Japanese households had an average annual income of approximately 5.17 million Japanese yen in 2023, constituting a decrease of 1.5 percent compared to the previous year.
Stagnant wages and regional income disparities
Household income refers to the combined gross income of all household members aged 15 years and older, regardless of relation. While the average number of household members was 2.22 in 2023, there were only about 1.05 earners per household. A look at the time series reveals that the average income stagnated in the last ten years. However, there are regional disparities: people in Tokyo or Nagoya have seen their incomes rise, whereas in many other parts of Japan, such as Nara or Kagawa, they have not.
Japan’s well-being
Often cited with family income and per capita income, the annual average household income is a useful economic indicator of a country’s living standard and individual wealth. In terms of well-being, Japan’s performance is mixed compared to other OECD countries. While low labor market insecurity and a high employment rate indicate Japan is performing well relative to other OECD countries, average earnings, as well as household net adjusted disposable income were lower than the OECD average.
Average annual income of households in Japan from 2014 to 2023
(in million Japanese yen)
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e-Stat (Japan). (February 6, 2024). Average annual income of households in Japan from 2014 to 2023 (in million Japanese yen) [Graph]. In Statista. Retrieved October 31, 2024, from https://www.statista.com/statistics/856609/japan-average-annual-income-household/
e-Stat (Japan). "Average annual income of households in Japan from 2014 to 2023 (in million Japanese yen)." Chart. February 6, 2024. Statista. Accessed October 31, 2024. https://www.statista.com/statistics/856609/japan-average-annual-income-household/
e-Stat (Japan). (2024). Average annual income of households in Japan from 2014 to 2023 (in million Japanese yen). Statista. Statista Inc.. Accessed: October 31, 2024. https://www.statista.com/statistics/856609/japan-average-annual-income-household/
e-Stat (Japan). "Average Annual Income of Households in Japan from 2014 to 2023 (in Million Japanese Yen)." Statista, Statista Inc., 6 Feb 2024, https://www.statista.com/statistics/856609/japan-average-annual-income-household/
e-Stat (Japan), Average annual income of households in Japan from 2014 to 2023 (in million Japanese yen) Statista, https://www.statista.com/statistics/856609/japan-average-annual-income-household/ (last visited October 31, 2024)
Average annual income of households in Japan from 2014 to 2023 (in million Japanese yen) [Graph], e-Stat (Japan), February 6, 2024. [Online]. Available: https://www.statista.com/statistics/856609/japan-average-annual-income-household/