Belgium

Title: Enquête Budgets des Ménages 2000

GENERAL INFORMATION AND BASIC DEFINITIONS

1. Background

Further information is available from Institut National de Statistiques of 44 rue de Louvain 1000 Bruxelles, phone: 02/548 6236, e-mail: veronique.renard@statbel.mineco.fgov.be.
Data have been collected by household survey since 1977. ¹

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 study income/expenditure disparities among socio-economic groups
• to study consumer behaviour among socio-economic groups
• European statistics (for EUROSTAT)

Lesser importance is attached to:

• to estimate household expenditure for national accounts
• to study the general structure of household incomes/expenditures
• to study income/expenditure patterns of disadvantaged groups, including pensioner households, single parent households, etc
• 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

Geographic coverage: National with the following geographic areas excluded: German-speaking region .

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

• one person private households
• private households with more than one person
• diplomatic households in the country
• households of other foreigners in the country
• armed forces residing in private housing within military base
• armed forces residing in private housing outside military base

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

• those in collective housing (such as long term hospitals, prisons, monasteries, military quarters)
• non-resident households of nationals (households of nationals located abroad)
• nomadic and other households difficult to reach: All those not entered in the national register (basis of sample) are excluded.

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
• street address

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

• one person units
• two or more people living together:
  • sharing a single dwelling or compound
  • sharing meals
  • sharing a common budget for (at least) food and housing expenditures
  • pooling their income to some extent

Unit members: Usual residents temporarily living away from the dwelling are included, if away continuously for less than 15 days. Domestic staff living in same dwelling/compound are included in the unit. Renters living in same dwelling/compound are not included in the unit. Boarders living in same dwelling/compound are not included in the unit.

Head of unit:
The concept of reference person is used in this survey and is characterised by:

• recognized owner, or responsible for tenancy of dwelling
• main income earner

3. Reference periods

The time period to which income and/or expenditure statistics refer when released/published is from 01/00 to 12/00. These data are collected in the period from 01/00 to 12/00. This survey is conducted continuously. The statistics are published annually.

SURVEY METHODOLOGY

4. Sample design

The Primary, Secondary and Ultimate Sampling Units are enumeration area/district, none and household respectively.

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

• social class of the head
• household size

The sampling frames for the Primary Sampling Unit (PSU) and Ultimate Sampling Unit (USU) were the list of Census enumeration areas and a set of administrative registers (or combination of such registers) respectively. Primary Sampling Units (PSU) were selected using probability proportional to size. The sample size was 3816 households or other units. The overall response rate for the survey was 10 percent.

Enumeration procedure: Enumeration uses a single round survey design in which each reporting unit is enumerated only once. The sample is divided into 3 representative sub-samples. No action is taken to select a smaller set of reporting units for more detailed questioning.

Each household is visited 4 times by an interviewer (trained by us), once before each survey month to explain the daily diary which the household must complete, once during the month to check that the diary has been started and properly kept, once after the survey month to collect and checkthe diary. The last visit is used to complete the household questionnaire and the individual questionnaires..

DATA COLLECTION, CONCEPTS, DEFINITIONS AND CLASSIFICATIONS

5. Income data

Income data are collected. Receipts do not have to be regular and recurring to be considered as income. Income includes receipts resulting from the sale or reduction of assets and/or from incurring liabilities are included in income. Income excludes receipts that are not currently available to the unit.

The following receipts are collected separately:

• wages and salaries
• cash bonuses and gratuities
• commissions and tips
• remuneration for time not worked, e.g. leave pay
• termination and redundancy payments
• employee income in-kind provided free or subsidized: housing
• 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)
• goods produced for own consumption , net of inputs
• services from owner-occupied dwellings
• interest received
• dividends
• rentals (payment received for produced assets e.g. house) , net of expenses
• rents (payment received for un-produced assets e.g. land)
• royalties
• regular pensions/annuities from schemes to which employee does not contribute
• retirement pensions from compulsory social security schemes
• old age benefits
• other pensions
• unemployment benefits
• family-related allowances
• sickness benefits
• invalidity benefits
• education-related allowances
• survivors benefits
• food subsidies
• medical reimbursements
• 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: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular inheritances or trusts
• regular inter-household transfers received from: regular cash gifts
• regular inter-household transfers received from: regular in-kind gifts
• 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

The following receipts are not collected:

• employer social security contributions
• employee social security contributions
• goods produced for barter
• services produced for barter
• services from other consumer durables (net)
• free government dwelling
• subsidized government dwelling
• social transfers in kind: medical services

The following receipts are classified as income from paid employment:

• wages and salaries
• cash bonuses and gratuities
• commissions and tips
• remuneration for time not worked, e.g. leave pay
• termination and redundancy payments
• employee income in-kind provided free or subsidized: housing
• 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

The following receipts are classified as income from self-employment:

• profit/loss from unincorporated enterprises (mixed income)
• goods produced for own consumption , net of inputs

The following receipts are classified as property income:

• services from owner-occupied dwellings
• interest received
• dividends
• rentals (payment received for produced assets e.g. house) , net of expenses
• rents (payment received for un-produced assets e.g. land)
• royalties

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

• sickness benefits

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

• retirement pensions from compulsory social security schemes
• old age benefits
• other pensions
• unemployment benefits
• family-related allowances
• invalidity benefits
• education-related allowances
• survivors benefits
• food subsidies
• medical reimbursements
• other social insurance benefits
• other social assistance benefits

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

• regular pensions/annuities from schemes to which employee does not contribute
• 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: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular inheritances or trusts
• regular inter-household transfers received from: regular cash gifts
• regular inter-household transfers received from: regular in-kind gifts
• 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

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

• wages and salaries
• cash bonuses and gratuities
• commissions and tips
• remuneration for time not worked, e.g. leave pay
• termination and redundancy payments
• employee income in-kind provided free or subsidized: housing
• 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
• goods produced for own consumption , net of inputs
• services from owner-occupied dwellings
• interest received
• dividends
• rentals (payment received for produced assets e.g. house) , net of expenses
• rents (payment received for un-produced assets e.g. land)
• royalties
• regular pensions/annuities from schemes to which employee does not contribute
• retirement pensions from compulsory social security schemes
• old age benefits
• other pensions
• unemployment benefits
• family-related allowances
• sickness benefits
• invalidity benefits
• education-related allowances
• survivors benefits
• food subsidies
• medical reimbursements
• 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: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: regular inheritances or trusts
• regular inter-household transfers received from: regular cash gifts
• regular inter-household transfers received from: regular in-kind gifts
• 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

The reference period for:

• profit/loss from unincorporated enterprises (mixed income) was average monthly net income

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 included when computing self-employment income, average net monthly income is requested.

6. Expenditure data

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

Diaries are used to collect expenditure on the following items:

• food
• alcohol, tobacco
• other household non-durables (such as newspapers, batteries)
• clothing, footwear
• other personal non-durables (such as perfumes)
• household services (such as plumber)
• personal services (such as driving lessons, haircuts)
• all expenditure without exception

Interviews are used to collect expenditure data with the respondent completing the interview by a mix of recall and using documentation.

Data for the following expenditure items are collected by referring:

• to the last payment for that expenditure:
  • housing

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

• food
• other household non-durable goods
• clothing, footwear
• other personal non-durable goods
• households services
• personal services

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

• non-durable goods purchased
• durable goods purchased (except housing)
• purchase price of owner-occupied housing
• services of owner-occupied housing
• gambling expenditure , gross of winnings
• 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
• purchase of gifts of goods and services given to others outside the household
• second hand goods purchased
• expenditure abroad
• valuables

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

• own produced non-durable goods
• own-produced durable goods
• in-kind goods received from other households
• social transfers in-kind of goods and services from government and non-profit institutions serving households

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

• financial services (including fees for financial advice, brokerage fees)
• non-life insurance premiums (e.g. vehicle, housing, other property, medical) , gross of claims
• life insurance premiums , gross of claims
• licences and fees (e.g. driver's licence, hunting licence, vehicle registration)
• compulsory transfers to governments (e.g. contributions to government old age and disability insurance program, taxes)

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 classified as 'Investment/liability expenditure':

• mortgage repayments, including interest
• major repairs, conversions and extensions to owner-occupied housing
• interest payments (excluding mortgage interest payments)
• regular cash payments to others outside the household
• non-regular cash payments to others outside the household
• investment-related expenditures (e.g. purchase of shares/stocks)

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

• income in-kind receipts of goods
• income in-kind receipts of services
• own-produced services
• services from durables owned (except housing)
• in-kind services received from other households

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

• non-durable goods purchased
• durable goods purchased (except housing)
• purchase price of owner-occupied housing
• purchase of gifts of goods and services given to others outside the household
• second hand goods purchased
• expenditure abroad
• valuables
• occupational expenditures

The following types of expenditure items are collected on a 'payments' basis:

• mortgage repayments, including interest
• services of owner-occupied housing
• major repairs, conversions and extensions to owner-occupied housing
• interest payments (excluding mortgage interest payments)
• financial services (including fees for financial advice, brokerage fees)
• non-life insurance premiums (e.g. vehicle, housing, other property, medical) , gross of claims
• life insurance premiums , gross of claims
• licences and fees (e.g. driver's licence, hunting licence, vehicle registration)
• gambling expenditure , gross of winnings
• 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
• 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)
• other business-related expenditures

The following types of expenditure items are collected on some other basis:

• own produced non-durable goods (collected on the basis of availability)
• own-produced durable goods (collected on the basis of availability)
• in-kind goods received from other households (collected at the time of receipt)
• social transfers in-kind of goods and services from government and non-profit institutions serving households (collected at the time of receipt)

Classification: A national classification is used for classifying expenditure and has 800 separate categories at the finest level. The classification is consistent with COICOP at the Class (4 digit) level.

7. Other Data Collection Issues

The following other topics are covered:

• demographic characteristics
• education attainment of members
• employment status 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.

Non-response is reduced using the following measures:

• monetary rewards
• other incentives : reminder two weeks after the first letter

Reporting errors are reduced using the following measures:

• careful instrument design
• bounding interview
• adequate cues or props for prompting
• cross-checking of diary and questionnaires

DATA PROCESSING, ANALYSIS AND DISSEMINATION

Answers are not pre-coded on data collection forms, but are coded by office staff.

The responses are edited by the following:

• interviewers, data collectors
• office staff

Extreme values are amended. ⁶ In-kind receipts and consumption of own production are included in the estimates. In-kind receipts are valued using: the respondent's estimate. Consumption of own production is valued using: the imputed in office processing using market prices.

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.

The following information is used in this valuation:⁷

• respondent provides an estimate
• imputed based on housing and rent data

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
• bench-marking

Sampling errors: Sampling errors are not computed.

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

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

• age of reference person or head of household
• income percentiles, quartiles and deciles
• principal source of household income
• household size
• structure of household
• other classification, rural, semi-rural, urban. Regions: Flanders, Brussels, Wallonia

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

• age of reference person or head of household
• income percentiles, quartiles and deciles
• principal source of household income
• household size
• structure of household
• other classification, rural, semi-rural, urban. Regions: Flanders, Brussels, Wallonia

Documentation and Dissemination:

Additional statistics (or special tables on request) are available for public use, free of charge (the 4 figure table by region can be downloaded from the INS Website or sent free of charge) and with charges.⁹

Separate tables are published for the following special population groups:¹⁰