Rising prices and stagnant wages have pushed many households into tighter budgets. Across the region, people are eyeing every euro, trimming discretionary spending, and exploring ways to stretch each paycheck. The ongoing gap between income and monthly expenses is a reality for a growing number of families, with many reporting that their spending routinely surpasses what they earn. This trend has become a salient feature of the financial picture for households in parts of southern Europe, and it echoes in conversations about household budgeting and debt risk. A recent European Consumer Payments Report, prepared on a wide multi-country survey, highlights that 24% of residents in the Valencian Community feel the squeeze most months, underscoring the pressure on typical family finances. The same study, which included responses from more than 20,000 people across 20 European countries, confirms that this challenge is not exclusive to one country but part of a broader European rhythm of higher living costs relative to incomes.
The data also shows that Spaniards who reported month after month spending more than they earned averaged 328 euros above their income, compared with the European average of 232 euros. This places Spain near the upper end of the imbalance, exceeded only by Switzerland, where the gap sits at 359 euros. In contrast, several countries—Poland, Hungary, and the Czech Republic—appear to face smaller monthly gaps, suggesting tighter budget adjustments by households as the month closes. These patterns reveal a mix of persistent cost pressures and varying household responses that reflect local economic conditions, social safety nets, and consumer behavior across Europe.
Citizens are urged to take control of daily expenditures. This includes managing recurring costs, evaluating payment plans, and prioritizing essential needs. The central message from financial authorities and researchers is clear: sustained inflation affects both individuals and businesses, calling for careful financial planning and practical budgeting strategies to avoid unnecessary debt. The findings echo the call from financial leaders to invest in clear budgeting practices and ongoing financial education to help households navigate rising prices without compromising essential needs.
Across the region, timely payment behavior remains a meaningful indicator of financial health. In the Valencian Community, 18% of consumers, rising to 21% nationwide, admitted to delaying at least one bill in the past year. This marks the highest rate since 2019, while the European average stands at 35%. The data position Spain, together with Portugal, as one of the areas with relatively fewer payment delays. In contrast, countries such as Norway, Greece, and Switzerland report much higher rates of late payments, reflecting divergent economic pressures and credit environments across Europe.
The broader context shows that mortgage delinquencies have topped quarterly increases in several years, signaling that payment delays often stem from shared economic difficulties rather than isolated incidents. Within households facing delays, many respondents acknowledge a shift in attitudes toward debt. A notable portion—about a third in the region—report feeling less guilt about skipping a bill than a few years ago, with similar sentiments echoed nationally and across Europe. This change in perception highlights how prolonged economic stress can recalibrate norms surrounding timely payments and financial risk, reinforcing the need for proactive debt management, accessible financial education, and stronger personal budgeting tools to support households through uncertain periods.