This paper proposes a methodology of “Objective Gap Analysis”. The idea is that social researchers will derive more valuable information when they assess social indicators in oposition to each other, such as subjective against objective, than by combination of their face values such as in a tradition of compound indicators. The idea is tested on the case of evaluation of Quality of life in Balkan countries and in EU. Paper is organised as follows: in the next chapter different concepts of quality of life are discussed. The third chapter proposes an indicator based tool of objective gap analysis with the main purpose of identification and evaluation of the gap. In the forth chapter results are presented. In the last chapter results are discussed in light of its consequences for European policy evaluation. Authors: Bojan Radej, Tjaša Bole