The Ministry of Health, Labor and Welfare said in a report that 61.5 percent of households indicated they were struggling to earn a living, a record high, Kyodo News reported Friday.
The report said that the average income in Japan dropped sharply from 2009 to 2010.
Average household incomes fell by $1,658 from year to year to $67,613. That was a steep decline from the peak income year of 1994, when the average household income was at $83,473.
Data from the Ministry of Health, Labor and Welfare show that the average household income for 2010 matched the average income level for 1988.
For those over 65 years old, the average household income fell from $38,851 to $38,600.
Households with children also saw incomes fall. The average income of households with one or more children dropped by $4,838 to $82,70, the report said.