Calculating quintiles, an example:

 
Incomes Step 1 Step 2 Step 4 Step 5 Average
           
12000 2000 2000      
6000 3000 3000 5000 7% 2500
4000 4000 4000      
15000 4000 4000 8000 12% 4000
8000 5000 5000      
4000 6000 6000 11000 16% 5500
2000 8000 8000      
9000 9000 9000 17000 25% 8500
5000 12000 12000      
3000 15000 15000 27000 40% 13500
           
  Step 3 68000   100%  
           
 
 
Steps
1                    Put the values in numerical order from lowest to highest.
2                    Divide the sorted values into fifths.  In the above example there are ten values, so there
are 2 values in each fifth. If there were 40 values, then there would be 8 numbers in each
fifth.
3                    Calculate the total value for all cases.  In the above example we would add up all the
incomes.
4                    Calculate the total amount in each quintile.  In the above example, add up all the
incomes in each quintile.
5                    Calculate the percentage of the total amount for each quintile.  In the above example,
calculate what percent of the total income is earned by each quintile.  The lowest quintile
would earn:
5000/68000 x 100%
 
When you have completed step 5, you have calculated the inequality in income.  If there was
perfect equality, each quintile would have 20% of the total income.
 
You can also calculate the ratio of the amount earned by the highest quintile to the amount
earned by the lowest quintile.  The higher this ratio, the greater the inequality.  Perfect equality
would give a ratio of 1 (the amount earned by each group would be the same).  In the above
example, the ratio would be:
27000 / 5000, or  5.4
 
You can also calculate the average income earned by each quintile.  For each quintile count the
total income, and divide by the number of cases in each quintile.  In the above example the
individuals in the poorest quintile earn an average of 2,500 while those in the highest quintile
earn an average of 13500.
 
 
1,400
       700
     4,500
       800
     3,750
     1,500
       700
     1,050
       325
       700
     1,550
       700
     1,600
       750
     2,000
       500
     1,250
     2,500
       750
     2,750
       750
       800
     2,750
       900
     4,500
       800
     1,300
       500
       550
     1,350
       950
       300
     1,050
       350
     1,450
       700
       450
     1,050
       450
     1,050
       800
     4,000
     1,050
       300
     3,250
       800
     1,050
        450
       800
     2,750