Social benefits to households

In national accounts social benefits to households are broken down into two distinct categories: social benefits other than social transfers in kind; and social transfers in kind. The former transfers are typically in cash and so allow households to use the cash indistinguishably from other income, whereas transfers in kind are always related to the provision of certain goods or services (predominantly health care and education), and so households have no discretion over their use. Social benefits other than social transfers in kind may be further broken down into two key components: pensions benefits and non-pensions benefits. The latter consists of cash transfers made by government or by non-profit institutions serving households (NPISHs) to households to meet their financial needs in case of unexpected events, such as sickness, unemployment, housing, education or family circumstances. The relevant indicators (social benefits other than social transfers in kind, and social transfers in kind) are measured as a percentage of gross domestic product (GDP). All OECD countries compile their data according to the 2008 System of National Accounts (SNA).