Study Reveals Stark Regional Disparities in Germany's Purchasing Power

Bavaria's Starnberg tops the ranking, while cities like Offenbach and Gelsenkirchen struggle with low incomes despite varied living costs.

The Institute of the German Economy (IW) ranked 400 regions based on price-adjusted purchasing power, using data from 2022 and 2023.
Starnberg in Bavaria leads with a real income of €35,392, while Offenbach ranks last at €19,022 after adjusting for living costs.
High incomes in regions like Starnberg and Miesbach offset their above-average living expenses, while low nominal incomes dominate the bottom ranks.
Urban centers like Berlin, Hamburg, and Frankfurt see their rankings drop due to high housing costs, a key driver of regional price differences.
Bavaria dominates the top spots, while ten North Rhine-Westphalian cities, including Gelsenkirchen and Duisburg, are among the 50 lowest-ranked regions.