Living Wage Series - Italy - August 2017 - In Euro, per Month

The Living Wage is based on the concept that work should provide an adequate income to cover the necessary living costs of a family. WageIndicator calculates Living Wage for around 50 countries based on prices collected within the WageIndicator Cost of Living Survey. The Living Wage calculated by WageIndicator is composed of seven parts: food, housing, transport, health, education, tax and other costs.

WageIndicator presents Living Wages for several household types and working hours to respond to different demands for living wage information: Typical family Living Wage is a baseline estimate that respects the country specific conditions. Family includes two adults and the number of children is given by country specific fertility rate (1.4 children per woman). One parent is working full-time and the working hours of second parent are approximated by national employment rate (51% in 2017). Standard family Living Wage is estimated for a family composed of two adults and two children. One parent is employed full-time and the second parent works 4 days a week it means family employment rate is 1.8. Single-adult Living Wage represents an acceptable standard of living for a single individual working full-time with no dependents.

Expenditure and Living Wage calculation (monthly rates in EUR)

  Typical family   Standard family   Single-adult  
  from to from to from to
Food 360 510 420 600 105 150
Housing 345 400 345 400 260 350
Transport 64 70 64 70 32 35
Health 50 100 50 100 13 25
Education 83 100 83 100 0 0
Other costs 45 59 48 64 20 28
Total Expenditure 947 1239 1010 1334 430 588
Net Living Wage 631 826 561 741 430 588
Gross Living Wage 821 1074 729 963 558 764

Note: For more details see Living Wage FAQ.

Family Living Wages (monthly rates in EUR)

There is not a single answer to what is the adequate cost of living. The result is complex, as the cost of living varies by household composition, location, and employment pattern. The following table presents the Living Wage estimates for a set of common household compositions and under different assumptions about working hours.

  from to
Typical family (two parents + 1.4 children, 1.5 working) 820 1080
Standard family (two parents + 2 children, 1.8 working) 730 965
Two parents and two children, 2 working 655 865
Two parents and two children, 1.5 working 875 1160
Two parents and two children, 1 working 1320 1740
Two parents and three children, 1.5 working 970 1290
Two parents and four children, 1.5 working 1070 1430
Single-adult without children, 1 working 560 765

Note: Results in the table are rounded.

Living Wages in Context (monthly rates in EUR)

Living Wages are presented in context with other wage indicators including minimum wage, poverty line, and various prevailing wages of workers. Table shows the development of income levels over two years.

7-12/20151-6/20167-12/20161-6/2017
  from to from to from to from to
Minimum wage . . . . . . . .
Living Wage - Typical Family 1030 1460 910 1250 885 1160 820 1080
Living Wage - Single Adult 665 840 635 810 615 770 560 765
Real wage of low-skilled worker 920 1220 960 1280 935 1250 855 1120
Real wage of medium-skilled worker 1300 1660 1400 1790 1360 1740 1250 1590
Real wage of high-skilled worker 1900 2490 1920 2500 1880 2450 1830 2360

Note: Reported monthly earnings of workers in low-, medium-, and high-skilled occupations are obtained from the voluntary WageIndicator web surveys on work and wages over the last 36 months. Results in the table are rounded.

Living Wage model diet and food prices in EUR

The food expenditure is the main component of Living Wage and it is determined by the price of food basket. The food prices are taken from WageIndicator Cost of Living Survey which collects the actual prices of all items necessary to calculate the Living Wage. The composition of the food basket is taken from the national food balance sheets published by the UN Food and Agriculture Organization (FAO). The food basket is scaled to 2,100 calories per person per day that is the nutritional requirement for good health proposed by World Bank (Handbook on poverty and inequality, 2009).

Food itemGrams per dayEnergy (kcal)Price per kilo fromto
Wheat, barley and cereals 246 640 2 3
Rice 10 36 1.2 1.9
Meat (beef, pork, poultry) 144 227 6 9
Oils (soyabean, olive, palm) 38 334 2 4
Sugar (Raw Equivalent) 51 181 .7 1
Maize and products 7 20 1.5 3.5
Milk - Excluding Butter 410 165 1 1.1
Vegetables, Other 160 40 1.4 2
Potatoes and products 63 40 .7 1
Butter, Ghee 14 85 5 5.5
Groundnuts (Shelled Eq) 13 30 . .
Pulses, Other and products 4 13 . .
Egg (price per 10 eggs) 22 32 33.3 2
Sunflowerseed Oil 8 65 1.2 1.3
Fish products 42 29 12 15.5
Beer 46 22 2.7 4.8
Sweeteners, Other 2 5 .8 1.1
Beans 3 11 1.9 3
Sweet potatoes 0 1 2 2
Bananas 16 10 1.4 2
Soyabeans 0 0 1.3 2.3
Yams 0 0 2.3 2.3
Apples and products 28 13 1 1.5
Tomatoes and products 44 8 1.5 2
Onions 10 4 1 1
Oranges, Mandarines 64 22 1.2 2
Plantains 0 0 1.2 1.9
Peas 2 8 2 2.2
Roots, Other 0 0 1 2
Seeds and kernels 0 1 5 5.4
Wine 51 35 4 6.5
Pineapples and products 5 2 . .
Cream 5 10 3.2 8
Olives (including preserved) 6 6 5 8
Honey 0 1 4 7.5
Citrus, Other 0 0 1 1
Lemons, Limes and products 9 2 1 1.5
Tea (including mate) 0 0 4 6.4
Grapefruit and products 1 1 1 1.3
Coffee and products 9 4 5 6.5

Data sources:

Living Wage FAQ.

WageIndicator Cost of Living Survey

World Bank Databank, Fertility rate – average births per woman in years 2010-2014

ILO, Estimated participation rate in 2017

FAO, Food balance sheet in 2013 

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