The 2000/01 figures have been revised due to improvements in the estimation methodology used. For more information contact Statistics New Zealand
Overview
Average weekly household expenditure increased by 16.1 percent, up from $765 in 2000/01 to $888 in 2003/04. All expenditure groups recorded increases with the largest percentage increase being for the apparel group, up 23.3 percent. Housing continues to be the largest component of household expenditure, accounting for 24 cents of every dollar spent in 2003/04. Expenditure on the food, transportation, and other services (includes health, education, finance and other services) groups each accounted for 16 cents of every dollar spent.
Average annual before-tax household income increased by 12.3 percent from $53,806 in 2000/01 to $60,433 in 2003/04. Income from wages and salaries increased by 18.2 percent, while income from investments decreased by 12.4 percent.
For individuals, average annual before-tax personal income was $29,346 in 2003/04, up from $26,311 in 2000/01. Average annual income for males increased by 10.8 percent to $36,755, while female average annual income rose by 12.4 percent to $22,347.
Over the last three years there has been considerable growth in the number of households with access to cellphones and home computers. The proportion of households with access to at least one cellphone increased from 59 percent in 2000/01 to 71 percent in 2003/04, while 62 percent of households had access to a home computer in 2003/04, compared with 47 percent in 2000/01.
Changes in average weekly household expenditure
Average weekly household expenditure was $888 in 2003/04, up 16.1 percent from $765 in 2000/01.
The following table shows changes in average weekly household expenditure between 2000/01 and 2003/04.
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| Expenditure group |
Average weekly household expenditure ($) |
Percentage change |
Cents ineach dollar of expenditure |
| 2000/01 |
2003/4 |
2000/1 |
2003/4 |
| Food |
126 R |
143 |
13.0 |
16 R |
16 |
| Housing |
182 R |
217 |
19.1 |
24 R |
24 |
| Household operations |
98 R |
112 |
14.6 |
13 R |
13 |
| Apparel |
25 R |
31 |
23.3 |
3 R |
3 |
| Transportation |
122 R |
142 |
16.4 |
16 R |
16 |
| Other goods |
68 R |
99 |
15.3 |
11 R |
11 |
| Other services |
127 R |
146 |
14.9 |
17 R |
16 |
| Total expenditure |
765 R |
888 |
16.1 |
100 R |
100 |
Note: All figures in this table are independently rounded.
Symbol:
R revised
All seven expenditure groups recorded an increase for 2003/04, compared with 2000/01.
Household income
Average annual before-tax income from regular and recurring sources for New Zealand households was $60,433 in 2003/04. This was an average weekly income of $1,159 per household, up 12.3 percent from $1,032 in 2000/01.
The largest source of household income is wages and salaries. Average annual household income from wages and salaries increased by 18.2 percent, from $35,740 in 2000/01, to $42,253 in 2003/04. Income from wages and salaries made up 70 percent of total household income in 2003/04, up from 66 percent in 2000/01.
| Household income source |
Average annual household income ($) |
Percentage change |
| 2000/1 |
2003/4 |
| Wages and salaries |
35,740 R |
42,253 |
18.2 |
| Self-employment |
5,238 R |
5,480 |
4.6 |
| Government benefits |
3,316 R |
3,374 |
1.7 |
| New Zealand Superannuation |
3,565 R |
3,809 |
6.8 |
| Private superannuation |
584 R |
581 |
-0.5 |
| Investments |
2,933 R |
2,570 |
-12.4 |
| Other sources |
2,430 R |
2,366 |
-2.6 |
| All sources |
53,806 R |
60,433 |
12.3 |
Symbol:
R revised
Average annual before-tax household income from investments decreased from $2,933 in 2000/01, to $2,570 in 2003/04 (down 12.4 percent). Income from investments made up 4 percent of total household income in 2003/04, down from 5 percent in 2000/01.
Personal income
For those aged 15 years and over, average annual before-tax income from regular and recurring sources was $29,346 in 2003/04. This was an average weekly income of $563. The average annual income for males was $36,755, and for females it was $22,347.
Female average annual before-tax income from wages and salaries increased from $12,144 in 2000/01, to $14,597 in 2003/04 (up 20.2 percent). Male wage and salary income increased from $23,160 in 2000/01, to $26,785 in 2003/04 (up 15.7 percent).
People aged 45 to 49 years had the highest average weekly personal income from all sources in 2003/04, at $850. This was a 26.6 percent increase, up from $671 in 2000/01. The 60 to 64-year age group recorded the largest increase in income, up from $406 in 2000/01 to $614 in 2003/04 (up 51.2 percent).
Changes in selected household amenities
Seventy-one percent of households had access to a cellphone in 2003/04, up from 59 percent in 2000/01.
Access to cellphones tends to increase as household income increases. In 2003/04, 89 percent of households in the top quintile of annual household income ($87,600 and over) had access to a cellphone, compared with 43 percent of households in the bottom quintile (income under $23,000). Each quintile contains 20 percent of households, ranked in order of their total annual before-tax regular and recurring household income.
In 2003/04, 62 percent of households reported owning or having access to a home computer, up from 47 percent in 2000/01.
A subscriber TV decoder was present in 37 percent of households, up from 31 percent in 2000/01. Thirty-six percent of households subscribed to subscriber TV, up from 30 percent in 2000/01.
Food group
Average weekly household expenditure on food rose by 13.0 percent, up from $126 per week in 2000/01, to $143 per week in 2003/04.
The increase in food group expenditure was mainly due to increases in expenditure on meals away from home, and ready-to-eat food. In 2003/04, expenditure on this subgroup averaged $37 per week, 26 percent of all food expenditure. Meals away from home, and ready-to-eat food remained the largest portion of food expenditure in 2003/04.
Household expenditure on meals away from home, and ready-to-eat food, tends to increase as annual before-tax household income increases. Households in the top decile spent an average of $92 per week on this subgroup. This compares with $13 per week for households in the bottom decile.
Each decile contains 10 percent of households, ranked in order of their total annual before-tax regular and recurring household income. In 2003/04, the top decile (decile 10) comprised those with annual household incomes of $120,000 or over, while those in the bottom decile (decile 1) received annual household incomes of less than $15,900.
Housing group
Housing remained the largest component of household spending, accounting for 24 cents in every dollar spent. Average weekly expenditure on housing was $217 in 2003/04, up 19.1 percent from $182 in 2000/01.
Households owning their own house with a mortgage, spent 16.7 percent more on mortgage payments in 2003/04 than in 2000/01. These households spent on average $247 per week on mortgage payments in 2003/04, compared with $212 per week in 2000/01. Mortgage payments include mortgage-interest payments, mortgage-principal repayments and interest on revolving credit mortgage/loans.
For households that rented, average weekly household expenditure on rent increased by 10 percent, to $185 in 2003/04. Rent payments accounted for 25 percent of the total average weekly expenditure of households who pay rent.
Household operation group
Average expenditure on household operations was $112 per week in 2003/04, up 14.6 percent from $98 per week in 2000/01.
The household operation group includes expenditure on furniture, domestic fuel and power, floor coverings, home appliances and household services such as telecommunications.
Households spent an average of $31 per week on household services, up 11.5 percent from 2000/01 to 2003/04. Household services made up 27 percent of total household operations expenditure, a slight decrease from 2000/01 (28 percent).
Households spent an average of $28 per week on domestic fuel and power in 2003/04, up 17.4 percent from 2000/01. Domestic fuel and power made up 25 percent of total household operations expenditure, and 3 percent of total household expenditure. These proportions are unchanged from 2000/01.
Apparel group
Apparel expenditure rose 23.3 percent, from $25 per week in 2000/01, to $31 per week in 2003/04. This expenditure group had the largest percentage increase of any major expenditure group. The percentage of households reporting expenditure on apparel has increased from 57.8 percent in 2000/01, to 62.9 percent in 2003/04.
Expenditure on women's clothing remained the largest portion of apparel group expenditure, at an average of $10 per week. The percentage of households reporting expenditure on women's clothing increased from 29.4 percent in 2000/01, to 31.7 percent in 2003/04.
Transportation group
Households spent an average of $142 per week on expenses related to transportation in 2003/04. This was a 16.4 percent increase on the $122 weekly average in 2000/01.
In 2003/04, the largest contribution to this group was vehicle ownership expenses, at $54 per week. Expenditure on fuel for road vehicles was the main component, with an average of $31, or 57 percent of the weekly vehicle ownership expenses
Other goods and services groups
The 2003/04 average weekly household expenditure for the 'other goods' group was $99, an increase of 15.3 percent from 2000/01.
Average weekly household expenditure on leisure and recreational goods increased from $12 in 2000/01 to $16 in 2003/04, up 39.2 percent. An increase in expenditure relating to DVD purchases, and cameras or camera attachments, contributed the most to this increase.
The main contributor to expenditure in the 'other goods' group was alcohol (at 21 percent of the group). Average weekly household expenditure on alcohol was $21 per week in 2003/04, up 15.5 percent from $18 per week in 2000/01. Household expenditure on alcohol captured in the Household Economic Survey is known to be less than that reported from other data sources. No adjustments are made to the data to compensate for any under-reporting.
As well as alcohol and leisure and recreational goods, the 'other goods' group includes items such as tobacco, personal goods, publications and computers.
New Zealand households spent an average of $146 per week on 'other services' in 2003/04, up 14.9 percent, from $127 in 2000/01. The 'other services' group was the second largest component of household spending (second to the housing group). Within the 'other services' group, financial, insurance and legal services was the subgroup with the largest expenditure. Average weekly expenditure on this subgroup was up by 20.5 percent, from $25 per week in 2000/01 to $30 per week in 2003/04.
The 'other services' group also includes expenditure on accommodation, health, leisure, educational and vocational services, and contributions to savings.
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Household composition
For 2003/04, 'one-family, couple with children only' households had the highest average weekly household expenditure, at $1,217. This is a 20.6 percent increase from 2000/01. Thirty-five percent of 'one-family, couple with children only' households had an annual before-tax household income of $87,600 and over. The average weekly household income for this household type was $1,603.
In contrast, 'one-family, one parent with children only' households, had an average weekly household expenditure of $591 for 2003/04, a 6.7 percent increase from 2000/01. Seventy percent of 'one-family, one parent with children only' households have an annual before-tax household income of $37,899 or under. The average weekly household income for this household type was $655.
'One-person' households had the lowest average weekly household expenditure, at $451 in 2003/04. This was an increase of 13.7 percent from 2000/01. The majority of 'one-person' households (57 percent) have an annual before-tax household income of under $23,000. The average age of people in 'one-person' households was 58 years.
Fifty-three percent of 'one-family, couple with children only' households live in dwellings which are owned with a mortgage. Fifty-three percent of 'one-family, one parent with children only' households live in rented dwellings, compared with 23 percent which are owned with mortgage, and 23 percent which are owned without a mortgage. Forty-two percent of 'one-person' households live in dwellings which are owned without a mortgage.
For technical information contact:
Caroline Brooking or Adele Dunleavy
Wellington 04 931 4600
Email: info@stats.govt.nz