Instituto Nacional de Estadística.

Economically Active Population Survey. Approximate calculation of average wages

Calculation of the average gross monthly wages from the tables on the distributions of the wage deciles of the main job in the different groups or subgroups

The 'wage decile of the main job' variable, introduced in the Economically Active Population Survey (EAPS), pursuant to Regulation (EC) no. 1372/2007, of the European Parliament and Council, forms part of the annual variables of the EAPS. For each year, tables are supplied with the distribution of the wage deciles, crossed with demographic and labour characteristics. It likewise offers microdata files.

In addition, for each year, a table is provided with the average gross monthly wages in each decile in order to be able to establish, for each subgroup, approximately, its average gross monthly wages. Said average is obtained using the sum of the products of the relative frequency of each decile, within the specific group, times the global average wages of the decile in the corresponding year.

For example, if the relative frequency of a group for a given year, and the global average gross monthly wages for the deciles from that year, are the following:

Decile Relative
Frequency
Average gross
monthly wages
1 11.0% 365.00 €
2 10.6% 850.00 €
3 10.8% 1,100.00 €
4 7,9% 1,275.00 €
5 8.2% 1,435.00 €
6 8.8% 1,630.00 €
7 10.6% 1,895.00 €
8 9.2% 2,290.00 €
9 12.4% 2,915,00 €
10 10.5% 6,640.00 €
Total 100.0%  

We would proceed to carry out the mentioned product of the relative frequency times the average wages, for each decile, and the sum would be the average gross monthly wages of the subgroup, or 2,081.10 euros, in this case.

In the case of calculating the global average of all of the subgroups, it would be necessary to establish a frequency of 10% for each one of the deciles, and perform the calculation as in the previous case. The example considered would yield a result of global gross monthly wages totalling 2,039.50 euros.

1This method offers quite adjusted estimates, except in the case of an appreciable percentage of higher income in the category analysed

Decile limits and averages