Switzerland

Title: Enquête sur les revenus et la consommation (ERC)

GENERAL INFORMATION AND BASIC DEFINITIONS

1. Background

Further information is available from Office Fédéral de la Statistique of Espace de l'Europe 10/2010 Neuchâtel, phone: 032/713 60 95, fax: 032/713 63 41, e-mail: annecornali@bfs.admin.ch.
Data have been collected by household survey since 1990.

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 patterns of disadvantaged groups, including pensioner households, single parent households, etc
• 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

Lesser importance is attached to:

• for market research purposes

Geographic coverage: National without any specific geographic areas excluded.

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

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: must be a telephone subscriber

Units: Dwelling units are not used in the sample selection.

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 a common budget for (at least) food and housing expenditures
  • pooling their income to some extent

Unit members: ¹ Usual residents temporarily living away from the dwelling are included, if away continuously for less than 5 days. Visitors (not usual residents) temporarily living in the dwelling are not included as unit members. 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 included in the unit.

Head of unit:
The concept of reference person 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 01/00 to 12/00. These data are collected in the period from 11/99 to 04/01. This survey is conducted annually. The statistics are published annually.

SURVEY METHODOLOGY

4. Sample design

The Primary, Secondary and Ultimate Sampling Units are none, none and telephone numbers respectively.

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

• geographical regions

The sampling frames for the Primary Sampling Unit (PSU) and Ultimate Sampling Unit (USU) were telephone directory and none respectively. The sample size was 12930 households or other units. The overall response rate for the survey was 28.2 percent. Errors/biases were minimized by using an updated sampling frame.

Enumeration procedure: Enumeration uses a single round survey design in which each reporting unit is enumerated only once. The sample is not divided into representative sub-samples. 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 do not 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. Income includes receipts that are not currently available to the unit.

The following receipts are collected separately:^4,5

• cash bonuses and gratuities
• 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 (other)
• 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: regular free services

The following receipts are collected but not separately:^4,5

• wages and salaries
• remuneration for time not worked, e.g. leave pay
• termination and redundancy payments
• profit/loss from unincorporated enterprises (mixed income)
• drawing for own use from unincorporated enterprises
• goods produced for own consumption , gross of inputs
• services produced for own consumption , gross of inputs
• services from owner-occupied dwellings , excluded due to measurement problems
• interest received
• dividends
• rentals (payment received for produced assets e.g. house)
• rents (payment received for un-produced assets e.g. land)
• royalties , excluded due to measurement problems
• 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
• housing allowances
• survivors benefits
• free government dwelling , excluded due to measurement problems
• subsidized government dwelling , excluded due to measurement problems
• 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: free dwelling , excluded due to measurement problems
• regular support received from non-profit institutions serving households: subsidized dwelling , excluded due to measurement problems
• regular inter-household transfers received from: family, e.g. alimony, child/parental support
• regular inter-household transfers received from: free dwelling , excluded due to measurement problems
• regular inter-household transfers received from: subsidized dwelling

The following receipts are not collected:^4,5

• employer social security contributions
• employee income in-kind provided free or subsidized: housing
• goods produced for barter
• services produced for barter
• stock consumed from unincorporated enterprise
• services from other consumer durables (net)
• food subsidies
• regular support received from non-profit institutions serving households: goods and services
• regular inter-household transfers received from: regular inheritances or trusts
• 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
• social transfers in kind: others

The following receipts are classified as income from paid employment:

• wages and salaries
• cash bonuses and gratuities
• remuneration for time not worked, e.g. leave pay
• 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: goods or services produced by employer
• employee income in-kind provided free or subsidized: other goods or services (other)

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

• profit/loss from unincorporated enterprises (mixed income)
• drawing for own use from unincorporated enterprises
• goods produced for own consumption , gross of inputs
• services produced for own consumption , gross of inputs

The following receipts are classified as property income:

• interest received
• dividends
• rentals (payment received for produced assets e.g. house)
• rents (payment received for un-produced assets e.g. land)

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

• retirement pensions from compulsory social security schemes
• unemployment benefits
• family-related allowances

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

• old age benefits
• sickness benefits
• invalidity benefits
• education-related allowances
• housing allowances
• survivors benefits
• 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
• other pensions
• regular support received from non-profit institutions serving households: cash, e.g. scholarships
• 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
• regular inter-household transfers received from: subsidized dwelling
• regular inter-household transfers received from: regular free services

The following receipts are excluded due to measurement problems:

• services from owner-occupied dwellings
• royalties
• free government dwelling
• subsidized government dwelling
• 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

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 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 (other)
• profit/loss from unincorporated enterprises (mixed income)
• drawing for own use from unincorporated enterprises
• goods produced for own consumption , gross of inputs
• services produced for own consumption , gross of inputs
• royalties
• old age benefits
• sickness benefits
• invalidity benefits
• education-related allowances
• food subsidies
• medical reimbursements
• other social insurance benefits
• other social assistance benefits

The following receipts are collected using the 'last payment' and 'period covered':

• services from owner-occupied dwellings
• interest received
• dividends
• rentals (payment received for produced assets e.g. house)
• regular pensions/annuities from schemes to which employee does not contribute
• retirement pensions from compulsory social security schemes
• other pensions
• unemployment benefits
• family-related allowances
• housing allowances
• survivors benefits
• free government dwelling
• subsidized government dwelling
• regular support received from non-profit institutions serving households: cash, e.g. scholarships
• 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 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:

• rents (payment received for un-produced assets e.g. land)

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 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 household expenditures (see diaries annexed)

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:³

• to expenditures in last one month:
  • food
  • other household non-durable goods
  • clothing, footwear
  • other personal non-durable goods
  • other durable goods
  • households services
  • personal services
  • other items

• to the last payment for that expenditure:
  • housing

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

• non-durable goods purchased
• durable goods purchased (except housing)
• own produced non-durable goods
• own-produced durable goods
• own-produced services
• financial services (including fees for financial advice, brokerage fees)⁷
• gambling expenditure , gross of winnings
• out of pocket health expenditure , gross of claims
• out of pocket education expenditures⁷ , gross of refunds
• out of pocket transport expenditures⁷ , gross of refunds
• housing maintenance, minor repairs
• purchase of gifts of goods and services given to others outside the household
• valuables
• other business-related expenditures⁶

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

• non-life insurance premiums (e.g. vehicle, housing, other property, medical)⁷ , gross of claims
• life insurance premiums⁷ , gross of claims
• licences and fees (e.g. driver's licence, hunting licence, vehicle registration)
• regular cash payments to others outside the household⁷
• 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)

The following types of expenditure items are excluded due to measurement problems:

• services of owner-occupied housing
• major repairs, conversions and extensions to owner-occupied housing
• services from durables owned (except housing)
• social transfers in-kind of goods and services from government and non-profit institutions serving households

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

• purchase price of owner-occupied housing⁶
• income in-kind receipts of goods⁶
• income in-kind receipts of services⁶
• in-kind goods received from other households⁶
• in-kind services received from other households⁶
• investment-related expenditures (e.g. purchase of shares/stocks)⁶
• occupational expenditures⁶

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 housing⁶
• income in-kind receipts of goods⁶
• income in-kind receipts of services⁶
• own produced non-durable goods
• own-produced durable goods
• own-produced services
• in-kind goods received from other households⁶
• financial services (including fees for financial advice, brokerage fees)⁷
• 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 expenditures⁷ , gross of refunds
• out of pocket transport expenditures⁷ , gross of refunds
• housing maintenance, minor repairs
• non-regular cash payments to others outside the household
• purchase of gifts of goods and services given 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)⁶
• other business-related expenditures⁶

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

• interest payments (excluding mortgage interest payments)⁷
• non-life insurance premiums (e.g. vehicle, housing, other property, medical)⁷ , gross of claims
• life insurance premiums⁷ , gross of claims
• regular cash payments to others outside the household⁷

Classification: A national classification is used for classifying expenditure and has 436 separate categories at the finest level. The classification is consistent with COICOP at the Group (3 digit) level.

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.

Reporting errors are reduced using the following measures:

• careful instrument design
• quality control

DATA PROCESSING, ANALYSIS AND DISSEMINATION

Answers are not pre-coded on data collection forms, but are coded by the interviewers (data collectors).

The responses are edited by the following:

• interviewers, data collectors
• field supervisors

Extreme values are amended. ⁹

Treatment of owner-occupied housing: Values of owner-occupied housing are not included in the total income/expenditure estimates.

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 imputed. 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: Sampling errors are computed for all aggregates but these sampling errors are not available.

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:

• age of reference person or head of household
• sex of reference person or head of household
• other characteristic of reference person or head of household, socio-economic group
• absolute income groups
• expenditure classes in monetary terms
• household size
• structure of household
• other characteristic of household
• other classification, major region, linguistic region, type of occupancy of housing

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

• age of reference person or head of household
• sex of reference person or head of household
• other characteristic of reference person or head of household, socio-economic group
• absolute income groups
• expenditure classes in monetary terms
• household size
• structure of household
• other characteristic of household
• other classification, major region, linguistic region, type of occupancy of housing

Documentation and Dissemination:
Published survey reports: enquête sur les revenus et la consommation 2000: premiers résultats, juillet 2002

Additional statistics (or special tables on request) are available for public use, free of charge (on request). 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, free of charge (with data protection contract for specialist studies).