Australian Bureau of Statistics

Rate the ABS website
ABS Home > Statistics > By Catalogue Number
ABS @ Facebook ABS @ Twitter ABS RSS ABS Email notification service
1380.0.55.008 - Perspectives on Regional Australia: Business Owners in Regions, 2011  
Latest ISSUE Released at 11:30 AM (CANBERRA TIME) 20/08/2013  First Issue
   Page tools: Print Print Page Print all pages in this productPrint All RSS Feed RSS Bookmark and Share Search this Product

INCOME FROM UNINCORPORATED BUSINESSES


Although 15% of income earners in Australia earned some income from an unincorporated business in 2009-10, this source of income only made up 6% of total income earned from all sources. Income from all sources excludes income received from government pensions and allowances throughout this article (see explanatory notes for more information).

In 2009-2010, people earned over $37 billion from unincorporated businesses, compared to the $588 billion of income earned from all sources (see table below). The contribution of unincorporated business income to total income varied little in the states and territories, ranging from 7% in New South Wales, South Australia, Western Australia and Tasmania, to 4% in the Australian Capital Territory.

When comparing the capital cities to the rest of the states or territories, there was no consistent pattern. Unincorporated business income contributed most to total income in the rest of South Australia, where it represented 9% of total income earned. However, in New South Wales, Tasmania and the Northern Territory, income from unincorporated businesses made a greater contribution to total income in the capital cities. In South Australia, Queensland and Western Australia, the contribution of unincorporated business income was larger in the rest of the states.

On average, people earned less from unincorporated businesses than from other sources of income. In 2009-10, the average (mean) income of business owners was $20,023, compared to the average income earned from all sources, of $48,530. This is not surprising, as it is likely that many of the business owners included in this analysis carried out their business as a second job or a source of supplementary income. Of the states and territories, the Australian Capital Territory had the highest average unincorporated business income, of $25,297.

Although, as has been shown, greater capital cities tended to have lower proportions of business owners, average incomes from unincorporated businesses were higher in capital cities than in the rest of the states and Northern Territory. This regional pattern was also reflected in average income from all sources. Of the capital cities, Greater Perth had the highest average unincorporated business income ($27,790) and Greater Sydney had the highest average income from all sources ($55,010).



TOTAL INCOME AND AVERAGE INCOME BY REGION(a)- 2009-2010

Region
Total income from unincorporated businesses
Total income from all sources
Total income from unincorporated businesses as proportion of total income from all sources(b)
Average income from unincorporated businesses(c)
Average income from all
sources(c)
$ million
$ million
%
$
$

New South Wales
12 568
193 496
7
21 025
50 328
Greater Sydney
9 081
137 354
7
26 533
55 010
Rest of NSW
3 451
55 304
6
13 595
41 537
Victoria
8 747
143 507
6
19 309
47 623
Greater Melbourne
6 972
114 270
6
23 146
50 413
Rest of Vic.
1 750
28 740
6
11 670
38 995
Queensland
6 395
111 593
6
16 806
45 844
Greater Brisbane
3 223
57 567
6
21 675
48 895
Rest of Qld.
3 166
53 836
6
13 684
42 981
South Australia
2 921
39 394
7
20 042
44 312
Greater Adelaide
2 210
31 762
7
23 130
46 041
Rest of SA
702
7 564
9
14 029
38 213
Western Australia
5 050
69 547
7
24 757
53 397
Greater Perth
4 001
55 960
7
27 790
54 728
Rest of WA
1 003
13 012
8
17 245
48 234
Tasmania
747
11 192
7
16 860
41 542
Greater Hobart
360
5 265
7
21 237
44 358
Rest of Tas.
386
5 881
7
14 209
39 216
Northern Territory
261
5 604
5
20 294
51 366
Greater Darwin
197
3 672
5
23 278
53 747
Rest of NT
32
1 245
3
12 602
47 153
Australian Capital Territory
548
13 137
4
25 297
58 034
Australia(d)
37 257
588 141
6
20 023
48 530

(a) Greater Capital City Statistical Areas are defined in the Australian Statistical Geography Standard (ASGS): Volume 1 - Main Structure and Greater Capital City Statistical Areas, 2011.
(b) Percentages calculated on total figures not rounded figures.
(c) Average income refers to the mean.
(d) Australia includes Other Territories.
Source: ABS, Estimates of Personal Income for Small Areas, 2009-2010.

The average incomes earned from unincorporated businesses varied greatly among SA4s in 2009-10. The ten SA4s with the highest average incomes from unincorporated businesses were all located in greater capital cities, with Perth - Inner (WA) the highest at $56,363, followed by Sydney - North Sydney and Hornsby (NSW) at $51,373. Outside of the capital cities, the region with the highest average income from unincorporated businesses was Newcastle and Lake Macquarie (NSW), with $24,090.

The ten SA4s with the lowest average incomes from unincorporated businesses in 2009-10 were all rural in nature. Two of these were located in New South Wales, four in Victoria and four in Queensland, including Darling Downs - Maranoa (Qld) which recorded the lowest average income from unincorporated businesses, of $2,675.

These results are likely to reflect various influences on average income. For example, there may be more business owners in some regions who carry out their business as a second job. It may also reflect the work that business owners tend to undertake in those regions. For example, income from businesses in the agriculture, forestry and fishing industry may have been low in some regions in 2009-10, due to weather conditions or economic factors, such as global commodity prices and the value of the Australian dollar. For more information about agricultural production, see Value of Agricultural Commodities Produced, Australia, 2009-10 (cat. no. 7503.0).


HIGHEST AND LOWEST AVERAGE INCOME FROM UNINCORPORATED BUSINESSES BY SA4(a)(b) - 2009-2010

Top 10 SA4s
Average income
($)

Perth - Inner (WA)
56 363
Sydney - North Sydney and Hornsby (NSW)
51 373
Sydney - Eastern Suburbs (NSW)
45 342
Melbourne - Inner East (Vic.)
39 787
Brisbane Inner City (Qld.)
39 006
Brisbane - West (Qld.)
33 755
Adelaide - Central and Hills (SA)
32 299
Melbourne - Inner South (Vic.)
31 725
Melbourne - Inner (Vic.)
31 445
Sydney - Inner West (NSW)
30 133

Bottom 10 SA4s

Darling Downs - Maranoa (Qld.)
2 675
Shepparton (Vic.)
6 602
New England and North West (NSW)
7 617
Fitzroy (Qld.)
8 036
Queensland - Outback (Qld.)
9 100
Hume (Vic.)
9 486
North West (Vic.)
10 097
Wide Bay (Qld.)
10 403
Murray (NSW)
10 476
Latrobe - Gippsland (Vic.)
10 719

(a) Average income refers to the mean.
(b) Statistical Areas level 4 are defined in the Australian Statistical Geography Standard (ASGS): Volume 1 - Main Structure and Greater Capital City Statistical Areas, 2011. See explanatory notes for more information.
Source: ABS, Estimates of Personal Income for Small Areas, 2009-2010.


The contribution of income from unincorporated businesses to total income from all sources in SA4s varied from 2% in Darling Downs - Maranoa (Qld.) and Northern Territory - Outback, to 11% in Western Australia - Wheat Belt. Income from unincorporated businesses also made a large contribution to total income in Perth - Inner (WA), Barossa - Yorke - Mid North (SA), Adelaide - Central and Hills (SA) and South Australia - South East (SA) (10%). In most SA4s (63%), income from unincorporated businesses contributed between 5% and 8% to total income from all sources.

Bookmark and Share. Opens in a new window

Commonwealth of Australia 2014

Unless otherwise noted, content on this website is licensed under a Creative Commons Attribution 2.5 Australia Licence together with any terms, conditions and exclusions as set out in the website Copyright notice. For permission to do anything beyond the scope of this licence and copyright terms contact us.