# Income in India

Income in India discusses the financial state in India. With rising economic growth India's income is also rising rapidly. As an overview, India's per capita net national income or NNI was around ₹1,69,496 in 2022-23. The per-capita income is a crude indicator of the prosperity of a country. In contrast, the gross national income at constant prices stood at over 128 trillion rupees. According to a 2021 report by the Pew Research Center, India has roughly 1.2 billion lower-income individuals, 66 million middle-income individuals, 16 million upper-middle-income individuals, and barely 2 million in the high-income group. According to The Economist, 78 million of India's population are considered middle class as of 2017, if defined using the cutoff of those making more than $10 per day, a standard used by India's National Council of Applied Economic Research. According to the World Bank, 93% of India's population lived on less than $10 per day, and 99% lived on less than $20 per day in 2021.

## Financial year data

GDP per capita, GNI per capita and NNI per capita of India :
| Year | At current prices (INR) | At current prices (INR) | At current prices (INR) | At 2011-12 prices (INR) | At 2011-12 prices (INR) | At 2011-12 prices (INR) |
| Year | GDP per capita | GNI per capita | NNI per capita | GDP per capita | GNI per capita | NNI per capita |
| 2023-24 | 211,725 | 208,633 | 184,205 | 124,600 | 122,766 | 106,744 |
| 2022-23 | 194,879 | 192,201 | 169,496 | 116,216 | 114,478 | 99,404 |
| 2021-22 | 172,422 | 170,392 | 150,906 | 109,762 | 108,345 | 94,054 |
| 2020-21 | 146,301 | 144,334 | 127,065 | 100,981 | 99,578 | 86,054 |
| 2019-20 | 149,701 | 148,261 | 132,115 | 108,247 | 107,191 | 94,270 |
| 2018-19 | 142,328 | 140,804 | 125,883 | 105,526 | 104,377 | 92,241 |
| 2017-18 | 130,061 | 128,655 | 115,224 | 100,035 | 98,925 | 87,586 |
| 2016-17 | 118,489 | 116,070 | 103,870 | 94,752 | 93,639 | 83,003 |
| 2015-16 | 107,342 | 106,096 | 94,797 | 88,617 | 87,565 | 77,659 |
| 2014-15 | 98,405 | 97,241 | 86,647 | 83,091 | 82,107 | 72,805 |
| 2013-14 | 89,796 | 88,678 | 79,118 | 78,348 | 77,370 | 68,572 |
| 2012-13 | 80,519 | 79,573 | 70,983 | 74,600 | 73,722 | 65,538 |
| 2011-12 | 71,610 | 70,980 | 63,462 | 71,610 | 70,980 | 63,462 |

## Estimates

The International Labour Organization in its report India Employment Report 2024: Youth Employment, Education and Skills states that the average earning of regular salaried workers (₹19,010) was considerably higher than those of self-employed (₹11,973) and casual (₹8,267) workers in 2022.
Average monthly earnings in 2022 (rupees, nominal value) :
| Employment | Rural | Urban | Total |
| Self-employed | 10,201 | 17,991 | 11,973 |
| Regular salaried | 15,177 | 21,826 | 19,010 |
| Casual | 7,997 | 9,749 | 8,267 |
Number and share of employment (aged 15+) in 2022 :
| Employment | Number (million) | Share |
| Self-employed | 304.1 | 55.8% |
| Regular salaried | 118.1 | 21.5% |
| Casual | 122.2 | 22.7% |
India's nominal per capita income was US$1,670 per year in 2016, ranked 112th out of 164 countries by the World Bank, while its per capita income on purchasing power parity (PPP) basis was US$5,350, and ranked 106th. Other estimates for per capita gross national income and gross domestic product vary by source. For example, India's average GDP per capita on a PPP basis in 2009, according to The Economist, was US$5,138, with significant variation among its states and union territories. Goa had the highest per capita PPP GDP at US$14,903, while Bihar had the lowest with a per capita PPP GDP of US$682 as of 2015 In rupee terms, India's per capita income grew by 10.4% to reach ₹74,920 in 2013–14.
While India's per capita incomes were low, the average household size and consequent household incomes were higher. India had a total of 247 million households in 2011, with an average of about 4.9 people per household, according to Census of India.
Estimates for average household income and the size of India's middle-income households vary by source. Using the World Bank's definition of middle-income families to be those with per capita income between $10 and $50 per day, the National Council of Applied Economic Research of India completed a survey and concluded there were 153 million people who belonged to middle-income group in 2006. In contrast, Meyer and Birdsall and Tim Light used a different survey and estimated the Middle-Income population to be about 70 million in 2009–2010. These groups, as well as the World Bank, estimated in their 2011 reports that if India's economy continues to grow per projections, India's middle-income group would double by 2015 over 2010 levels, and grow by an additional 500 million people by 2025. This would make it with China, the world's largest middle-income market.
Compared to other countries, income inequality in India is relatively small as measured by Gini coefficient. India had a Gini coefficient of 32.5 in the year 1999- 2000; India's nominal Gini index rose to 36.8 in 2005, while real Gini after tax remained nearly flat at 32.6.
The states of India have significant disparities in their average income. Bihar was by far the poorest in India, and per capita income was low in its neighbouring states, along with Uttar Pradesh, Jharkhand, Jammu and Kashmir, Assam, Manipur, and Nagaland. The higher income regions include Goa, Delhi, Haryana, Sikkim, Telangana, Maharashtra, Tamil Nadu, Gujarat, Himachal Pradesh, Punjab, Uttarakhand, and Kerala.

## Rural-urban gap

As in other countries, residents of Indian cities have a higher per capita income and standard of living than rural residents. Towns and cities make up more than two-thirds of the Indian GDP, even though less than a third of the population lives in them.
The Economic Survey of India 2007 by OECD concluded that:
   "At the state level, economic performance is much better in states with a relatively liberal regulatory environment than in the relatively more restrictive states".
The analysis of this report suggests that the differences in economic performance across states are associated with the extent to which states have introduced market-oriented reforms. Thus, further reforms on these lines, complemented with measures to improve infrastructure, education and basic services, would increase the potential for growth outside of agriculture and thus boost better-paid employment, which is a key to sharing the fruits of growth and lowering poverty.

## Statistics

Percentage share in total national household disposable income by Class (2016)
Distribution of Annual Household Income in India (in pounds/annum)