This indicator shows the ratio of high household incomes (in the 80th percentile) to low household incomes (in the 20th percentile) based on the household equivalised disposable income of New Zealanders. The higher this ratio, the greater the level of inequality.
The degree of income inequality is often regarded as an important aspect of the fairness of the society people live in.
In 2019, the equivalised disposable income of a high-income household was
The term ‘equivalised’ means household incomes have been adjusted to account for different household sizes and compositions. For example, large households are likely to need larger incomes to reach the same standard of living as smaller households