Electricity, water, telephone, rent or mortgage, insurance or fuel… These costs, which qualify as “constraints”, are constantly increasing in the household budget. Thus, they have increased by 36 euros per month in one year, according to the national limited expenditure index published annually by the website lesfurets.com in collaboration with CSA Research.
These limited costs are defined by INSEE as such “debt to households by contract or subscription”. They reach an average of €1,095 per month, according to lesfurets.com. Considerable weight. this amount represents a little more than one-third of the median net household income, but there are significant differences. The detail of the index shows that constrained expenses thus weigh up to 80% of the monthly budget of the most modest French, that is, those who earn less than 900 euros per month. The proportion is reduced to 17% for the highest earners.
In fact, the amount of these costs that everyone has to pay to live makes little difference whether it is less than €1,000 or more than €10,000 per month. The telephone package, for example, or the fuel have the same price level or almost for all French people. Thus, a study on the website lesfurets.com shows that the limited costs are 1017 euros per month for the poorest categories of the population against 1209 euros for high incomes, which is a difference of less than 20%. On the other hand, their weight is logically different, the same amount does not represent the same part of the budget of 1500 euros or another 3000 euros.
Differences are also made on the basis of age. While 18-24 year olds have to take on mandatory spending of around 51% of their income, i.e. €1,076 per month, the share is 26% for those aged 65 and over, who spend €841 per month. Housing costs largely explain such a gap, as seniors make up a lot of full-time owners.
€63 per month for entertainment only
Geographically, the gaps are also widening. Ile-de-France remains the champion of limited spending. its residents have to pay €1,188 in fixed costs every month, inflated by property costs, which average €802, compared to €675 nationally. Residents of Pays-de-la-Loire and Bourgogne-Franche-Comte, not far from the capital, will have to bear limited costs of €1,183 and €1,165 respectively. Since the average net income is lower in these areas, the share of constrained expenditure in the household budget is several points higher.
A study by CSA Research also focused “Holiday Subscriptions”, but not including them in limited expenses. These pre-paid costs for cinema, music or the gym come to an average of 41 euros per month and up to 63 euros for 18-24 year olds. The survey also states that a third of French people, 34%, say they cannot do without subscriptions to video streaming platforms. So many expenses that weigh down household budget choices.
Source: Le Figaro
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.