Brazilians’ income lowest since 2012
In 2021, two years into the pandemic, Brazilians’ average income sank to its lowest since 2012. According to Brazil’s official statistics agency IBGE, the real monthly household income per capita in 2021 averaged BRL 1,353. Back in 2012—the first year of the time series surveyed—the amount had stood at BRL 1,417.
The figures were released today (Jun 10) and refer to how much each Brazilian makes each month. The values from previous years corrected for inflation so they can be compared.
The survey shows that the average Brazilian is earning less and also that fewer Brazilians have any income. The percentage of those with income in the country’s population dropped from 61 percent in 2020 to 59.8 percent in 2021—the same as in 2012, also the lowest in the time series.
The survey takes into account income from employment; retirement and pensions; rent and leases; alimony, donations, and allowances from non-residents; in addition to other sources of income.
Considering Brazilians with an income alone, the monthly average recorded in 2021 was reported at BRL 2,265—the lowest in the time series. The lowest averages since 2012 among people with an income were also seen in retirement and pension, with an average of BRL 1,959 and in other income (BRL 512).
Income from employment
Between 2020 and 2021, the proportion of labor in the average income increased from 72.8 to 75.3 percent. Despite the increase in the employed population, the mass of real monthly income from all jobs was down 3.1 percent, going from BRL 223.6 billion to BRL 216.7 billion in the period.
“The pandemic affected the labor market significantly in 2020 because of the social isolation required to curb the pandemic, so the labor market lost a great deal of occupation. The labor market is picking up, but the pace is still slower than 2019,” survey analyst Alessandra Scalioni Brito pointed out.
Brito also mentioned inflation as one of the factors that impacted the income of Brazilians, from both work and other sources, like pensions and alimony. In 2021, the country’s National Broad Consumer Price Index (IPCA), which gauges Brazil’s inflation, stood at 10.06 percent—the highest year-to-date rate since 2015.
