Disposable income per person was over 1.2 million in the third quarter and increased by 2.9% from the same period last year. However, inflation at the same time amounted to 9.7%, so there was a decline in the purchasing power of disposable income of 6.1% during the period. This is stated in the figures of Statistics Iceland that were published this morning.
Total household income increased by 10.2% in the third quarter of 2022 compared to the same quarter last year. The item that weighs the most in the increase in total income is wage income, which increased by 13.7% from the same quarter last year. It is estimated that property income increased by 18.0% from the same quarter last year, while interest income is estimated to have increased by 61.5% during the period.
Total household expenses increased
Pension income and social transfers increased by 0.6% in the third quarter of 2022 compared to the third quarter of 2021. This shows an increase in pension income that offsets a considerable decline in social transfers to households, but social transfers were significant during the same period in 2021 can be directly attributed to the effects of the coronavirus epidemic, the increased unemployment that followed the epidemic, and the measures taken by the government as a result.
It is estimated that total household expenses increased by 16.6% in the third quarter of 2022 compared to the same quarter last year. Tax payments increased by 15.1% from the same quarter last year, and insurance fees are estimated to have increased by 14% during the period.
