Reducing income inequality is an important development goal in every country since high inequality brings to social tensions and reduced effectiveness of the economic system. The efficiency of measures taken to reduce inequality presupposes a thorough knowledge of its causes and the factors that most influence the degree of inequality in a particular country. That is why the authors of this paper tried to establish to what extent the salaries - as one of the key sources of income - influence the income inequalities in the Republic of Croatia. Using their own analytical approach, based on the comparison of salary values and the standard of living in Croatian counties, the authors conclude that the salaries are not the key factor in income in...