Thanks to Diane Leafe Christian who shared this with a group of us who were consulting with her about developing this community.
Independent-Income and Income-Sharing Economies
Most ecovillages and intentional communities use one of two economic systems:
independent-income and income-sharing. Some use a combination of both. The difference
between economic systems has a huge effect on how the community “feels,” its
interpersonal dynamics, and its values. Therefore one of the first tasks of a forming
community is to decide which one they’ll use. People who want an independent-income
community often don’t want to live in an income-sharing community and vice-versa.
Independent-Income Communities. Community members earn, spend, save, and invest
their money as they wish; the community has no say in their finances.
Examples include Crystal Waters, Australia; Munksoegaard, Denmark; Sieben Linden
and Lebensgarten, Germany; Huehuecoyotl, Mexico; Yarrow Ecovillage, Canada; and
EcoVillage at Ithaca, Los Angeles Eco-Village, and Earthaven Ecovillage, US.
Most independent-income communities require a joining fee or membership fee, or
some kind of site lease fee. (In some independent-income communities, such as cohousing
communities, incoming members buy their own lot or housing unit outright.)
Income-Sharing Communities. Community members pool their incomes and
share a common treasury. They receive room, meals and the community either pays a small
monthly stipend or pays for their basic needs.
In rural income-sharing communities people usually work in one or more community-
owned businesses. At Kommune Niederkaufungen in Germany, for example, community-
owned businesses include a seminar business, an assisted-care facility, a private
kindergarten, a catering business, a welding shop, and several other businesses. Svanholm
in Denmark has an agriculture business with a large organic dairy operation and an organic
vegetable operation. At Twin Oaks in the US, community-owned businesses include making
hammocks and indexing books.
Urban income-sharing communities often have no community-owned businesses, so
members usually work at outside jobs. Some income-sharing communities receive income
from both community-owned businesses as well as from members working outside.
Besides Kommune Niederkaufungen, Svanholm, and Twin Oaks, income-sharing
communities include Auroville in India, Konohana Family in Japan, Tamera in Portugal,
Damanhur in Italy, Findhorn in Scotland, and La Cité Écologique in Canada.
Feel free to copy & distribute this handout free of charge as long as you include this credit line & info
• DianaLeafeChristian.org • EcovillageNews.org •Diana@ic.org • 828-669-9702
In the US, most ecovillages and other kinds of intentional communities are
independent-income. (Cohousing communities worldwide are independent-income.) In
Europe and other parts of the world a higher percentage of communities are income-
sharing, especially the larger, older ones.
At most old, well-established income-sharing communities there is no joining fee or
membership fee.
Asset-sharing communities are those in which people pool not only their incomes but
also their assets — savings, stock investments, and income from the sale of their house, for
example. Some income-sharing communities are also asset-sharing.
Combination Independent-Income and Income-Sharing: Munksoegaard in Denmark
has a hybrid system: 80-90% of each member’s credited salary is disbursed to the
community; 10-20% is given in cash as spending money. The Farm Community and
Dancing Rabbit in the US are both independent-income ecovillages with smaller income-
sharing sub-communities. Social Enterprises in Community
In the context of an (independent-income) ecovillage or intentional community, a social
enterprise is a profit-making business or an income-earning nonprofit set up to meet the
group’s social and environmental needs, including the need for members to earn a living
onsite — particularly important in rural ecovillages. Social enterprises in ecovillages, like
those described below, only offer goods and services congruent with ecovillage values.
The Farm Community in the US (founded 1972) has 21 social enterprises. These include Municipal Water System, providing water for residents and businesses; The Book Publishing Company & The Mail Order Catalog; SEI International, making radiation-detection devices; The Farm Store; Health-Care Clinic and Pharmacy; SolarSmith, making solar hot water heaters and solar cookers; MushroomPeople, selling mushroom spawn and mushroom cultivation tools; Village Media, producing videos and web pages; The Farm Soy Dairy; The Farm School; Farm Midwives, offering midwifery education; and Plenty International, an NGO working with low-income indigenous people worldwide.
Findhorn in Scotland (founded 1962) has nearly 40 social enterprises. These include EarthShare, a member-supported CSA farm; Ekopia Resource Exchange, a co-op money-lending service; Findhorn Pottery; Findhorn Press; Moya Wind Turbine Cooperative; Phoenix Community Stores, a retail store co- op; Ecologia Youth Trust, which raises money for ecovillages in Russia; and Findhorn and Kinloss LETS, a local exchange and trading system.
Crystal Waters in Australia (founded 1989) has 35 social enterprises, including Crystal Waters Artisan Bakery; Didgeridoo Lessons; EcoLogical Solutions, Inc, offering workshops and consulting on Permaculture and ecovillage design; Green Harvest, offering mail order organic gardening supplies; Internet Café; and Merry Marimba, making wooden marimbas.
Feel free to copy & distribute this handout free of charge as long as you include this credit line & info
• DianaLeafeChristian.org • EcovillageNews.org •Diana@ic.org • 828-669-9702
