Australian household income is outpacing the cost of living over the longer term, with disposable incomes increasing 20% over the last 27 years, according to the latest AMP.NATSEM Income and Wealth Report.
Couples with children have seen their income grow by 37%, single parent incomes have grown 34% and working families 22%. The smallest increase was rental households who experienced only 11% growth. On average, households are $224 per week better off than in 1984.
The highest income households are spending around 30% on basic necessities and 45% on discretionary items, while the lowest income households devote 30% to discretionary items.
Overall households are spending a greater proportion of income on services such as private schooling, restaurant meals, childcare and tertiary education.
May 2012 full report here.