Israel Average Salaries & Expenditures

 
Contents
Average Employment Income   Average Salary per Job   Average Salary per Sector   Total Personal Average Income   Consumption Expenditure
Workforce Composition   Vacation Time   Exchange Rates   Cost of Living   References
 

Average Employment Income

:
annual, per worker, incl. dependent & self employment
   Disposable (1)  Gross (2)   
2004
19,177
68,160
  
24,275
86,280
  
constant 2005 US$ at PPP
current new shekels
(1)    Based on gross employment average income and non-consumption expenditure per worker.
(2)    Based on salary & business average income per capita and proportion of earners to household size.
Source: Israel Household Expenditure Survey and Income Survey, Statistical Abstract of Israel [11], 2004 (3.3 persons and 1.2 earner per household).
 

Average Salary in Israel - Sector Comparison.

Sector  Net Monthly Income  constant 2005 US$ (1) Notes                                                                               Gross Monthly Average Income (2) Compulsory Deductions (3) Weekly Hours (4)
 
Gas-Electricity-Water average income PPP $ 3,054 $ 2,475 Employees, 2005. 16,775 new shekels 34% 40.3
Financial average income PPP $ 2,628 $ 2,130 Employees, 2005. 13,609 new shekels 30% 37.7
Transport-Communication average income PPP $ 1,864 $ 1,511 Employees, 2005. 8,663 new shekels 22% 39.8
Real Estate average income PPP $ 1,607 $ 1,302 Employees, 2005. 7,282 new shekels 20% 38.0
All Sectors average income PPP $ 1,593 $ 1,291 Employees, 2005. 7,219 new shekels 20% 36.5
Construction average income PPP $ 1,389 $ 1,126 Employees, 2005. 5,996 new shekels 16% 41.1
Education average income PPP $ 1,347 $ 1,092 Employees, 2005. 5,745 new shekels 15% 25.6
Hotels-Restaurants average income PPP $ 923 $ 748 Employees, 2005. 3,522 new shekels 5% 35.9
 
  (1) The net average income in "constant 2005 US$" is computed using the Interbank nominal exchange rate [a] and the U.S. inflation rate [d]. The net average income in "constant 2005 US$" at PPP is computed using the IMF PPP exchange rate [d] and the U.S. inflation rate [d]. The latter reflects the purchasing power in the United States in 2005.
  (2) The gross monthly average income is based on data supplied by the Israel Central Bureau of Statistics to the International Labour Organization [9]. The average income includes the salaries and wages of paid employees. The income includes payments subject to income tax and includes workers from the Judea, Samaria and Gaza areas. Employees include both men and women unless otherwise noted.
  (3) The ratio between the deductions and the gross income is provided by an Israel income tax calculator [t] and include social security and income tax. The deductions are for a single-earner Israeli resident with a non-working wife and without child (total of 3.25 allowance points). The deductions on the average wage are confirmed through the difference between the gross and net household income in Israel (20.2% of the gross income, 2004) [11].
  (4) The weekly hours are based on data supplied by the Israel Bureau of Statistics to the International Labour Organization [9]. The hours by sector correspond to the hours actually worked.
 
 

Personal Average Income

:
annual, per capita, incl. non-monetary income
   Disposable (1)  Gross (1)  Salary   Business   Property   Transfer (2)    
2004
9,160
32,556
  
11,479
40,800
  
7,656
27,211
  
1,168
4,153
  
 
2,380
8,458
  
constant 2005 US$ at PPP
current new shekels
(1)    Excl. non-monetary income.
(2)    Incl. pensions, social insurance, allowances, social assistance (public and private).
Source: Israel Household Expenditure Survey and Income Survey, Statistical Abstract of Israel [11], 2004 (3.3 persons per household).
 

Consumption Expenditure

:
annual, per capita, incl. non-monetary expenditure
   Total   Health   Housing (1)  Food   Apparel   Education   Transport (2)    
2004
10,683
37,968
  
530
1,884
  
3,866
13,740
  
1,741
6,189
  
412
1,464
  
 
2,178
7,740
  
constant 2005 US$ at PPP
current new shekels
(1)    Incl. actual rentals, dwelling and household maintenance, furniture and household equipment.
(2)    Incl. communication.
Source: Israel Household Expenditure Survey and Income Survey, Statistical Abstract of Israel [11], 2004 (3.3 persons per household).
 

Workforce Composition

:
percentage of total workforce
   Primary (1)  Manufacturing   Education   Financial   Paid Employees   Unemployed  
2005 2.0     12.6   3.3   88.0   9.9  
%
(1)    Agriculture, hunting, forestry, fishing, mining, and quarrying.
Source: International Labour Organization [9].
 

Workforce Size

 :  
2.5 million (2005).
Source:   International Labour Organization [9].
 

Population

 :  
6.35 million (2006).
Source:   CIA World Factbook [b].
 

Vacation Time

 :  
14 days per year (legally required minimum) [e].
 

Inflation

 :  
137.6 (2001), 145.4 (2002), 146.4 (2003), 145.9 (2004), 148.0 (2005);
Source:   IMF inflation rates [d], Index: 1995=100.
 

PPP Exchange Rate

 :  
3.714 (2001), 3.835 (2002), 3.743 (2003), 3.660 (2004), 3.625 (2005);
Source:   IMF PPP exchange rates [d], Israel new shekels per U.S. dollar.
 

Nominal Exchange Rate

 :  
4.202 (2001), 4.729 (2002), 4.535 (2003), 4.469 (2004), 4.473 (2005);
Source:   Interbank nominal exchange rates [a], Israel new shekels per U.S. dollar.
 

Cost of Living

 :  
0.884 (2001), 0.811 (2002), 0.825 (2003), 0.819 (2004), 0.810 (2005);
Source:   Interbank nominal exchange rates [a] and IMF PPP exchange rates [d], US=1.000.
 

 

References
 
[9]   International Labour Organization. Compilation of average salary income worldwide. Classified by country, by employment category, and by gender.
[11]   Israel Central Bureau of Statistics.
[a]   Interbank nominal exchange rate, Oanda.com; historical currency converter for over 164 currencies and 3 metals.
[d]   World Economic Outlook Database, September 2006, International Monetary Fund.
[e]   Vacation - Wikipedia, from Wikipedia, the free encyclopedia.
[t]   Israel income tax calculator, from the Israel Ministry of Finance.
 
Other links:
Social Security in Israel, Social Security Programs Throughout the World, 2004-2005, compiled by the U.S. Social Security Administration.
Israel Economy Overview, CIA World Factbook.
Israel: Selected Internet Resources, U.S. Library of Congress.
Statistical Abstract of Israel, 1998-2005.
Statistical Abstract of Israel, 2006.