Self-Perceived Financial Sufficiency of the Elderly Population in Croatia

Abstract

Subjective income, as measured by self-perceived financial sufficiency, is a critical determinant of well-being, including an individual's health and quality of life. This study investigates self-perceived financial sufficiency among the elderly population in Croatia and its demographic and socioeconomic correlates, drawing on data from a 2022 survey conducted as part of the SENIOR2030 project. Our findings reveal significant variations in self-perceived financial sufficiency across Croatian regions, age groups, duration of working life and other socioeconomic factors, with household characteristics playing an important role. Additionally, we found that objective income is positively associated with self-perceived financial sufficiency among the elderly in Croatia. As Croatia's population ages and single-person households become more prevalent, understanding how the elderly perceive their financial status and its impact on their quality of life is becoming increasingly important. While objective and subjective measures of income differ, both have significant and sometimes diverse effects on behaviour and well-being. Research surveys often use questions about self-perceived financial sufficiency, providing valuable insights for informing public policies aimed at improving the well-being of the elderly population. Our findings contribute to the growing literature on the importance of subjective measures of income and their relationship with well-being among the elderly with some comparable results identified in other European countries.