Net cash transfers to households
Net cash transfers to households – The main part of these transfers result from government intervention to redistribute income. The government uses taxes on income and wealth and social contributions paid by households (and corporations) to then redistribute a large portion of this amount in the form of monetary transfers to households. Net transfers to the household sector also include other current transfers such as contributions to and benefits from pension funds, settlements of non-life insurance claims by households, and money sent by and received from relatives living abroad. It does not include all government intervention, such as in-kind transfers related to health and education provided free or at economically insignificant prices by government.