Australian households

 

PHOTO: Australian households are now worth over $1 million on average, but incomes aren’t keeping pace

Australia’s richest households have gotten richer over the past decade while middle and low-income earners have barely seen an increase in their earnings.

On average, Australian households are now worth more than $1 million, but that figure is heavily skewed by the wealthiest 20 per cent, who now control 60 per cent of all household wealth.

Asset-rich, cash-poor Australians are relying on strong increases in property prices and superannuation balances to drive the wealth growth, as income growth has stagnated.

Australian Bureau of Statistics chief economist Bruce Hockman said average household wealth was $1.02 million in 2017/18, compared to nearly $749,000 in 2005/06.

“While ABS data has shown that there is a recent downturn in the property market, over the longer term there has been sustained growth (of) 37 per cent since 2005/06,” he said on Friday.

“Over the same time, the average household superannuation balance has almost doubled from $112,500 in 2005/06 to $213,700 in 2017/18.”

READ MORE VIA YAHOO