Wasteful subsidies to affluent households

Only €1.4bn of the €4.3bn spent annually by the state on social benefits goes to the poorest 30% of families, according to fiscal responsibility council RRZ. Analysts have long recommended more targeted assistance. The wealthiest 30% of families receive €1.1bn in benefits each year. For example, the thirteenth pension, child tax bonuses, and child allowances are paid across the board and are not means-tested. This is among the reasons Slovakia has one of the lowest income inequality levels in the EU and OECD.

(RRZ, aktuality.sk)