Household income rises 4.5% in Q2 on higher wage, transfer income

South Korea's average household income increased by 4.5% in the second quarter of 2026 compared to the previous year, according to data released Thursday. The average monthly household income reached 5.29 million won ($3,810) during the April-June period, as reported by the Ministry of Data and Statistics. Separately, the finance ministry stated that inflation-adjusted household income rose by 1.5% in the same period.

The finance ministry's report highlighted that the average monthly wage income grew by 0.8% from a year earlier to 3.21 million won. However, this growth was constrained by a smaller number of wage earners and a slowdown in wage increases. On the other hand, average monthly business income increased by 3.8% to 977,000 won, driven by robust retail sales.

Transfer income, which includes government cash subsidies to households, saw a significant jump of 20.4% to 931,000 won. This surge in transfer income was primarily due to the government's efforts to mitigate the impact of high fuel prices on households. Property income also rose by 21.3% to an average of 67,000 won per month.

In terms of household spending, total expenditures grew by 3% to 3.99 million won per month. Within this spending, consumption spending, which encompasses household purchases of goods and services, increased by 3.4% to 2.9 million won.