Working Life Barometer in the Baltic Countries 2002 (pdf) - mol.fi

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A household member spent on average 2321 kroons per month. A third
(33%) of this amount was spent on food and 15% on housing. Obviously the
main explanation of higher expenditures than incomes is extensive use of
loans and leasing. As compared with 1996 the average income of a household
member had increased 1.6 times by 2001; during the same period the
consumer price index increased 1.37 times. In 2001 a household consisting of
two adults with no children had the highest income per member (almost by
25% higher than the average) while households of one adult and children had
the lowest income per member (77% of the average). The income of a
household member living in the country was 20% lower than in town. The
structure of household incomes has changed little in recent years. However, in
the income structure of a rural household the importance of incomes from
wage work but also transfers has significantly increased. Incomes from selfemployment
(agriculture) have markedly fallen. As to changes in the structure
of expenditures, the reduction of the proportion of expenditures on foodstuffs
from 41% in 1996 to 33% in 2001 is worth mentioning (at the same time 1.2
times more was spent on foodstuffs).
Inequality of incomes can be illustrated by the large difference between the
incomes of the highest income decile (tenth decile) and the lowest decile (first
decile). The difference between the first and tenth decile is 10-fold with
respect to total net incomes but with respect to incomes from wage work as
high as 20-fold. The greater is the proportion of income from wage work, the
higher is the income decile to which the person belongs. Three quarters of the
net income of the 9th and 10th income deciles consists of income form wage
work. Persons belonging to these deciles are typically (a) men below 65 years
of age (especially 25–34 years old); (b) employees of Estonian origin; (c) town
dwellers (mainly living in Tallinn and Harjumaa) and (d) with a higher
education and childless.
Estimates of poverty in Estonia may be quite different depending on the
chosen criteria. Estonian social scientists have estimated that 25% of the
households, 28% of all household members and even 38% of the children live
in poverty. At the same time, if we consider the official poverty line (500
kroons per household member after deduction of expenditures on housing
from net income) only 2% of the households, 3% of the household members
and 4% of the children live in poverty. The state pays social security benefits