Top 10% Urban Households Earn Over W100 Mil.
By Lee Hyo-sik
Staff Reporter
The average annual income of the top 10 percent of urban households surpassed 100 million won last year for the first time as their earned income continued to increase at a solid pace, according to the National Statistical Office Monday.
Their earnings, including wages and other non-salaried income, grew at a faster rate than those of urban families headed by salaried workers, widening the income gap between the haves and the have-nots.
The richest 10 percent of urban households made an average of 107 million won in 2007, or 8.9 million won per month, the largest amount since the statistical office began compiling data in 1979. In 2006, their annual earnings stood at 98 million won, up from 93 million won in 2005 and 88 million won in 2004.
The average annual income of the top 10 percent was 2.42 times more than 44 million won made by the average urban salaried household. The gap widened from 2.37 times a year earlier.
Also, the top 10 percent of urban families made nine times more than the bottom 10 percent household last year, up from 8.9 times in 2006. The poorest 10 percent of urban families earned an average of 12 million won in 2007.
The statistical office said wages accounted for 79.3 percent of the top 10 percent household income, up from 78.1 percent the previous year, while a proportion of transfer income and other earnings to the total declined.
The richest 10 percent urban households had an average of 3.65 members and the head of the family aged 45 years on average.
They spent an average of 51 million won on food, housing, education and other consumer goods and services, while paying 17 million won for taxes, social security-related settlements and other non-consumption-related items.