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Income inequality is often characterized by the sharp contrast between ostentatious-budget by the affluent and peasantry
budget by the poor. These budgetary differentials are much more complex given the socio-economic of households and these
have strong significant economic and environmental implications. This paper examined the pattern of income distribution on
monthly budgetary allocation of households under certain socio-economic characteristics. The study area was stratified into
cells based on characteristics usually associated with low, medium and high-density settlements. A total of 60 respondents
were selected each from high, medium and low-income earners areas of Uyo metropolis. However, 179 respondents were
sampled and used in the analysis. Descriptive statistics such as mean and percentages were used for the analysis. Household’s
budget was assessed based on occupation, household size, educational and income status and the commonest budgeted items
were: food, accommodation, transport, clothing, school fees and other household items such as; electricity and water bills.
Household income distribution pattern showed that 68% of the households in the study were found to be low income
households. Gini coefficient of 0.3785 was obtained which implies that there is skewed income distribution in the study area.
Household budgeted expenditure as assessed by different socio-economic characteristics revealed that except for the highincome
earners, all other groups spent more than half their income on food. The paper recommended among others that:
qualitative education, employment for the unemployed and tax regimes for the affluent be pursued to check the income
disparity.
Key words: budget, distribution, expenditure, household, income inequality