Government Finance Statistics Manual 2014

116 Government Finance Statistics Manual 2014

fl ow occurs, irrespective of when the labor exchange

takes place. Wages and salaries in kind are not re-

corded in the cash basis of recording since no cash

fl ows are involved.

6.11 Compensation of employees comprises wages

and salaries (211) and employers’ social contributions

(212) payable by employers on behalf of employees to

social insurance schemes.

Wages and salaries [GFS] (211)

6.12 Wages and salaries are compensation of em-

ployees payable in cash and/or in kind, except for

social contributions payable by employers. As indi-

cated in Table 6.2, wages and salaries [GFS] (211)

exclude amounts connected with own-account capi-

tal formation. Th ey include amounts withheld from

wages and salaries by the employer for administra-

tive convenience or other reasons, such as social

contributions, income taxes, and other deductibles,

payable by the employee. Th ese deductibles are

oft en paid directly to social insurance schemes, tax

authorities, etc., on behalf of the employee. Wages

and salaries may be payable in various ways, in-

cluding goods or services provided to employees as

remuneration in kind instead of, or in addition to,

remuneration in cash. Including remuneration in

kind allows GFS to measure the full cost of labor

employed.

Table 6.1 Summary Economic Classifi cation of Expense

2 Expense 27 Social benefi ts [GFS]^1

21 Compensation of employees [GFS]^1271 Social security benefi ts [GFS]

211 Wages and salaries [GFS] 2711 Social security benefi ts in cash [GFS]

2111 Wages and salaries in cash [GFS] 2712 Social security benefi ts in kind [GFS]

2112 Wages and salaries in kind [GFS] 272 Social assistance benefi ts [GFS]

212 Employers’ social contributions [GFS] 2721 Social assistance benefi ts in cash [GFS]

2121 Actual employers’ social contributions [GFS] 2722 Social assistance benefi ts in kind [GFS]

2122 Imputed employers’ social contributions [GFS] 273 Employment-related social benefi ts [GFS]

22

23

24

241

242

243

25

251

252

253

26

261

2611

2612

262

2621

2622

263

2631

2632

Use of goods and services

Consumption of fi xed capital [GFS]^1

Interest [GFS]^1

To nonresidents [GFS]

To residents other than general government

[GFS]

To other general government units [GFS]

Subsidies^1

To public corporations

To private enterprises

To other sectors

Grants^1

To foreign governments

Current

Capital

To international organizations

Current

Capital

To other general government units

Current

Capital

2731 Employment-related social benefi ts in

cash [GFS]

2732 Employment-related social benefi ts in

kind [GFS]

28 Other expense

281 Property expense other than interest

2811 Dividends^1

2812 Withdrawals of income from

quasi-corporations

2813 Property expense for investment income

disbursements

2814

2815

282

2821

2822

283

2831

2832

Rent

Reinvested earnings on foreign direct

investment

Transfers not elsewhere classifi ed

Current transfers not elsewhere classifi ed

Capital transfers not elsewhere classifi ed

Premiums, fees, and claims related to

nonlife insurance and standardized

guarantee schemes^1

Premiums, fees, and current claims

Capital claims

(^1) Indicates that further breakdown may be analytically useful and is presented in detailed tables.