How to calculate Household Income?

Household income is the sum of all the incomes (primary & secondary sources) of every earning member of the family. The household shall mean any family unit, which includes husband, wife and any unmarried children.

Income sources:

Consider all the parameters mentioned below while computing household income

a) Primary source of income

1. Sector of work (Agriculture & allied activities, trading, manufacturing, services, etc.)
2. Nature of work (Self-employed or salaried, regular or seasonal, etc.)
3. Frequency of income (daily/ weekly/ monthly) * Income for each period over one year

b) Other sources of income

1. Remittance
2. Rent/ Lease
3. Pension
4. Government transfer
5. Scholarship

While assessing household income of all members from all sources, ensure that there is no double counting of income (example: counting of salary income of one migrant member also as remittance income for the household). While the income computation may be done on a monthly basis, the income assessment for all members and sources may be carried out over a period of minimum one year to ascertain the stability of the household income.