior Citizens Need Almost 1.5 Times of Average Monthly Pension for a Two-Room Rented Apartment in Brno

The most recent data on pensions and Brno property prices paints a bleak picture for senior citizens living in rented property. As a point of reference, a 60m² apartment in the centre of Brno average around CZK 15,000, while the average pension is around CZK 11,700 in South Moravia. Photo credit: KK.

Brno, Feb 18 (BD) – According to the most recent available figures from the end of 2017, the average monthly amount paid as “independent retirement pensions” in the South Moravian Region was CZK 11,719, at an average of CZK 12,893 for men and CZK 10,697 for women. In total, 199,000 senior citizens in South Moravia are receiving this pension, including 72 people over the age of 100.

Around half of Czech seniors receive less than CZK 11,731, 2018 data of the Czech Social Security Administration (ČSSZ) shows. Over 37,000 people in the Czech Republic receive a retirement pension less than CZK 6,000; some 6,500 senior citizens even have less than CZK 3,000.

When compared to the current figures from the rapidly increasing Brno property market, this data gives an idea of the potential financial difficulties currently being faced by senior citizens. According to data from real estate website, as of February 2019, average rents for a 60m square property in Brno are between CZK 14,258 and CZK 15,900. This means that the average pension is inadequate for rental costs alone for senior citizens living in Brno, and would have to be almost 1.5 of its current value in some cases – even before other living costs are taken into account. People often opt for cheaper and smaller choices, and may rely on savings.

The average monthly wage in the South Moravian Region stood at CZK 30,561 for the third quarter of 2018, though two-thirds of employees earn below this figure. The pension is calculated based on the income, and the duration of the employment.

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