One in eleven Berliners is rich, but one in eight is also poor

By Hildburg Bruns and Sara Orlos Fernandes

Surprise in the new Senate report on the social situation of the Berlin population: 9.2 percent are considered rich – 11.6 percent poor.

The gap between rich and poor in Berlin is growing: Rich residents of the capital earn five times more than the poor! The gap between the income ends in Berlin is widening.

The richest Berliners have an income five times higher than the poorest residents of the capital. For comparison: in 2019, super incomes were only 4.5 times higher. A clear indication of increased inequality.

But what does “rich” mean in this statistic? Specifically, more than 3802 euros net per capita per month. This sum corresponds to twice the so-called median equivalised income.

And what is “poor”? Less than 950 euros per month per capita, i.e. less than half of the so-called equivalised income (around 1900 euros). In the population, the so-called risk of poverty has been increasing again since 2018, most recently at 19.3 percent. This means people who have less than 60 percent of the equivalised income, i.e. less than 1045 euros.

The under-18s are particularly affected (23 percent) – but it has risen the most among those over 65 to 17 percent. Who is also at high risk of poverty? Migrants (30 percent), Berliners with a part-time job (20.9 percent), households without an employed person (37.7 percent) and 70 percent of the long-term unemployed.

This is how Berliners assess their social situation

Architect Maria G. (37) from Moabit: “I earn around 3000 euros net and see myself in the middle class.  I think from a net salary of 4000 euros you can call yourself rich.  I'm lying underneath.  I estimated 40 percent of Berliners are over it and I'm surprised that it's only nine percent.

Architect Maria G. (37) from Moabit: “I earn around 3000 euros net and see myself in the middle class. I think from a net salary of 4000 euros you can call yourself rich. I lie underneath. I estimate 40 percent of Berliners are above that and I’m surprised it’s only nine percent.” Photo: Christian Lohse

Johnny M. (47), salesman from Charlottenburg: “I see myself as poor because I don't earn much.  I am divorced, have two children and after alimony and deductions I get what a Hartz IV recipient gets.  I assumed that 30 percent of Berliners are poor and that if you earn less than 1600 you are considered poor.  I'm surprised that there are so few.

Johnny M. (47), salesman from Charlottenburg: “I see myself as poor because I don’t earn much. I am divorced, have two children and after alimony and deductions I get what a Hartz IV recipient gets. I assumed that 30 percent of Berliners are poor and that if you earn less than 1600 you are considered poor. I’m surprised that there are so few.” Photo: Christian Lohse

Krisztina L. (39) from Lichtenberg: “I'm definitely not rich.  For me, someone who earns more than 10,000 euros net is rich.  According to the new numbers, my husband is rich.  I would feel a little richer if we could find an apartment where we have enough space.  We are currently looking.  I estimated 30 percent of Berliners would be rich.  The number of poor people does not surprise me.  Poverty is more and more visible here”

Krisztina L. (39) from Lichtenberg: “I’m definitely not rich. For me, someone who earns more than 10,000 euros net is rich. According to the new numbers, my husband is rich. I would feel a little richer if we could find an apartment where we have enough space. We are currently looking. I estimated 30 percent of Berliners would be rich. The number of poor people does not surprise me. Poverty is more and more visible here” Photo: Christian Lohse

More numbers from the study:

▶︎ 1375 euros/net median income

▶︎ 1450 euros/net German average income, 1075 euros/net foreigners

▶︎ 2400 euros/net German household average income, foreign 2125 euros/net

▶︎ 3625 euros/net median family income with children under the age of 18 – 2250 euros/net single parents

︎ 16.3 percent receive minimum security, e.g. basic security for pensioners, funds for asylum seekers

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