Colombia

Title: Encuesta national de ingresos y gastos 1994/1995

GENERAL INFORMATION AND BASIC DEFINITIONS

1. Background

Further information is available from Departamento Administrativo Nacional de Estadistica DANE of Transversal 45 n°26-70.Interior 1.CAN. Edificio DANE, phone: 5 97 83 00 5 97 83 80, fax: 5 97 83 19, e-mail: direction@dane.gov.co.
Data have been collected by household survey since 1953.

2. Purpose and coverage

The following purposes are considered to be very important or of some importance:

• to obtain weights for consumer price index
• to estimate household expenditure for national accounts
• to study the general structure of household incomes/expenditures
• to study income/expenditure disparities among socio-economic groups
• to study consumer behaviour among socio-economic groups
• for general poverty and/or income distribution studies
• to study effects on income and expenditure of policy changes, especially tax changes
• for market research purposes

Lesser importance is attached to:

• to study income/expenditure patterns of disadvantaged groups, including pensioner households, single parent households, etc

Geographic coverage: ¹ Main cities only with the following geographic areas excluded: remote or inaccessible areas, areas in conflict, rural sector .

Population coverage:
The following types of household are included in the data collection:

• one person private households
• those in collective housing (such as long term hospitals, prisons, monasteries, military quarters)
• diplomatic households in the country
• households of other foreigners in the country
• armed forces residing in private housing outside military base

The following types of household are excluded in the data collection:

• non-resident households of nationals (households of nationals located abroad)
• armed forces residing in private housing within military base

Units:
Dwelling units are used in the sample selection and are characterised by:

• single structure - detached housing unit
• single unit in a structure containing more than one housing unit

Data are recorded for the household unit which is characterised by:

• two or more people living together:
  • sharing a common budget for (at least) food and housing expenditures

Data are recorded for the consumer unit, expenditure unit or spending unit which is characterised by:

• two or more people:
  • sharing a common budget for (at least) food and housing expenditures

Unit members: Usual residents temporarily living away from the dwelling are included, if away continuously for less than 3 months. Visitors (not usual residents) temporarily living in the dwelling are included, if staying continuously for more than 3 months. Domestic staff living in same dwelling/compound are not included in the unit. Renters living in same dwelling/compound are not included in the unit. Boarders living in same dwelling/compound are included in the unit.

Head of unit:
The concept of head of household/other unit is used in this survey and is characterised by:

• main income earner

3. Reference periods

The time period to which income and/or expenditure statistics refer when released/published is from 03/94 to 02/95. These data are collected in the period from 03/94 to 02/95. This survey is conducted 10-yearly. The statistics are published 10-yearly.

SURVEY METHODOLOGY

4. Sample design

The Primary, Secondary and Ultimate Sampling Units are enumeration area/district, block and dwelling respectively.

Stratification:
Areas/districts were stratified using the following criteria:

• administrative districts

Households/Consumption Unit, Income Unit, Family Unit were stratified using the following criteria:

• income class

The sampling frames for the Primary Sampling Unit (PSU) and Ultimate Sampling Unit (USU) were the list of Census enumeration areas and none respectively. Primary Sampling Units (PSU) were selected using probability proportional to size and Ultimate Sampling Units (USU) were selected using probability proportional to size. The sample size was 36816 households or other units. The overall response rate for the survey was 80 percent. Errors/biases were minimized by using an updated sampling frame, an increased sample size.

Enumeration procedure: Enumeration uses a single round survey design in which each reporting unit is enumerated only once. No action is taken to select a smaller set of reporting units for more detailed questioning.

DATA COLLECTION, CONCEPTS, DEFINITIONS AND CLASSIFICATIONS

5. Income data

Income data are collected. Receipts have to be regular and recurring to be considered as income. Income excludes receipts resulting from the sale or reduction of assets and/or from incurring liabilities. Exceptions are percentage available for consumption in the reference period. Income excludes receipts that are not currently available to the unit.

The following receipts are collected separately:

• wages and salaries
• termination and redundancy payments
• employee social security contributions
• employee income in-kind provided free or subsidized: meals
• employee income in-kind provided free or subsidized: car/transportation
• employee income in-kind provided free or subsidized: other goods or services
• profit/loss from unincorporated enterprises (mixed income)
• interest received
• rentals (payment received for produced assets e.g. house)
• regular pensions/annuities from schemes to which employee does not contribute
• old age benefits
• sickness benefits

The following receipts are collected but not separately:

• commissions and tips
• remuneration for time not worked, e.g. leave pay
• employee income in-kind provided free or subsidized: goods or services produced by employer
• dividends
• rents (payment received for un-produced assets e.g. land)
• royalties
• retirement pensions from compulsory social security schemes
• other pensions
• family-related allowances
• invalidity benefits
• education-related allowances
• survivors benefits
• free government dwelling
• subsidized government dwelling
• food subsidies
• medical reimbursements
• regular inter-household transfers received from: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular cash gifts
• regular inter-household transfers received from: regular in-kind gifts

The following receipts are not collected:

• employer social security contributions , excluded for other reasons
• employee income in-kind provided free or subsidized: housing , excluded for other reasons
• drawing for own use from unincorporated enterprises , excluded for other reasons
• goods produced for own consumption , excluded for other reasons
• services produced for own consumption , excluded for other reasons
• goods produced for barter , excluded for other reasons
• services produced for barter , excluded for other reasons
• stock consumed from unincorporated enterprise , excluded for other reasons
• services from owner-occupied dwellings , excluded for other reasons
• services from other consumer durables (net) , excluded for other reasons
• unemployment benefits , excluded for other reasons
• other social insurance benefits , excluded for other reasons
• other social assistance benefits , excluded for other reasons
• regular support received from non-profit institutions serving households: cash, e.g. scholarships , excluded for other reasons
• regular support received from non-profit institutions serving households: goods and services , excluded for other reasons
• regular support received from non-profit institutions serving households: free dwelling , excluded for other reasons
• regular support received from non-profit institutions serving households: subsidized dwelling , excluded for other reasons
• regular inter-household transfers received from: free dwelling , excluded for other reasons
• regular inter-household transfers received from: subsidized dwelling , excluded for other reasons
• regular inter-household transfers received from: regular free services , excluded for other reasons
• social transfers in kind: medical services , excluded for other reasons
• social transfers in kind: public education , excluded for other reasons
• social transfers in kind: transport subsidies , excluded for other reasons
• social transfers in kind: cultural and recreational services , excluded for other reasons
• social transfers in kind: others

The following receipts are classified as income from paid employment:

• wages and salaries
• commissions and tips
• remuneration for time not worked, e.g. leave pay
• employee social security contributions
• employee income in-kind provided free or subsidized: meals
• employee income in-kind provided free or subsidized: car/transportation
• employee income in-kind provided free or subsidized: goods or services produced by employer
• employee income in-kind provided free or subsidized: other goods or services
• family-related allowances
• education-related allowances
• free government dwelling
• subsidized government dwelling
• food subsidies
• medical reimbursements

The following receipts are classified as property income:

• profit/loss from unincorporated enterprises (mixed income)
• interest received
• dividends
• rentals (payment received for produced assets e.g. house)
• rents (payment received for un-produced assets e.g. land)
• royalties

The following receipts are classified as employment-related transfer income:

• regular pensions/annuities from schemes to which employee does not contribute

The following receipts are classified as transfer income but not employment-related:

• retirement pensions from compulsory social security schemes
• old age benefits
• other pensions
• sickness benefits
• invalidity benefits
• survivors benefits
• regular inter-household transfers received from: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular in-kind gifts
• social transfers in kind: others

The following receipts are classified as other employment-related income:

• termination and redundancy payments

The following receipts are classified as other income but not employment-related:

• regular inter-household transfers received from: regular cash gifts

The following receipts are excluded for other reasons:

• employer social security contributions
• employee income in-kind provided free or subsidized: housing
• drawing for own use from unincorporated enterprises
• goods produced for own consumption
• services produced for own consumption
• goods produced for barter
• services produced for barter
• stock consumed from unincorporated enterprise
• services from owner-occupied dwellings
• services from other consumer durables (net)
• unemployment benefits
• other social insurance benefits
• other social assistance benefits
• regular support received from non-profit institutions serving households: cash, e.g. scholarships
• regular support received from non-profit institutions serving households: goods and services
• regular support received from non-profit institutions serving households: free dwelling
• regular support received from non-profit institutions serving households: subsidized dwelling
• regular inter-household transfers received from: free dwelling
• regular inter-household transfers received from: subsidized dwelling
• regular inter-household transfers received from: regular free services
• social transfers in kind: medical services
• social transfers in kind: public education
• social transfers in kind: transport subsidies
• social transfers in kind: cultural and recreational services

The following receipts are collected using the last month as the reference period:

• wages and salaries
• commissions and tips
• employee social security contributions
• employee income in-kind provided free or subsidized: meals
• employee income in-kind provided free or subsidized: car/transportation
• employee income in-kind provided free or subsidized: goods or services produced by employer
• employee income in-kind provided free or subsidized: other goods or services
• profit/loss from unincorporated enterprises (mixed income)
• interest received
• dividends
• rentals (payment received for produced assets e.g. house)
• regular pensions/annuities from schemes to which employee does not contribute
• old age benefits
• other pensions
• family-related allowances
• sickness benefits
• invalidity benefits
• education-related allowances
• survivors benefits
• food subsidies
• medical reimbursements
• regular inter-household transfers received from: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular in-kind gifts

The following receipts are collected using the last 3 months as the reference period:

• retirement pensions from compulsory social security schemes

The following receipts are collected using the last 12 months as the reference period:

• remuneration for time not worked, e.g. leave pay
• termination and redundancy payments
• rents (payment received for un-produced assets e.g. land)
• royalties
• free government dwelling
• subsidized government dwelling
• regular inter-household transfers received from: regular cash gifts

Income data were collected separately for each person receiving income. Components of income for an individual were collected directly from the individual. Negative values (business losses) were excluded when computing self-employment income.

6. Expenditure data

Data collection method:
Diaries are used to collect expenditure data and are maintained for one week.

Diaries are used to collect expenditure on the following items:

• food
• alcohol, tobacco

Diaries are not used to collect expenditure on the following items:

• food
• alcohol, tobacco

Data for the following expenditure items are collected by referring:

• to expenditures in last one month:
  • other household non-durable goods
  • other personal non-durable goods
  • households services
  • personal services

• to expenditures in last 3 months:
  • clothing, footwear

• to expenditures in last 12 months:
  • housing
  • other durable goods

Data for the following expenditure items are not collected by interview because they are collected by diary:

• food

The following types of expenditure items are classified as 'Household consumption expenditure':

• non-durable goods purchased
• durable goods purchased (except housing)
• services of owner-occupied housing
• own produced non-durable goods
• own-produced durable goods
• own-produced services
• services from durables owned (except housing)
• in-kind goods received from other households
• in-kind services received from other households
• financial services (including fees for financial advice, brokerage fees)
• non-life insurance premiums (e.g. vehicle, housing, other property, medical)
• licences and fees (e.g. driver's licence, hunting licence, vehicle registration)
• gambling expenditure
• out of pocket health expenditure , gross of claims
• out of pocket education expenditures , gross of refunds
• out of pocket transport expenditures , gross of refunds
• housing maintenance, minor repairs
• regular cash payments to others outside the household
• non-regular cash payments to others outside the household
• valuables

The following types of expenditure items are classified as 'Non-consumption household expenditure':

• major repairs, conversions and extensions to owner-occupied housing
• interest payments (excluding mortgage interest payments)
• life insurance premiums
• compulsory transfers to governments (e.g. contributions to government old age and disability insurance program, taxes)
• investment-related expenditures (e.g. purchase of shares/stocks)

The following types of expenditure items are classified as 'Non-household expenditure':

• occupational expenditures
• other business-related expenditures

The following types of expenditure items are excluded for other reasons:

• social transfers in-kind of goods and services from government and non-profit institutions serving households
• purchase of gifts of goods and services given to others outside the household
• second hand goods purchased
• expenditure abroad

The following types of expenditure items are collected on an 'acquisitions' basis:

• non-durable goods purchased
• durable goods purchased (except housing)
• services of owner-occupied housing
• major repairs, conversions and extensions to owner-occupied housing
• own produced non-durable goods
• own-produced durable goods
• own-produced services
• services from durables owned (except housing)
• in-kind goods received from other households
• in-kind services received from other households
• financial services (including fees for financial advice, brokerage fees)
• non-life insurance premiums (e.g. vehicle, housing, other property, medical)
• licences and fees (e.g. driver's licence, hunting licence, vehicle registration)
• gambling expenditure
• out of pocket health expenditure , gross of claims
• out of pocket education expenditures , gross of refunds
• out of pocket transport expenditures , gross of refunds
• housing maintenance, minor repairs
• regular cash payments to others outside the household
• non-regular cash payments to others outside the household
• valuables

7. Other Data Collection Issues

The following other topics are covered:

• demographic characteristics
• education attainment of members
• employment status of members
• occupation of members
• ownership of selected durable goods
• housing characteristics

Households are not requested to indicate whether durable goods are new or second-hand when their acquisition is recorded.

Non-response: There is no substitution for non-response, whether by non-contact or by refusal.

DATA PROCESSING, ANALYSIS AND DISSEMINATION

Answers are pre-coded on data collection forms to the extent possible.

Extreme values are deleted. In-kind receipts are included in the estimates, but consumption of own production is not. In-kind receipts are valued using: the respondent's estimate.

Treatment of owner-occupied housing: Values of owner-occupied housing are included in the total income/expenditure estimates and are valued using the rental equivalent net of housing costs usually paid by owners. (respondent provides an estimate )

Treatment of selected groups/values in analysis: Some households/units are excluded from analysis because of incomplete response. Missing values are imputed only on some occasions . Supplementary sources are not used to adjust estimates for under- or over-reporting. No groups are excluded from data analysis.

Weighting:
Weighting factors are used to adjust for:

• sampling
• non-response

Sampling errors: No information was provided on samplimg errors.

Tabulation and Analysis: Statistics are presented showing averages per month and statistics are analysed and tabulated for households only.

The following classifications are used for tabulation and analysis of income statistics:

• occupation of reference person or head of household
• other characteristic of reference person or head of household, level of education
• income percentiles
• principal source of household income
• expenditure percentiles
• household size
• other classification, other income classification, number of employed

The following classifications are used for tabulation and analysis of expenditure statistics:

• occupation of reference person or head of household
• other characteristic of reference person or head of household, level of education
• income percentiles
• principal source of household income
• expenditure percentiles
• household size
• other classification, other income classification, number of employed

Documentation and Dissemination:

Additional statistics (or special tables on request) are available for public use, with charges. Separate tables are published for households with wages/salaries as main source of income. Files of unidentifiable unit data are available (or available on request) for public use, with charges.