Money, money, money: More Poles are joining the ‘rich list’ and more are becoming millionaires
With over 25,000 millionaires and 1.1 mln getting on the official ‘rich list’ for earning over 85,000 PLN a year, Poles are becoming increasingly well off.
According to the Tax Administration Chamber in Warsaw, over the last five years more than 10,000 people have joined the most affluent taxpayers group, an increase of 17 percent in 2017.
Most of Poland’s millionaires, 6,700 of them, live in the Mazowieckie region, while the smallest number, 395, in the Opolskie region in southern Poland. But it is traditionally poorer areas that have seen the fastest growth in the number of rich.
Łukasz Kozłowski, Chief Economist of the Federation of Polish Entrepreneurs, told The First News: “The largest percentage increase in the number of taxpayers declaring annual income above PLN 1 million took place in the Świętokrzyskie, Kujawsko-Pomorskie and Podlaskie Voivodeships. These regions were very different from the most prosperous parts of the country in terms of the number of people achieving such a high income. But currently the regional disparities are narrowing to some extent.
“A possible explanation for this trend is that the highest share of entrepreneurs among millionaires, who can count not only on higher profits generated by their companies, but also on a significant income from a possible sale of shares in their companies, is maintained in traditionally poorer voivodeships.”
It’s not only Złoty-millionaires, the term used to make a distinction between millionaires in and outside Poland.
According to the KPMG report “Luxury Goods Market in Poland. Editoin 2017’, there are also 57,000 people with a net wealth exceeding USD 1 million in Poland.
Andrzej Marczak, partner of consulting firm KPMG in Poland, said: “Thicker Polish wallets increase, of course, the demand for luxury goods. All sectors recorded an increase in value in relation to 2016, and this trend will continue in the coming years."
Luxury cars remain the largest sector of the market and according to the "average rich Pole" cars should cost at least 285,000 PLN. The second most dynamically developing market sector is luxury jewelry.
Thicker wallets, however, would soon mean higher social responsibility. From 2019 on, the government will start collecting 4 percent tax from all citizens with an income over 1 million PLN. The money will go to the Disability Support Fund.