Personal income tax on the minimum wage will be set at 9 percent, the incoming minister of economy and energy announced on Wednesday on Facebook.

One of the most important goals of the Tisza Party is to curb inflation through credible and predictable economic policy and to make the tax system fairer.

“One of the first steps will be that personal income tax on the minimum wage will be only 9 percent, meaning that more than 240,000 forints per year will remain in the pockets of lower earners,” István Kapitány wrote.

He added that everyone earning below the median wage — currently roughly up to a gross monthly income of 625,000 forints — will also pay less personal income tax. In the case of a gross salary of 420,000 forints, about 180,000 forints more would remain annually; at 500,000 forints, roughly 120,000 forints; and at 625,000 forints, about 60,000 forints per year.

Kapitány also emphasized that people live from their own wages rather than from statistical averages. He said it is therefore misleading to use changes in average earnings to claim that wages in Hungary are satisfactory, since unusually high executive salaries also influence statistical averages, while most people experience a very different financial reality at the end of the month.

Artificial intelligence was used for the translation of parts of the original Hungarian text.