Polish seniors are significantly reducing debt by working into their 70s, with elderly debt falling by 1.4 billion złoty over five years.
Billion-Dollar Debts Vanishing from Senior Accounts
Total debt among Polish seniors has decreased by 1.4 billion złoty over the past five years. Currently, elderly debt stands at approximately 5 billion złoty, down from 6.4 billion złoty at the beginning of 2021. The number of indebted seniors has also declined.
One reason is the extended professional activity of seniors, who employers increasingly hire. Statistics from the Ministry of Family and Labor show that working men work on average until age 69, while women work until age 66.
Senior Worth Their Weight in Gold: Companies Increasingly Hiring 70-Year-Olds
According to ministry data, the number of seniors remaining in the workforce has increased by over 50 percent in nine years. Companies are increasingly favorable toward hiring seniors – according to Progres Group research, 23 percent of employers plan to hire a retiree, and 6 percent actively encourage them to apply.
GUS reports that 1.2 million people in the 60-69 age group are working, and nearly 198,000 work beyond age 70.
Higher Benefits and ‘Portfolio’ Discipline
Improved benefits also affect the ability to meet obligations. The average pension in 2024 was 3,862.61 złoty, representing a 14 percent year-over-year increase. Despite this, it still constitutes only about half of the average salary.
Women vs. Men: Who Manages Household Budgets Better?
Extended professional activity is also supported by the improving health of society. After pandemic-related declines, life expectancy is rising again, as is the projected healthy life expectancy. In 2024, it was 61.62 years for men and 65.32 years for women, representing increases of 0.3 and 0.7 years respectively.
“Women live longer and their pensions are often lower than men’s, so it’s particularly important that they take care of their financial future in advance,” says Adam Łącki. KRD data shows that women’s retirement debt is slightly better than men’s. Women’s debt is 2.3 billion złoty, while men’s is 2.8 billion złoty. However, there are more female debtors: 138,800 women versus 132,700 men.
Debt Map: Where Polish Seniors Have Fewest Financial Problems
The highest total retirement debt was recorded in Mazowieckie province, at 778.2 million złoty, affecting 34,100 people. This is also the region with the largest senior population (1.2 million). Second place goes to Silesia province, with debt reaching 721 million złoty and 37,800 debtors. Third place is Lower Silesia, with nearly 470 million złoty in arrears and 25,600 indebted seniors.
Seniors in Podlaskie province have the fewest financial problems. Total debt in this region is 89.5 million złoty, with 4,600 debtors. Low debt is also noted in Świętokrzyskie province (106.4 million złoty, 5,700 debtors) and Podkarpackie province (113.2 million złoty, 6,200 persons).
Not Just Banks: Who Do Seniors Borrow From Most Often?
The largest creditors for seniors remain securitization funds, to whom seniors owe approximately 3 billion złoty. Unpaid aliments also constitute a significant portion – 904.4 million złoty. Debts to banks, cooperative savings and loan associations (SKOKs), and loan companies amount to 333.3 million złoty. These are followed by housing debts (67.8 million złoty) and telecommunications debts (66.5 million złoty).
Over the past year, seniors have significantly reduced their arrears. Securitization funds recovered 674.5 million złoty, debt to financial institutions decreased by over 192 million złoty, and debt to public and self-government entities decreased by 160 million złoty. Housing obligations decreased by nearly 16 million złoty, while telecommunications debts remained at a similar level.
