Low earners transfer income hikes over 20%
- 6 years ago
For the first time in 15 years,... government's financial assistance for low-income households surpassed households' earned income... amid the country's worsening job situation.
Won Jung-hwan reports.
Financial assistance surpassed average earned income for the lowest 20 percent of household incomes in the first quarter of 2018.
According to data from Statistics Korea on Tuesday,… financial assistance from the government for low-income households, those whose income was in the lowest 20 percent of earners,... increased by over 21-percent compared to the previous year. Low-income households earned 440 U.S. dollars a month on average, but received an average of 550 US dollars in financial assistance.
This is the first time since 2003 that financial assistance for low-income households is higher than those households' earned income. This financial assistance includes government pensions and unemployment benefits.
The government has been implementing policies to raise the income base of low-income earners by providing housing support for young and newly married couples and raising the maximum level of income for people to be eligible for tax credit.
But while the government has been expanding support for low-income groups,… an analysis shows that low-income households saw their earned income drop by over 13-percent on-year due to the downturn in the labor market.
Some experts worry that if the gap between earned income and financial assistance for low-income households widens, it could lead to further economic problems.
Won Jung-hwan, Arirang News.
Won Jung-hwan reports.
Financial assistance surpassed average earned income for the lowest 20 percent of household incomes in the first quarter of 2018.
According to data from Statistics Korea on Tuesday,… financial assistance from the government for low-income households, those whose income was in the lowest 20 percent of earners,... increased by over 21-percent compared to the previous year. Low-income households earned 440 U.S. dollars a month on average, but received an average of 550 US dollars in financial assistance.
This is the first time since 2003 that financial assistance for low-income households is higher than those households' earned income. This financial assistance includes government pensions and unemployment benefits.
The government has been implementing policies to raise the income base of low-income earners by providing housing support for young and newly married couples and raising the maximum level of income for people to be eligible for tax credit.
But while the government has been expanding support for low-income groups,… an analysis shows that low-income households saw their earned income drop by over 13-percent on-year due to the downturn in the labor market.
Some experts worry that if the gap between earned income and financial assistance for low-income households widens, it could lead to further economic problems.
Won Jung-hwan, Arirang News.