In 2026, the initial Household Income Survey will be conducted.

This will mark India's initial extensive, countrywide survey dedicated solely to household income, encompassing both rural and urban areas.

Lead Agency: Carried out by the National Sample Survey Office (NSSO) under the Ministry of Statistics and Programme Implementation (MoSPI).

The Technical Expert Group (TEG) was established by MoSPI under the leadership of Dr. Surjit S. Bhalla.

Mandate of TEG:

Complete definitions, concepts, survey instruments, and sampling techniques.

Embrace effective strategies from nations such as the US, Australia, Canada, and South Africa to tackle previous underreporting.

Direct estimation techniques, data integrity standards, outcome completion, and release schedules,

Utilize digital instruments to assess technology-induced effects on earnings and income.

Importance of the Household Income Survey

First Precise Mapping of Income Distribution: Despite years of data regarding consumption, poverty, and employment, India does not have official figures on household income levels and their distribution.

The survey addresses an essential void, allowing policymakers to grasp income inequality, regional differences, and the true distribution of economic growth.

Targeting Welfare Programs: The government can enhance the design and execution of subsidies, social safety nets, and direct financial transfers, advancing towards evidence-driven and inclusive policy development.

Examination of Technology Effects: The survey will evaluate the effects of digital platforms, gig work, automation, and informal employment on household income, a subject that current datasets have not sufficiently addressed.

Fiscal and Tax Policy Benchmark: It can offer a practical reference point for tax policies, income brackets, and fiscal redistribution approaches by reflecting actual income movements among various sectors and classes.

International Comparability: Nations such as the USA, Australia, and South Africa frequently perform income assessments.

Difficulties in Administering the Survey

Disclosure Reluctance: Households frequently downplay or hide income, particularly from informal or cash-based origins, worried about taxation or legal oversight.

Varied and Multifaceted Income Streams: Indian families generate income from numerous, disjointed sources—farming, casual labor, remittances, informal businesses, and retirement benefits.

Discrepancy Among Income, Spending, and Savings: Earlier studies indicated that reported income was below overall consumption and savings, pointing to issues with recall precision or intentional misreporting.

Earnings Seasonality and Volatility: In industries such as agriculture and construction, revenues vary significantly throughout different months or seasons. A one-time survey might miss these differences unless it involves longitudinal or repeated visits.

Training of Field Enumerators: Collecting accurate income information necessitates skilled interviewers adept at managing intricate discussions and probing thoughtfully without inducing discomfort or distrust.

Path Forward

Making the Survey a Permanent Fixture: The Household Income Survey should be established as a regular practice instead of a singular event, facilitating the monitoring of trends over time and improving long-term strategic planning.

Thorough training of field investigators is crucial, not just in technical techniques but also in establishing trust with respondents, handling sensitive income inquiries, and recognizing local income trends.