Disposable household and per capita income

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Household income is a measure of the combined incomes of all people sharing a particular household or place of residence. It includes every form of income, e.g., salaries and wages, retirement income, near cash government transfers like food stamps, and investment gains.

Average household incomes need not map directly to measures of an individual's earnings such as per capita income as numbers of people sharing households and numbers of income earners per household can vary significantly between regions and over time.

Average household income can be used as an indicator for the monetary well-being of a country's citizens. Mean or median net household income, after taxes and mandatory contributions, are taken as indicators of standard of living, because they include only disposable income and acknowledge people sharing accommodation benefit from pooling at least some of their living costs.

Median income is the amount that divides the income distribution into two equal groups, half having income above that amount, and half having income below that amount. Mean income (average) is the amount obtained by dividing the total aggregate income of a group by the number of units in that group.

Disposable income per capita (OECD)[edit]


The list below represents a national accounts derived indicator based on adjusted gross income, which is defined as "the balance of primary incomes of an institutional unit or sector by adding all current transfers, except social transfers in kind, receivable by that unit or sector and subtracting all current transfers, except social transfers in kind, payable by that unit or sector; it is the balancing item in the Secondary Distribution of Income Account" [1] "plus transfers in kind" received mainly from government, such as healthcare and education.[2] In other words, it only includes taxes and transfers. It is based on the national accounts, which follows a standardized accounting (System of National Accounts) so to allow for comparability. It is also not survey based, which avoids survey errors and underreporting. The following is published by the OECD and is presented in purchasing power parity (PPP) so to adjust for costs of living.

Net adjusted[edit]

* Indicates "Economy of COUNTRY or TERRITORY" links.

Country Household net adjusted disposable income
 United States * $51,147
 Luxembourg * $44,773
 Switzerland $39,697
 Norway * $39,144
 New Zealand * $39,024
 Germany * $38,971
 Iceland * $37,549
 Australia * $37,433
 Austria * $37,001
 Netherlands * $34,984
 Belgium * $34,884
 France * $34,375
 Canada * $34,421
 Denmark * $33,774
 Sweden * $33,730
 Finland * $33,471
 Italy * $29,431
 Ireland * $29,488
 Japan * $28,872
 Israel * $27,701
 Spain * $27,155
 Czech Republic * $26,644
 Slovenia * $25,250
 Portugal * $24,877
 Korea * $24,590
 Estonia * $23,784
 Poland * $23,675
 Slovakia * $21,149
 Hungary * $21,026
 Greece * $20,791
 Latvia * $19,783


The following table represents data from OECD's "median disposable income per person" metric, which includes all forms of income as well as taxes and transfers in kind from governments for benefits such as healthcare and education and is equivalised by dividing by the square root of household size. This metric, in addition to using a median rather than a mean, uses "data calculated according to the new OECD terms of reference"; compared to previous terms of reference, these "include a more detailed breakdown of current transfers received and paid by households as well as a revised definition of household income, including the value of goods produced for own consumption as an element of self-employed income."[4] As OECD displays median disposable incomes in each country's respective currency, the values were converted here using the World Bank's PPP conversion factors, accounting for each country's cost of living in the year that the disposable median income was recorded.[5] Unless noted otherwise, all data refers to 2019. Data are in United States dollars at current prices and current purchasing power parity for private consumption for the reference year.

See also[edit]


  1. ^ Directorate, OECD Statistics. "OECD Glossary of Statistical Terms - Disposable income Definition". stats.oecd.org.
  2. ^ Directorate, OECD Statistics. "OECD Glossary of Statistical Terms - Adjusted disposable income Definition". stats.oecd.org.
  3. ^ "Household accounts - Household disposable income - OECD Data". theOECD.
  4. ^ Income Distribution and Poverty: Median disposable income (current prices). OECD. Accessed August 6, 2018.
  5. ^ PPP conversion factor.
  6. ^ "Income Distribution and Poverty". stats.oecd.org. Archived from the original on 2013-06-09.

External links[edit]