TurkStat issues “Income and Living Conditions Survey, 2019”

The share of the highest quintile was 46.3% of the total income in Turkey, according to “Income and Living Conditions Survey, 2019” which was issued by Turkish Statistical Institute (TurkStat) on Friday.

Ekleme: 11.09.2020 11:15:28 / Güncelleme: 11.09.2020 11:15:28 / English News / Ankara Haberleri
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“The income information regarding the Income and Living Conditions Survey 2019 results refers to the year 2018, the previous calendar year. In the calculation of income, the households income is converted into the equivalent household disposable income by taking into account the size and composition of the household,” TurkStat underlined.

According to survey results, the share of the top quintile by the equivalized household disposable income was 46.3% recording a decrease of 1.3 points whilst the share of the bottom quintile was 6.2% with an increase of 0.1 points in comparison with the previous year.

Gini coefficient was 0.395

Gini coefficient one of the measures of income inequality varies between 0, which reflects complete equality and 1, which indicates complete inequality. According to 2019 results, Gini coefficient was estimated at 0.395 with a decrease of 0.013 points compared with the previous year. S80/S20 ratio calculated as the ratio of total income received by the richest 20% of the population to that received by the poorest 20% of the population decreased from 7.8 to 7.4, while the S90/S10 ratio, which is calculated as the ratio of total income received by the richest 10% of the population to that received by the poorest 10% of the population decreased from 13.7 to 13.0.

Mean annual household disposable income was 59 thousand 873 TL

The mean annual household disposable income was 59 thousand 873 TL in 2019 with an increase of 16.5% compared to last year in Turkey.

Mean annual equivalized household disposable income was 28 thousand 522 TL

In Turkey, the mean annual equivalized household disposable income increased by 17.9% compared to the previous year from 24 thousand 199 TL to 28 thousand 522 TL.

One person households had the highest mean annual equivalized household disposable income

According to the household type, the highest mean annual equivalized household disposable income observed among the one person households with 37 thousand 262 TL with an increase of 4 thousand 616 TL compared to last year. The mean annual equivalized household disposable income of the multi-person no-family households 32 thousand 941 TL while this income of the one-family households was 29 thousand 449 TL. The household type with the lowest mean annual equivalized disposable income was extended-family households with 22 thousand 794 TL.

 Wages and salaries held the highest proportion of total income with 46.7%

The ratio of wage and salaries got the highest rate with 46.7% of total equivalized household disposable income with a decrease of 1.8 points compared with the previous year. This was followed by social transfers 21.9% with an increase 1.8 points and the entrepreneurial incomes 17.7% with a decrease of 1.1 points compared to 2018.

The share of agricultural income in the entrepreneurial income was realized as 22.6% by decreasing 0.3 points compared to 2018. Pensions and survivor' benefits composed 91.8% of social transfers with an increase of 0.8 points compared to previous year.

Higher education graduates had the highest mean annual income at main job with 51 thousand 888 TL

Mean annual income at main job was calculated as 51 thousand 888 TL for higher education graduates, 34 thousand 115 TL for high or equivalent school graduates, 26 thousand 833 TL for those with less than high school education 18 thousand 279 TL for those who do not graduate from a school and 14 thousand 129 TL for illiterate individuals. In 2019, compared to 2018, the highest increase in income at main job was observed in the illiterate individuals with 17.3% and the lowest increase was in literate individuals with no degree with 8.6%.

Construction sector held the highest increase of total income with 18.9%

When the mean annual income at main job are analyzed in branch of economic activity; it was observed that the highest mean annual income was in the service sector with 37 thousand 169 TL and the lowest mean annual income was in the agriculture sector with 21 thousand 807 TL. Compared to the previous year; the highest increase in mean annual income was observed in the construction sector with 18.9%, followed by the agricultural sector with 14.8%. On the other hand, an increase of 12.5% was observed in the service sector and 12.0% in the industrial sector.

Employers had the highest mean annual income at main job with 95 thousand 495 TL

Mean annual income at main job was 95 thousand 495 TL for employers, 34 thousand 286 TL for regular employees, 27 thousand 127 TL for self-employed workers and 14 thousand 769 TL for casual employees. Compared to the previous year, the highest increase was in regular employees with 13.9% and the lowest increase was in self-employed workers with 8.2%.

Relative poverty rate was 14.4%

The people having incomes below a specified line compared to the general population is defined to be the poor in a relative meaning. The at-risk-of-poverty-rate according to poverty threshold set at 50% of median equivalized household disposable income was 14.4% with an increase of 0.5 points compared to 2018. As for the at-risk-of-poverty-rate according to poverty threshold set at 60% of median equivalized household disposable income, it was 21.3% with an increase of 0.1 points in comparison with the previous year.

The at-risk-of-poverty-rate according to the poverty threshold set at 40% of median equivalized household disposable income was 8.3% with an increase of 0.4 points compared to the previous year and poverty threshold set at 70% of median equivalized household disposable income was 28.5% without a change.

One person households and multi-person no-family households had the lowest poverty rate

Considering poverty rates according to poverty threshold set at 50% of median equivalized household disposable income in terms of household types, at-risk-of-poverty-rate of one person households was 9.2% with a decrease of 0.4 points, multi-person no-family households was 9.2% with an increase of 1.5 points, extended family households was 18.2% with a decrease of 0.6 points and one-family households was 13.8% with an increase of 0.9 points compared to the previous year.

26.1% of illiterates and 2.5% of higher education graduates were poor

In terms of the at-risk-of-poverty-rate according to poverty threshold set at 50% of median equivalized household disposable income, 26.1% of illiterates and 22.4% of literates with no degree were poor. The figures for less than high school and high school graduates were 13.4% and 6.9% respectively. Higher education graduates were the group with the lowest poverty rate with 2.5%.

Severe material deprivation rate was 26.3%

Material deprivation reflects to perception of households about inability to pay unexpected financial expenses, one week's annual holiday away from home, mortgage or rent payments, a meal with meat, chicken, fish every second day and heating home adequately warm and the ownership of a washing machine, a color TV, a telephone and a car.

The severe material deprivation rate defined as the rate of people faced with the enforced inability to afford at least four of the above-mentioned items decreased from 26.5% in 2018 to 26.3% in 2019.

Persistent at-risk-of-poverty-rate was 12.7%

The persistent at-risk-of-poverty rate shows the percentage of the population living in households where the equivalized disposable income was below the at-risk-of-poverty threshold set at 60% of median equivalized household income for the current year and for at least two out of the preceding three years. In 2019 the persistent at-risk-of-poverty-rate was 12.7% the same as the previous year.

The share of people living in their own dwellings was 58.8%

In 2019, the proportion of the population living in their own dwellings decreased by 0.2 point compared to the previous year, it was calculated as 58.8% while the share of those living in rented house was 25.6%, the share of those living in lodging was 1.3% and the share of those who did not pay rent despite not living in their own dwellings was 14.3%.

Inability of heating due to isolation was the most common housing and environmental problem

According to the 2019 results 39.3% of the non-institutional population had heating problem due to isolation. This ratio was calculated 36.9% for population faced with problems in their dwellings such as leaking roof, damp walls/floors/foundation, rot in window frames/floors and 26.1% for population had pollution, grime due to traffic/industry or other environmental problems.

The percentage of people having installments or loans was 71.1%

71.1% of the population had installments or loans (other than mortgage -for the main dwelling- and housing cost), 0,7 points higher than last year. While these payments did not burden at all to 9.6% of the population, it was a heavy burden to 19.0%. 58.7% of the households reported that they cannot afford paying for one week annual holiday away from home, 33.6% of them cannot afford a meal with meat, chicken or fish every second day, 29.7% of them cannot afford unexpected financial expenses, 19.2% of them cannot afford keeping home adequately warm and 56.6% of them cannot afford replacing worn furniture. (ILKHA)