Transfers of individual non-market goods or services (D.632)

4.106 . Definition:

Transfers of individual non-market goods or services (D.632) consist of goods or services provided to individual households free or at prices which are not economically significant, by non-market producers of government units or NPISHs. They correspond to individual consumption expenditure of NPISHs and government (see paragraph 3.85.), less social benefits in kind (D.631) granted to households under social security or social assistance arrangements.

4.107 . Time of recording of social benefits:

1. in cash, they are recorded when the claims on the benefits are established;
2. in kind, they are recorded at the time the services are provided, or at the time the changes of ownership of goods provided directly to households by non-market producers take place.

4.108 . In the system of accounts, social benefits other than social transfers in kind (D.62) are recorded:

1. among uses in the secondary distribution of income account of the sectors granting the benefits;
2. among uses in the external account of primary incomes and current transfers (in the case of benefits granted by the rest of the world);
3. among resources in the secondary distribution of income account of households;
4. among resources in the external account of primary incomes and current transfers (in the case of benefits granted to non-resident households).

Social transfers in kind (D.63) are recorded:

1. among uses in the redistribution of income in kind account of the sectors granting the benefits;
2. among resources in the redistribution of income in kind account of households.

The consumption of the goods and services transferred is recorded in the use of adjusted disposable income account.

By convention there are no social transfers in kind with the rest of the world (they are registered in D.62 social benefits other than social transfers in kind).