TAIPEI (Taiwan News) — Nearly 50% of elderly households in Taiwan fall into the lowest income group, CNA reported Saturday.
There are 2.37 million households where individuals aged 65 or older serve as the head of the household for an average of 1.92 people. Their annual disposable income is NT$724,000 (US$21,992), significantly lower than the national average of NT$1,137,000.
The household head is the person who earns the most and is primarily responsible for supporting the family. In dual-income households, the eldest member is considered the household head if their economic contribution is similar to the other members.
In households where no one is employed or has income, the household head is determined by the household registration. While households with elderly heads do not always match the category of “households where all members are 65 or older” — as they may still have younger members — the model offers a helpful overview of elderly households in Taiwan.
These households spend an average of NT$622,000 annually. Much of their income comes from government subsidies, interest, and savings due to reduced salary income after retirement, the Directorate General of Budget, Accounting and Statistics explained.
Under the dual pressures of low birth rates and an aging population, Taiwan officially became a super-aged society in 2025. This means that one in every five people is 65 or older.
Wu Ta-jen (吳大任), a professor at the National Central University Department of Economics, explained that as Taiwan enters a super-aged society and the era of low inflation ends, a 2% inflation rate could become the new normal. Taiwan's average inflation over the last 10 years was 1.2%, per UDN Money.
Despite Taiwan's overall prosperity, Wu highlighted concerns over the widening wealth gap, an inadequate social welfare system compared to Western countries, and the challenges posed by the aging population. He urged the government to focus on addressing basic needs, such as providing social housing and subsidies for low-income elderly households, ensuring their stability and peace of mind.
For younger generations, Wu stressed the importance of early financial planning to avoid facing difficulties in later years.