Families and households: family, extended family, and household total income and sources of income (information about this variable and its quality)

Description

Total family, extended family, and household income

Total family, extended family, and household income is derived by taking the sum of the median personal incomes (the representative value of the income band) of all members aged 15 and over of the family nucleus, extended family, or household.

Sources of family, extended family, and household income

Sources of family, extended family, and household income identifies the various sources from which all family, extended family, or household members aged 15 years and over received income in the 12 months ending 6 March 2018.

In the census, it is generally only realistic to collect information on money income. This is income that a person can normally recall or can readily retrieve from their financial records. Money income is money flow from the deployment of one’s labour, entrepreneurial skills and assets, and from transfers received. So, the concept of money income relies on identifying its sources.

Excluded are income in kind, imputed income, unrealised income, and contingent income (contingent income depends on the unknown outcome of a course of action, for example, to sue). Excluded is money received by borrowing, making withdrawals from savings, receiving repayments of loan principal; and tax credits and reimbursements of expenses.

Statistics

Representation

Variable Details

Other Variable Information

Family, extended family, and household income contains seven variables:

  • Total family income
  • Combined parental income for couples with child(ren)
  • Total extended family income
  • Total household income
  • Family income sources
  • Extended family income sources
  • Household income sources.

Priority level

Priority level 2

We assign a priority level to all census variables: Priority 1, 2, or 3 (with 1 being highest and 3 being the lowest priority).

Family, extended family, and household income variables are priority 2 variables. Priority 2 variables cover key subject populations that are important for policy development, evaluation, or monitoring. These variables are given second priority in terms of quality, time, and resources across all phases of a census.

The census priority level for the family, extended family, and household income variables remains the same as 2013.

Quality Management Strategy and the Information by variable for Total income (2013) and Sources of income (2013) have more information on the priority rating.

Overall quality rating for 2018 Census

  • Total family income: Moderate quality
  • Combined parental income for couples with child(ren): Moderate quality
  • Total extended family income: Poor quality
  • Total household income: Moderate quality
  • Family income sources: Moderate quality
  • Extended family income sources: Poor quality
  • Household income sources: Moderate quality

The data quality processes section below has more detail on the ratings for these variables.

Subject population

  • Total family income: Families in occupied private dwellings
  • Combined parental income for couples with child(ren): Couples with children in occupied private dwellings
  • Total extended family income: Extended families in occupied private dwellings
  • Total household income: Households in occupied private dwellings
  • Family income sources: Families in occupied private dwellings
  • Extended family income sources: Extended families in occupied private dwellings
  • Household income sources: Households in occupied private dwellings

‘Subject population’ means the people, families, households, or dwellings to whom the variable applies.

How this data is classified

Census Income bands 2018 V1.0.0

Census Sources of Personal Income Classification V3.0.0

The family, extended family, and household income variables use the same classifications as the individual income variables: Total personal income, and Sources of personal income. For more information, see the information by variable for Total personal income and Sources of personal income.

The Standards and Classifications page provides background information on classifications and standards.

Question format

The family, extended family, and household income variables are derived from the sources of personal income and total personal income questions on the individual form (questions 34 and 35 on the on the paper form), living arrangements on the individual form (question 17 on the paper form) along with relationship to reference person and absentees on the household set up form (questions 17 and 20 on the paper dwelling form).

Stats NZ Store House has samples for both the individual and dwelling paper forms.

How this data is used

Outside Stats NZ

  • To formulate social and economic policy and monitoring programmes
  • To develop the New Zealand Deprivation Index
  • For research and planning by central and local government agencies

2018 data sources

We used alternative data sources for missing census responses and responses that could not be classified or did not provide the type of information asked for. Where possible, we used administrative data from the Integrated Data Infrastructure (IDI), or imputation.

The tables below shows the breakdown of the various data sources used for these variables.

2018 data sources for family and household total income variables        
Source Total family income Combined parental income
for couples with child(ren)
Total extended family income Total household income
Response from 2018 Census only 80.9 percent 83.9 percent 68.5 percent 79.2 percent
Response from 2018 Census and admin data 4.8 percent 4.0 percent 11.0 percent 4.7 percent
Response from 2018 Census, admin data
and statistical imputation
0.3 percent 0.0 percent 2.4 percent 0.6 percent
Response from 2018 Census and
statistical impuation
0.8 percent 0.5 percent 2.0 percent 0.9 percent
Admin data only 3.9 percent 3.9 percent 2.4 percent 5.7 percent
Admin data and statistical imputation 0.8 percent 0.5 percent 1.6 percent 0.8 percent
Statistical imputation only 0.2 percent 0.2 percent 0.1 percent 0.5 percent
No information 8.2 percent 7.0 percent 11.9 percent 7.7 percent
Due to rounding, individual figures may not always sum to the stated total(s).
Percentages indicate the proportion of couples, families, extended families
or households that have their total income derived from each combination of data sources.
       
2018 data sources for family and household sources of income variables      
Source Family income sources Extended family income sources Household income sources
Response from 2018 Census only 87.3 percent 79.4 percent 86.1 percent
Response from 2018 Census and admin data 3.6 percent 8.6 percent 3.7 percent
Response from 2018 Census, admin data
and statistical imputation
0.3 percent 2.2 percent 0.5 percent
Response from 2018 Census and
statistical impuation
0.8 percent 2.3 percent 1.0 percent
Admin data only 2.9 percent 2.1 percent 3.9 percent
Admin data and statistical imputation 0.7 percent 1.3 percent 0.7 percent
Statistical imputation only 0.2 percent 0.1 percent 0.4 percent
No information 4.1 percent 3.9 percent 3.7 percent
Due to rounding, individual figures may not always sum to the stated total(s).
Percentages indicate the proportion of couples, families, extended families
or households that have their sources of income derived from each combination of data sources.
     

Administrative data sources

For sources of personal income, and total personal income (used to derive these variables) we used data from Inland Revenue, which provides multiple sources of income information from the following registers:

  • personal Tax Summary
  • IR3
  • tax year summary.

The income data we get from Inland Revenue is only the taxable income for an individual, for example it does not include:

  • superannuation, pensions, or annuities (other than NZ Superannuation, Veteran's Pension or war pensions)
  • supported living payments
  • other government benefits such as income support payments.

Overview of statistical methods for adding admin records to the 2018 Census dataset has more information on the timeliness of administrative data.

Comparing income information from census and administrative sources has more information on the process of using income data from Inland Revenue.

Please note that when examining income data for specific population groups within the subject population, the percentage that is from each combination of data sources may differ from that for the overall subject population.

Missing and residual responses

‘No information’ in the data sources table, is the percentage of the subject population coded to ‘not stated’. In recent previous censuses, non-response was the percentage of the subject population coded to ‘not stated.’

Percentage of ‘not stated’ for 2018

  • Total family income: 8.2 percent
  • Combined parental income for couples with child(ren): 7.0 percent
  • Total extended family income: 11.9 percent
  • Total household income: 7.7 percent
  • Family income sources: 4.1 percent
  • Extended family income sources: 3.9 percent
  • Household income sources: 3.7 percent

Percentage of ‘not stated’ for 2013

  • Total family income: 11.2 percent
  • Combined parental income for couples with child(ren): 8.6 percent
  • Total extended family income: 27.0 percent
  • Total household income: 15.0 percent
  • Family income sources: 1.3 percent
  • Extended family income sources: 1.4 percent
  • Household income sources: 4.6 percent

Percentage of ‘not stated’ for 2006

  • Total family income: 13.9 percent
  • Combined parental income for couples with child(ren): 11.3 percent
  • Total extended family income: 31.0 percent
  • Total household income: 16.2 percent
  • Family income sources: 2.1 percent
  • Extended family income sources: 1.5 percent
  • Household income sources: 4.5 percent

As with previous censuses, there are no other residual categories in the family, extended family, and household income data.

2013 Census data user guide provides more information about non-response in the 2013 Census.

Data quality processes

Overall quality ratings

  • Total family income: Moderate quality
  • Combined parental income for couples with child(ren): Moderate quality
  • Total extended family income: Poor quality
  • Total household income: Moderate quality
  • Family income sources: Moderate quality
  • Extended family income sources: Poor quality
  • Household income sources: Moderate quality

Data was evaluated to assess whether it meets quality standards and is suitable for use.

Three quality metrics contributed to the overall quality rating:

  • data sources and coverage
  • consistency and coherence
  • data quality.

The lowest rated metric determines the overall quality rating.

Data quality assurance for 2018 Census provides more information on the quality rating scale.

Data sources and coverage: Moderate/poor quality

We have assessed the quality of all the data sources that contribute to the output for these variables. To calculate a data sources and coverage quality score for a family, extended family, or household income variable, an average rating method was used.

The rating for a valid census response is defined as 1.00. Ratings for other sources are the best estimates available of their quality relative to a census response.

Data sources and coverage ratings were calculated by adding together all the data source ratings for the input variable (either Total personal income, or Sources of personal income) for the individuals within the family, extended family, or household unit, and then dividing by the number of people in the unit. Individual income data source ratings are covered in more detail in Total personal income and Sources of personal income.

Absentee records with ‘not stated’ income values were ignored in these calculations. If the overall family, extended family, or household income was coded to ‘not stated’, then that unit was given a data sources and coverage score of zero.

The average data sources and coverage scores for each unit were then added together and divided by the total number of records in the subject population. An additional amount of non-response for families and extended families was added to the calculations, to account for the 3.9% of households that we could not derive any information for.

The total average score for each variable then determines the metric rating according to the following range:

  • 98–100 = very high
  • 95–<98 = high
  • 90–<95 = moderate
  • 75–<90 = poor
  • <75 = very poor.

The table below shows the total data sources and coverage score for each of the family, extended family, and household income variables.

Data sources and coverage quality rating table for family, extended family, and household income variables  
Variable Data sources and coverage score Quality rating
Total family income 0.90 Moderate
Combined parental income 0.92 Moderate
Total extended family income 0.86 Poor
Total household income 0.90 Moderate
Family income sources 0.94 Moderate
Extended family income sources 0.93 Moderate
Household income sources 0.94 Moderate

Data Sources, editing and imputation in the 2018 Census has more information on the Canadian census edit and imputation system (CANCEIS) that was used to derive donor responses.

Consistency and coherence: Moderate quality

Family, extended family, and household income data is mostly consistent with expectations across consistency checks. There is an overall difference in the data compared with expectations and benchmarks that can be explained through a combination of real-world change, incorporation of other sources of data, or a change in how the variable has been collected.

Data from the 2018 Census was found to be moderately consistent with data from the Household Economic Survey.

Data quality: Moderate/poor quality

Data quality was determined by assessing how many records in the subject population of a variable had been flagged as having a potential error. An error flag indicates that a couple, family, extended family or household, may have been miscoded or may have a missing person, and therefore have incorrect income or sources of income.

Families and households in the 2018 Census: Data sources, family coding, and data quality has more information on error flags.

Family, extended family, and household income variables with error flag rates below 6 percent were given a data quality rating of moderate, those with between 6 and 9.99 percent were given a rating of poor, while variables with error flag rates of 10 percent or greater were given a rating of very poor.

The table below shows the data quality rating for each variable.

Data quality metric summary table for family, extended family, and household income variables  
Variable Subject population Metric 3 data quality rating
Total family income Families Moderate
Combined parental income Couples with children Moderate
Total extended family income Extended families Poor
Total household income Households Moderate
Family income sources Families Moderate
Extended family income sources Extended families Poor
Household income sources Households Moderate

Quality ratings of related variables

The table below summarises the quality ratings of variables related to family, extended family, and household income variables.

Quality ratings of related variables        
Variable Data sources and coverage Consistency and coherence Data quality Overall quality rating
Number of family income sources Moderate Moderate Moderate Moderate
Number of family income support sources Moderate Moderate Moderate Moderate
Number of household income sources Moderate Moderate Moderate Moderate
Number of household income support sources Moderate Moderate Moderate Moderate

Recommendations for use and further information

The overall quality of the data is moderate quality and comparable with 2006 and 2013 data for the following variables:

  • Total family income
  • Combined parental income for couples with child(ren)
  • Total household income
  • Family income sources
  • Household income sources.

For the following variables, while the overall quality of the data is poor, the data can still be compared to 2013 and 2006 data using caution:

  • Total extended family income
  • Extended family income sources.

When using this data you should be aware that:

Contact our Information Centre for further information about using this variable

Revision Information

Currently viewing revision 4 by on 29/04/2020 3:21:01 a.m.

Revision 4 *
30/04/2020 2:17:29 a.m.

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