Statistical Report on Ultra-Orthodox Society in Israel


Standard of Living

Chap. 3

| Written By:

The prevalence of poverty among Israel's ultra-Orthodox population and its impact on the standard of living, is much greater than in the rest of the Israeli population. While there has been a sizable decline in the poverty rate among the ultra-Orthodox since 2015, it remains very high, standing at 44% in 2019—double than among the general population (22%).

Poverty rate among families, by population group (%)

Standard of living is closely linked to household income and expenditures. In 2019, the average gross monthly income for Haredi households was NIS 14,121— far lower than the average for other Jewish households in Israel (NIS 21,843). The factors behind this low level of income include the fact that many households rely on the earnings of a single breadwinner (often the woman), working relatively few weekly hours in a low-paying job, and with fewer funds in investments or in pension plans.

An assessment of monthly household expenditure reveals that ultra-Orthodox households spent an average of NIS 13,824 in 2019, 21% less than other Jewish households, despite the fact that the average number of persons in ultra- Orthodox households is almost double that of other Jewish households. To some extent, these differences can be explained by the ultra-Orthodox consumer culture, which puts a high premium on thriftiness, as well as by consumer outlets for the ultra-Orthodox population, at which shoppers can buy products more cheaply, and even receive them for free on occasion.

Monthly income and expenditure per capita (NIS)

Analysis of data on the standard of living in the ultra-Orthodox public, reveals that the differences-as compared to the rest of the Jewish public in Israel- remain large, but have become somewhat smaller in recent years. This is true of income, poverty rates, consumption, and access to motor vehicles. The only area in which findings for the two populations are almost the same is home ownership.