Expenditure, net household income and expenditure ratio by selected income quintiles

Definition: Output rate: Share of expenditure in net household income. The expenditure shown includes both final consumption expenditure and other expenditure. The largest part of household expenditure is final consumption expenditure. This is specifically expenditure on food, housing, clothing, health, leisure, education, communication, transport, accommodation and restaurant services. In addition to final consumption expenditure, households have other expenditure, which is recorded as “remaining expenditure” or expenditure for non-consumption purposes. These include: — Voluntary contributions to the statutory pension scheme — Insurance contributions (additional health and care insurance, expenditure on motor vehicles, household, liability, accident and other insurance) — Other carry-overs and expenditure: (e.g. gifts and donations, maintenance payments) — Other taxes not mentioned elsewhere (e.g. motor vehicle, dog, inheritance or gift tax) — Interest on loans (building loans etc., consumer credit) — The statistical differences. These arise when certain small amounts have not been entered in the budget accounts in individual cases. The net household income is calculated by deducting from the gross household income (all household income from employment, wealth, public and non-public transfers, and from (sub-)renting) income tax/wage tax, church tax and solidarity supplement, as well as compulsory social security contributions. In order to form income quintiles, households per household type are sorted according to the level of equivalised income and divided into five groups of equal size. The first Qunitil contains the 20 percent of households with the lowest, the fifth with the highest equivalised income. Data source: IT.NRW, Income and Consumption Sample (EVS)