Income distribution had a slight improvement with greater weight of State aid

According to INDEC, the interannual distance between the per capita income of the 10% of the population with the greatest resources remained unchanged in 17 times in relation to the 10% of the population with the least resources. And 13 times, also unchanged, the median of the top 10% versus the bottom 10%.

For its part, there was a slight decrease in inequality in the distribution of income of the population per family member compared to a year ago, according to the Gini coefficient: decreased from 0.430 to 0.427. But this inequality is still greater than that recorded by the organization in the second quarter of 2025 and the same quarters of 2021 and 2023.

The INDEC explains that the Gini Coefficient varies between 0 (absolute equality) and the value 1 (absolute inequality, one person takes the total). A decrease in the Coefficient means an improvement and an increase means a deterioration.

The comparison must be made on an interannual basis because the income of families varies in the quarters of the year, for example due to the collection of the bonus in 2 semiannual installments or because the income of informal workers varies according to activities and for seasonal reasons.

These improvements – such as the decrease in indigence and poverty in one year – are largely explained by the increase in non-labor income (social aid from the State, fundamentally AUH, Food Card and 1000 Days Plan) in lower-income households that was financed, and in excess with “fiscal savings”, chainsaw through, due to the cut to the Provinces, the income of retirees and other sectors of the State such as universities.

The INDEC report highlights that of the total income (labor and non-labor) of families, The non-working population of the poorest 10% rose from 63.9% to 67.7% in one year. And from 51.3% to 59.3% for the second poorest 10%.

If compared to the fourth quarter of 2023, the “non-labor” income of the lowest-income segments rose from 60.7% to 67.7% in the first decile and from 48.6% to 59.3%. From the INDEC Report it is also clear that The employed population decreased, increasing the relative weight of the informally employed. The number of employees also decreased, while informality rose from 36.1% to 36.3% of the total, which marks an increase in job insecurity.

*While the average income of formal employees was $ 1.321.353that of the informal ones was $ 651.484 (half)”, states the report.

Among the employed population (salaried + self-employed) The average income of women was 29.6% lower than that of men. The average income of men was $1,229,690 and that of women was $866,129.

If salaried and independent workers are added, informality is greater and jumps to 43.1%. Projected to the entire country are some 8,500,000 employed people.