Taiwan Today

The gap between Taiwan’s rich and poor is at its widest since the government began keeping records, research from the Cabinet-level Directorate-General of Budget, Accounting and Statistics has revealed. In 2008, the island’s richest households earned an average of NT$1.90 million (US$57,380) per year after tax—7.73 times of the poorest at NT$245,000. This figure, which does not take social benefits payments into account, stands at the highest level on record. According to the DGBAS, the gap between rich and poor was 7.41 in 2004 and has been growing for years. The agency said that if social benefits payments are taken into account, the dispensable income of Taiwan’s wealthiest families averaged NT$1.83 million—6.05 times more than the poorest at NT$303,000. A person familiar with the situation said this statistic reflects the importance of government welfare spending in keeping a lid on the poverty gap. Payments to low-income households, middle-to-low-income senior citizens, senior farmers, the disabled and disaster victims are defined by the DGBAS as social benefits payments. Government employee, health, labor and farmer insurance programs are also included in this category. (TYH-JSM)