- The median household income (PPP)in Italy was $35,189in 2021
- Median household income (PPP)of Italy increased by 1.0% from the previous year in 2021
- Between 2010 to 2021, the median household income (PPP)in Italy was highest in 2010 at $35,872and was lowest in 2012 at $33,852
Median Household Income Overview
The indicator refers to the median income of a household in a country. Median household income divides households into two equal segments, such that the first half earns less than the median income while the second half earns more. The median income is defined in PPP (Purchasing Power Parity, in Current International Dollars) terms to avoid exchange rate fluctuations due to inflationary tendencies across countries. The median income level is generally accepted as a better indication of well-being or actual income distribution as it is not skewed by disproportionate data.
According to Global Data, the top ten countries with the highest median household income in the world are Singapore, Iceland, Norway, Sweden, Ireland, Luxembourg, Belgium, the United States, Cyprus, and Australia. The average median household income (PPP) was $40,094 in 2021.
Italy’s Median Household Income Highlights in 2021
Italy’s median household income hit (PPP) $35,189 in 2021, an increase of 1.0% over the previous year. Between 2010 to 2021, Italy’s median household income decreased by 1.9%.
High inequality of income amongst the Italian population is a concern. According to Eurostat, as of 2019, Italy’s Gini Coefficient of equalized disposable income (a measure of inequality in income) was 32.8, which is one of the highest amongst EU nations. A Gini coefficient score of zero corresponds to complete equality while a score of 100 corresponds to complete inequality. According to the World Bank, the income share held by the wealthiest 10% of people in Italy was 26.7% in 2017, while the poorest 10% of the population accounted for only 1.9% share of total income for the same year.
In Italy, income inequality within regions is inversely related to the level of wealth per inhabitant, and the poorest regions have the largest income gaps between the top 20% and bottom 20% of earning members in the region.
Recent trends influencing Global Economic Growth
Increased COVID-19 impact:
As a result of Omicron, a new variant of COVID-19, more cases have been reported worldwide, resulting in the disruption of supply chain management. However, the global vaccination drive has reduced the fatality rate from the coronavirus.
Rising Inflation and Interest Rates:
As a result of rising inflation rates in both developing and advanced economies, central banks have been forced to tighten monetary policy and raise interest rates to keep prices from rising. However, a steady increase in interest rates could cause financial distress in some economies.
FAQs
What is the average income in Italy in US dollars? ›
What is average wage in Italy? Average Wages in Italy increased to 2475 EUR/ Month (2662.149 USD/Month) in 2021. The maximum rate of average wage for employees was 2502 EUR/ Month and minimum was 1176 EUR/ Month.
How do you calculate median household income? ›Median is defined as being the middle number in a group. So if you have three incomes in one household of $35,000, $40,000, and $45,000, the median income is $40,000.
What is the income distribution in Italy? ›Italy - Income distribution was 5.86 in December of 2021, according to the EUROSTAT. The income distribution ratio considers the total income received by the 20 % of the population with the highest income to that received by the 20 % of the population with the lowest income.
What is the average salary in Italy 2022? ›According to Salary Explorer, the average gross salary for Italy as of February 2022 is around €44,640 per year or €3,720 a month. If this sounds high, it's because this number includes various benefits, such as housing stipends, travel expenses, vacation allowance, etc.
What is the median household income in Italy? ›| Rank | Country | Median income (US$, PPP) |
|---|---|---|
| 18 | France | 28,146 |
| 19 | Slovenia | 25,524 |
| 20 | United Kingdom | 25,407 |
| 21 | Italy | 25,265 |
However, if you are not really interested to read the details, here is your answer: our cost of living in Italy per month is 1600 Euros – for a couple (cost of living in Italy in us dollars = U$ 1720).
How to calculate the median? ›For a small data set, you first count the number of data points (n) and arrange the data points in increasing order. If the number of data points is uneven, you add 1 to the number of points and divide the results by 2 to get the rank of the data point whose value is the median.
What does median household income mean? ›The median divides the income distribution into two equal parts: one-half of the cases falling below the median income and one-half above the median. For households and families, the median income is based on the distribution of the total number of households and families including those with no income.
What is the median household income in 2022? ›According to the U.S. Bureau of Labor Statistics (BLS), the median weekly income (including overtime, commission and tips) for full-time workers (excluding those who are self-employed) in America was $1,041 as of the second quarter of 2022. If that rate persists for the entire year, that would equal $54,132 a year.
What is the main source of income in Italy? ›Italy Economic Overview
Its economic structure relies mainly on services and manufacturing. The services sector accounts for almost three quarters of total GDP and employs around 65% of the country's total employed people.
Is Italy a high or low income country? ›
...
High-Income Countries 2023.
| Country | GNI per capita (Atlas method, current US$) | GNI per capita (PPP, INT$) |
|---|---|---|
| Isle Of Man | - | - |
| Israel | $49,560 | $44,060 |
| Italy | $35,710 | $46,490 |
| Japan | $42,620 | $44,570 |
...
Italy Poverty Rate 1986-2023.
| Italy Poverty Rate - Historical Data | ||
|---|---|---|
| Year | % Under US $5.50 Per Day | Change |
| 2017 | 3.30% | -0.10% |
| 2016 | 3.40% | -0.50% |
| 2015 | 3.90% | 0.80% |
Because Italy does not have a minimum wage, there is no mandatory minimum rate of pay for workers in Italy. Pay rates must be agreed upon directly with the employer through collective bargaining or other means of negotiating a fair living wage.
What is the living salary in Italy? ›| 2016 | 2017 | |
|---|---|---|
| Living Wage - Single Adult | 670-920 | 675-915 |
| Living Wage - Typical Family | 1110-1480 | 1110-1470 |
| Real wage of low-skilled worker | 915-1200 | 900-1190 |
| Real wage of medium-skilled worker | 1280-1620 | 1270-1610 |
Italy's debt-to-GDP ratio is forecast to decrease from 150.3% in 2021 to 144.6% in 2022, thanks to economic growth and a favourable stock-flow adjustment.
What is median income vs average income? ›The average (mean) income is the sum of all incomes divided by the count of incomes in the data set. By contrast, the median income is simply the income in the middle of the data set, which can be determined by placing all the numbers in value order and working toward the center.
Is median household income gross or net? ›To estimate your household's area median income; 1st add all household wage-earners gross income (income before any taxes or other deductions) then total how many individuals (both adults and children) reside in the household.
Who has the highest median household income? ›| Rank | County or Equivalent | Median Household Income |
|---|---|---|
| 1 | Loudoun County | $147,111 |
| 2 | Falls Church | $146,922 |
| 3 | Santa Clara County | $130,890 |
| 4 | San Mateo County | $128,091 |
| Nation | City | Price in USD Regular/Gallon |
|---|---|---|
| Netherlands | Amsterdam | $6.48 |
| Norway | Oslo | $6.27 |
| Italy | Milan | $5.96 |
| Denmark | Copenhagen | $5.93 |
Housing Costs in Italy
Italy is far less expensive than the U.S. when it comes to housing. According to August 2022 data from Numbeo.com, average rents in Italy are almost 59% lower than they are in the U.S. For a one-bedroom city center apartment, you can expect to pay about $690 per month in rent.
Is it cheaper to live in the US or Italy? ›
United States is 46.0% more expensive than Italy.
How do you solve a median question? ›For a set of two numbers, the value of the median will be the same as the value of the mean. For example, 2 and 10 are the two numbers. Also, mean = (2+10)/2 = 12/2 = 6. Hence, the median of two numbers is equal to the mean.
What are the formula and steps in solving for the Mean Median? ›The mean (informally, the “average“) is found by adding all of the numbers together and dividing by the number of items in the set: 10 + 10 + 20 + 40 + 70 / 5 = 30. The median is found by ordering the set from lowest to highest and finding the exact middle. The median is just the middle number: 20.
What is the formula of median 10? ›The median for grouped data is given by the equation, median = [l + ((n/2) – cf)/f)h ], where cf is the cumulative frequency, l is the lower limit of median class, n is the number of observations, f is the frequency of median class, h is the class size (assuming equal size classes).
Why is median household income important? ›Income is generally used as a measure of the economic well-being of individuals and communities. Median household income provides information about the financial resources available to households, and is closely tied to employment levels, educational attainment, and health.
How accurate is median household income? ›Income by Family and Household
Median income is a more accurate picture of middle-earner's income than average income because the number of high earners skews the average income amount. The U.S. Census Bureau reports average and median U.S. incomes in September of each year.
Median household income is the income cut-off where half of the households earn more, and half earn less. Average Household Income: Average (or mean) household income on the other hand is calculated by dividing the total household income in the target geography by the number of households.
What is the median single income? ›For the year 2020, the U.S. Census Bureau estimates that the median annual earnings for all workers (aged 15 and over) was $41,535; and more specifically estimates that median annual earnings for those who worked full-time, year round, was $56,287.
What is the average household income top 10 percent? ›What was the top 10% household income percentile in 2022? The threshold to be in the top 10% of household incomes in 2022 in the United States was $212,110.
What is Italy's GDP PPP? ›GDP per capita, PPP (current international $) in Italy was reported at 45902 USD in 2021, according to the World Bank collection of development indicators, compiled from officially recognized sources.
Does Italy have basic income? ›
The citizens' income (Italian: reddito di cittadinanza) is a social welfare system created in Italy in January 2019. Although its name recalls one of a universal basic income, this provision is actually a form of conditional and non-individual guaranteed minimum income.
Is there income inequality in Italy? ›The results shed further light on the multifaceted nature of inequality in Italy: youngest individuals, women and Southern regions are particularly exposed to increasing inequality. The Italian tax system is slightly progressive up to the 95th income percentile and regressive for the top 5%.
Why is Italy's economy weak? ›It has been unable to keep pace with the technological demands of a competitive global economy. The Italian technological lag reflects a falling behind in educational standards: low growth and weak investment in technology and human capital have reinforced each other.
What is low income Italy? ›Published by Statista Research Department, Feb 10, 2021. An person living in Italy with less than 657 euros per month is considered poor. For a household with four members, this amount is around 1.8 thousand euros.
What is the main cause of poverty in Italy? ›Causes of Poverty in Italy
A recession, soaring unemployment and an increasing migrant population are the biggest contributors so far. In light of these conditions, Italians are working together to reduce poverty rates.
Italy is the third-largest economy in the eurozone, but its exceptionally high public debt and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets.
Does Italy have slums? ›But more than a century later, about 6,500 Italians still live in makeshift hovels scattered around Messina, which is wedged between pine and eucalyptus forests and the narrow straits separating Sicily from the Italian mainland.
How much does it cost to rent an apartment in Italy? ›Housing rent and utilities in Italy
Rent in a big city will range from around €400 to €700 for a furnished apartment. In small towns, you can find accommodation from €300.
Italy is one of six countries, including Austria, Cyprus, Denmark, Finland and Sweden, that doesn't have a minimum wage law in place.
Does Italy have free healthcare? ›Universal coverage is provided through Italy's National Health Service (Servizio sanitario nazionale, or SSN), established through legislation in 1978. The SSN automatically covers all citizens and legal foreign residents.
How much does the average person make a year in Italy? ›
The average salary in Italy is about 28,500 EUR to 30,000 EUR per year, which works out to about 2,375 EUR to 2,500 EUR per month or 1,624 EUR to 1,707 EUR net.
Is Italy's economy growing or declining? ›Italy's gross domestic product contracted by 0.1 percent quarter-on-quarter in the three months leading to December of 2022, falling from the 0.5 percent expansion in the previous quarter and slightly below expectations of a 0.2 percent decline.
Is Italy's economy growing or shrinking? ›...
| Characteristic | GDP growth rate compared to previous year |
|---|---|
| 2019 | 0.5% |
| 2018 | 0.93% |
| 2017 | 1.67% |
Italy's problem of youth unemployment is also caused by its protectionist welfare system and labor market. In 2015, 62.4% 15–24 year-olds who were registered unemployed for 6–11 months did not receive any benefits or assistance; the same rate measured in the population of 15–74 year-olds was 52.4%.
Is it cheap for an American to live in Italy? ›Italy is one of the cheapest countries to live in.
In fact, Italy is the 4th cheapest country in Western Europe.
United States is 46.0% more expensive than Italy.
What is middle class income in Italy? ›Italy's Median Household Income Highlights in 2021
Italy's median household income hit (PPP) $35,189 in 2021, an increase of 1.0% over the previous year.
United States is 48% more expensive than Italy. Jan 2023 Cost of Living.
Can American retirees live in Italy? ›Can expats retire in Italy? Yes, everyone can retire in Italy. Non-EU citizens need to apply for an Elective Residency Visa, also known as Italy Retirement Visa.
What is the best city in Italy for American to live? ›Living in Rome
It's also a fabulous choice for expatriates – especially those that have families with children. Rome is home to a variety of top-notch private and international schools. It's also a friendly city that makes it easy for expats to feel comfortable and get acclimated to Italian life.
Can I collect Social Security if I move to Italy? ›
How Benefits Can Be Paid. If you have Social Security credits in both the United States and Italy, you may be eligible for benefits from one or both countries. If you meet all the basic requirements under one country's system, you will get a regular benefit from that country.
Do retirees pay taxes in Italy? ›As a general rule, American pensions are taxed in Italy. However, there are few exemptions as explained by the double taxation treaty with US.
What is considered upper class in Italy? ›Bourgeoisie (10% of the working population) includes high-class entrepreneurs, managers, politicians, self-employed people, highest-ranking celebrities, etc.
Do I have to pay US taxes if I live in Italy? ›US Expat Taxes - Italy. US citizens, as well as permanent residents, are required to file expatriate tax returns with the federal government every year regardless of where they reside.
Can a US citizen live in Italy for a year? ›Americans must have an entrance visa which should be obtained at an Italian consulate before coming to Italy, in order to remain in Italy more than three months and gain resident status. This procedure will take several weeks to complete so it is advisable to apply well in advance of the departure date.
How much do you need to retire in Italy? ›Conditions for expats retiring to Italy
In order to retire to Italy, a foreign citizen must comply with a few requirements. Among these, the foreign citizen must be retired and have a minimum annual income of EUR 31,000. For married couples seeking to retire in Italy, the minimum amount necessary is EUR 38,000.