Budget expenditures are directed either for current purposes (current expenditures) or for capital expenditures(capital expenses). Economic characteristics expenses are reflected using the economic classification of expenses and net lending.

Schematically, the economic classification of expenditures and net lending can be represented as follows.

General expenses and net lending (100,000 + 200,000 + 300,000)

General expenses (100000 + 200000)

100000 Currentexpenses (110000 + 120000 + 130000)

110000 Expenditure on goods and services

110100 Remuneration

110200 Payroll accruals

110300 Purchase of goods and services

110400 Payment for other services

120000 Interest payment

120100 Payment of interest on loans from Central Bank

120200 Payment of interest on loans from other levels of government

120300 Payment of interest on other domestic loans

120400 Payment of interest on state external debt

130000

130100 Subsidies

130200 Current transfer payments

130210 Transfers to other levels government controlled

130220 Transfers to non-profit (non-profit) organizations

130230 Transfers to households

200000 Capital expenditure

210000 Acquisition of fixed capital

220000 Acquisition of goods to create state stocks

230000 Acquisition of land and intangible assets

240000 Capital transfers

300000 Net lending

310000 Domestic lending

320000 External lending

Current expenses - ensure the current functioning of public authorities, the provision of financial assistance other budgets and individual sectors of the economy in the form of grants, subsidies and subventions for the current functioning. These include expenditures: on goods and services, wages, contributions to funds social insurance, interest payments for the use of borrowed funds, subsidies, other current transfer payments. Current expenses include reimbursable payments, with the exception of payments for capital assets or goods and services that are intended to create capital assets, as well as any gratuitous payments, the purpose of which is not the acquisition by their recipient of capital assets, compensation for losses associated with the destruction or deterioration of capital assets , or an increase in the financial capital of the recipient of such payments.

Current expenditure is divided into the following categories: expenditure on goods and services, interest payments, subsidies, and current transfer payments.

Spending on goods and services- these are all payments by government bodies related to the payment of wages, payroll charges - employers' contributions to social insurance funds, pension and social security programs, the purchase of goods and services themselves, etc.

Salary includes wages and salaries of workers and employees in cash before deducting withholding taxes and contributions to the Social Security Fund and the Pension Fund. This is the basic salary, bonuses to wages, bonuses, annual additional pay, transportation and food expenses, overtime pay, night shifts, work on weekends, etc., compensation payments to workers on business trips, etc. This category does not include compensation in kind: cost food, clothing and lodging provided either free of charge or at reduced prices.

Payroll accruals include: contributions budget institutions for state social insurance, contributions to the Pension Fund, the Compulsory health insurance. These deductions are made according to firmly established interest rates.

Expenses for the purchase of goods and services refers to goods and services purchased on the market or through loans, excluding capital assets, goods and services intended for the production of fixed assets, strategic and emergency stocks, stocks of goods regulating the activity of the market, and land and intangible assets. This category includes purchases of supplies and consumables (stationery, medicines and dressings, soft inventory and equipment, food, etc.), transportation costs, communication costs, utilities, expenses for geological exploration, repair work and Maintenance, the cost of low-value equipment and equipment with a service life of less than a year. This includes spending on goods and services provided to employees free of charge or at reduced prices.

Interest payments include payments for the use of borrowed funds. The amount of interest can accumulate continuously, but its value is shown at the time of payment. In the case of discount securities, the interest is calculated as the difference between the issue price and the redemption price of the security, and its registration is made at the time of the actual repayment of the debt.

Subsidies and other current transfer payments includes all gratuitous, non-refundable government payments for current purposes.

Subsidies include:

Subsidies to non-financial public enterprises received by them under the same conditions as for private enterprises; subsidies to financial institutions - non-refundable, non-refundable current payments, including transfer payments to cover losses associated with buying and selling foreign exchange;

Actual losses of departmental enterprises arising in cases where the proceeds from the sale of goods and services do not cover those incurred by them production costs;

Subsidies to other enterprises - current payments government agencies non-financial private enterprises, which are additional income to the income of producers received from current production.

Current transfer payments subdivided into payments to national authorities at other levels of government, non-profit organizations, population, other countries (foreign authorities and international organizations, etc.). Transfer payments to national authorities of other levels of government include payments intended for current activities of special and multi-purpose purposes. AT this category may also include revenues from taxes levied by authorities at one level, which are redistributed between other levels of government, transfer payments to private organizations that perform social functions, – hospitals, schools, learned societies etc.

Transfer payments to households are current payments to the population in cash that serve to increase their disposable income. When determining the expenditures of government bodies as a whole, expenditures are also reflected here. off-budget funds: pensions paid from the Pension Fund, payment of benefits and material assistance, payment of benefits from the Social Insurance Fund (benefits for temporary disability, pregnancy and childbirth, childbirth, childcare, etc.). This also includes the payment of benefits for sanatorium treatment and recreation.

Transfer payments to other countries are non-refundable, non-refundable payments to the governments of other countries, international organizations, supranational bodies, individuals, non-profit institutions and other non-resident economic units intended for current purposes.

Under capital spending means payments for the purpose of paying for acquired capital assets, land, intangible assets, strategic and emergency stocks of goods, or gratuitous payments (capital transfers) transferred to their recipients for the purpose of acquiring such assets, compensating for losses incurred due to the destruction or damage to fixed assets, or to increase the financial capital of the recipient of such transfers.

Economic reforms in Russia led to the transformation of a significant part state enterprises in joint-stock companies and the emergence of other forms of non-state enterprises. Non-state enterprises should carry out the development of production at the expense of their own resources, using primarily their savings, loans and raising capital by issuing securities. This is associated with a reduction in centralized budgetary allocations to finance capital expenditures. Public funds are used mainly to solve problems of national importance, the implementation of which is not possible to ensure at the expense of non-state sectors of the economy. However, in market conditions public resources remain important for financing investment in government sector, implementation government programs, support for individual industries and territories. Significant funds are spent on the construction of housing for military personnel, social development and etc.

Capital spending budgets as provided Budget Code RF, are the costs of innovation and investment activity, including expenses for investments in accordance with the approved investment program, funds for investment goals provided as budget loans, overhaul and other similar costs in accordance with economic classification.

Government funding capital investments in conditions market economy is directed to purposes that cannot be financed from other sources.

Acquisition of fixed capital includes spending on new or existing durable goods intended for use in non-military production that are purchased on the market or created in-house by the government. AT this article also includes the cost of capital construction and overhaul.

Creation of state stocks and reserves- this is the cost of purchasing goods for the creation of strategic and emergency stocks, stocks of goods purchased by organizations regulating the activities of the market, as well as stocks of grain and other goods of particular importance to the country.

Acquisition of land and intangible assets covers the costs of acquiring land, forests, inland waters and mineral deposits, but not building objects located on them.

Intangible assets - these are assets that do not represent a financial claim on others (mining rights, fishing rights, long-term land lease agreements, etc.).

Capital transfers are intended to finance the expenses of their recipient for the acquisition of capital assets, compensation for losses associated with the destruction or deterioration of fixed capital, or an increase in the financial capital of the recipient. They are non-reimbursable payments to governments that are unilateral in nature and do not result in the creation or settlement of financial claims. Such payments are treated as capital transfers if the funding authority or the recipient of the transfer considers that the transfer is of a capital nature. It also includes transfer payments to enterprises intended to cover losses accumulated over a number of years or incurred as a result of extraordinary circumstances.

Capital transfers are divided into transfers within the country and abroad.

Domestic capital transfers are non-refundable, non-refundable payments by governments for capital purposes to other levels of government, public non-financial enterprises, financial institutions, and other transfers within the country.

Foreign transfers are non-refundable, non-refundable payments by governments intended for capital purposes, transferred to foreign governments and international organizations, supranational bodies, individuals, non-profit institutions and other economic units that are not residents national economy.

Net lending (lending minus repayments) includes the making of loans and the acquisition of shares less the amount of loans repaid, proceeds from the sale of shares, or return equity.

Net lending (lending minus repayment). The volume of net lending carried out for the purpose of carrying out public policy, includes the making of loans less repayments and the acquisition of shares less their sales for the same purposes. Thus, net lending is the payments of government bodies, as a result of which there are financial requirements in relation to other business entities, either an equity interest in an enterprise is acquired, minus proceeds resulting in a reduction or repayment of such claims, or equity participation in share capital.

These operations are carried out for the purposes of public policy, for example, for lending to investment and other projects that need state support, agriculture, housing construction, restoration of objects destroyed as a result of natural Disasters and wars.

Net lending is divided into internal and external. Domestic lending is lending to national bodies of other levels of government, non-financial state and non-state enterprises, financial institutions and other domestic net lending. External lending is lending to foreign authorities, international organizations, foreign firms and other external net lending.

Transfer payments should be understood as one of the schemes for the redistribution of state budget funds, according to which state budget payments are made to the population and private entrepreneurs as those most in need of them, that is, for social purposes.

Such payments have nothing to do with passing public service. It's about on various subsidies and subsidies from the state aimed at supporting small businesses and their promising areas, the development of innovative technologies, partial financing of agricultural enterprises. This can also include social payments population: pension benefits, scholarships, unemployment benefits, benefits for the disabled, financial support for small peoples, etc.

The essence and history of the appearance of payments

The use of transfer payments indicates the social orientation of state policy.

In 1944, interest was included in the transfer payments to cover the state debt and expenses related to social insurance of the population. This type of payment did not apply to payment for services and work performed in order to achieve profit, therefore, it was not taken into account when calculating the level of GDP.

In the postwar years, due to the need for gratuitous government payments the use of transfer payments began to spread to the unprotected segments of the population, which manifested itself as the payment of income from the treasury to them. The list was replenished with payments aimed at supporting significant industrial facilities.

Peak of social orientation domestic policy country fell on the 50s. At that time, transfer payments were over 30%. The country's difficult situation in the 1980s led to a sharp reduction in transfers. Today, their average share is 15%. In the US, this figure is 12%, in Sweden - about 32%. From the information given in the example, it becomes clear which government of which state is most supported by the population. This is due to a greater extent with the inefficiency of the American system of support for the needy segments of the population.

Since the type of payment in question is the opposite of tax, in modern history it was called "negative tax".

This can be observed in the growth of taxes in direct proportion to the income received from high labor productivity, and the growth (decline) of transfers to the population with a decline in its productivity (decrease in its growth).

Main types of transfer payments

All transfer payments are divided into two main types.

It:

state - that is, those that are involved in the payment of unemployment benefits, pensions, business support, etc.;
private - the occurrence of which is associated with the transfer Money from an individual to another individual or organization.

The considered types of payments cannot be limited to the country of implementation. Often they also include humanitarian and medical care, support for significant sectors of the economy.

AT last years in Russia they are used in small business, medicine, science, agriculture, defense industry.
Transfer payments can be used not only by the state itself, but also by private wealthy individuals and charitable organizations. The latter can co-finance social facilities (hospitals, schools, orphanages), allocate a one-time financial assistance in a relationship the whole organization, specific person.

State transfer payments, in turn, can be directed:

to pay for the social needs of the population - scholarships, pensions (old age, disability), subsidies large families, other. In this case, the source of funds is the mandatory tax payments received by the budget;
for the payment of subsidies to entrepreneurs - the funds are distributed on a competitive basis by the subjects of the Federations;
for interest payments on government debt - this includes transfers from federal budget in favor of the Pension Fund, such social insurance, credit organizations, reimbursement of expenses associated with the sale of government securities.

Thus, transfer payments are a way of evenly distributing income from the holder (successful entrepreneur, state government) to the category of the population that most needs them.

Transfer payments and politics

In addition to performing their direct function, transfer payments play a role important role in the political image of the country. The way incomes are distributed among the strata of the population is the main indicator taken into account when assessing the state's concern for its own people. Such principles of distribution of funds are similar to those described in the book about Robin Hood, who took money from the rich and gave it to the poor.

Similar principles were followed in building communism. And, despite the fact that most of the countries of the world did not support such an economic order, the share of considered payments still managed to take root and become the main indicator of participation in the life of the population on the world stage.

It is no accident that transfers are referred to as leverage. fiscal policy country, which should be understood as a set of measures taken by the government of the country in order to improve financial position country, and realized through the management of income and expenditure. This kind of policy is called fiscal policy.

As mentioned above, in direct contrast to transfers to economic policy countries are taxes. The latter, in fact, represent a part of the income that the population voluntarily gives to the state. While the transfer payment is a voluntary payment by the state to the needy population from the federal budget revenues.

In both the first and second cases, the state acts as the controlling party. It cannot allow socially directed payments to be subject to taxation.

And yet, as the original purpose of transfers, the idea was put forward to smooth out the material inequality that exists between separate categories citizens of the country. It cannot be said that such a goal current position cases have been achieved in full. To date, the need for transfers is greater than the actual revenues to the budget, many times exceeding the amounts that are allocated from it.

a clear indicator social policy states become transfer payments. These payments are of a specific nature and differ from the usual income associated with the performance of work and the provision of services. Certain government commitments are for entrepreneurs and individuals who really need support.

The history and essence of transfer payments

The basis of the state budget is revenue and expenditure parts. Financial crisis and unfavorable economic conditions upset the balance, and measures must be taken to restore it.

Most convenient to use transfer form redistribution. Transfer payments are considered the most appropriate way to provide support to affected populations.

As a result, these payments are targeted. Reforming the taxation system leads to an increase in transfer payments used for their intended purpose.

Payments include support for entrepreneurs in the field of small business and innovative technologies. They are intended for households and low-income individuals who receive scholarships and allowances of various types.

The social orientation of the transfer is beyond doubt. They began to form in the thirties. However, the development took place at the end of World War II. At this point, transfer payments include amounts in the form of interest allocated to pay off the public debt and social insurance costs.

Support for especially vulnerable groups began to be implemented and industrial production, which includes important strategic objects. The heyday came in the fifties, as payments reached 30 percent of the budget.

Now we can talk about a figure of 15 percent. The Swedish government is raising the bar to 32 percent. In the United States, they have fallen to 12 percent from 30 percent in the last thirty years. The reason was an inefficient distribution system.

Payment types

Growth in production and revenue will inevitably lead to a reduction in transfer costs. The reverse picture indicates their increase. Essentially, these government payments fall into three categories.

The first type includes benefits for the unemployed, the poor and large families. They are included in the deductions for pensioners, the disabled and veterans.
The second group includes private transfer payments. Gifts and money are transferred on a voluntary basis from one civilian to another. The category affects subsidies to start-up businessmen and industries with development prospects − Agriculture, innovative technologies, defense industry and medicine.
A typical example of transfer payments of the third type is deductions to pension funds and financial structures who purchased securities. Interest is paid on public debt.

The transfer affects the main and local budgets regions. Wealthy people become participants in the process, providing one-time or regular assistance to organizations and a person in need.

Relationship between policy and payments

The transfer payment is a compromise option for restoring balance and a fair distribution of income. It is important to prevent a sharp stratification of the population, and to provide an opportunity to live at a decent level, not below the subsistence level.

Criticism of this form of transfer of funds does not prevent the active use of payments and maintaining their share on high level. Transfers are becoming an effective instrument of the fiscal policy of any state.

There is a transfer of resources from government agencies and members of society without cost and value creation. Payments are included in excise and customs duties, tariffs and taxes, credit operations and paying interest on debt.

The policy of the state pursues a twofold goal. Population in without fail pays taxes to the treasury. At the same time, there is a reverse movement of payments to a significant percentage of the population.

Crises affect all countries. Refusal of payments is simply impossible. The allocated amounts are still clearly not enough, in the nearest plans of the government to raise the percentage of the transfer to smooth the situation.

Impact of government regulation

Reforming the economy and financial market doesn't stop for a minute. New mechanisms of functioning are being created and it is necessary to resolve the issues that have arisen without delay.

Interbudgetary relations affect central and local authorities. It is necessary to distinguish between rights and obligations, to distribute income along with expenses by levels, taking into account transfer payments.

Regions with prosperity and in need of financing lead to equalization budget security. A number of expenses are transferred to the federal level. Some species are transferred to local entities.

For fiscal year it is difficult to make adjustments to items related to an increase or decrease in income and expenses. The principle of equality should provide for uniform norms for deductions and payments from collected taxes and fees.

The task of the state is to control and effective management. A unified methodology is being created that takes into account the geographical location and climatic conditions, the economic situation and the social situation. The transfer payment becomes an effective leveling tool that does not allow reaching a critical point.

Transfer for the population

The transfer form is really favorably perceived by the population. Transfer types include:

Contributions to pensioners and the unemployed, since they cannot find a job. Young people will be able to study, receive scholarships and material support from relatives and foundations. People with disabilities need treatment and assistance.
The challenge is to improve demographic situation led to compensation payments large families. There are numerous benefits from state and local authorities.
Veterans of war and labor deservedly enjoy privileges. They are associated with payment for services, treatment, free housing and subsidies.
Registering a business will allow you to participate in the state program and apply for a subsidy for development. Attention is paid to promising industries and technologies. Competitions are held, the purchase of materials and training of employees are provided.

Private payments attract many patrons. Schools and orphanages, clinics and scientific institutes, theaters and foundations are sponsored by rich people from their own funds, with no hope of making a profit.

This is partly facilitated by the ongoing tax policy. There are certain benefits for philanthropists, given the explicit form of transfer payments.

Payment source

The revenue part of the budget is formed from many components. The increase in transfer payments is focused on the growth of tax deductions. They become the main source of replenishment, along with excise and customs duties. Monetary form adjacent to natural, affecting products or equipment.

Reasons for absence in GDP

The absence of transfer payments in GDP is quite understandable. There is no return associated with profit from the production of products and services. In part, the transfer affects private and investment spending.

A constant flow of funds is produced in two directions, which does not always reflect reality. Real wages open and known, shadow - hidden from taxation.

TRANSFER PAYMENTS

(transfer payments) Payments of income that are not related to the payment of current services of the production factor. In many countries, the state makes large-scale transfer payments, especially to pensioners, the disabled, and the unemployed. States also make transfer payments abroad. A large number of transfer payments are made by private charities. Transfer payments are not part of national product(national product); as their name implies, they only transfer the ability to spend from one group of people to another.

Economy. Dictionary. - M.: "INFRA-M", Publishing house "Ves Mir". J. Black. General edition: Doctor of Economics Osadchaya I.M.. 2000 .

TRANSFER PAYMENTS

cash payments from the state budget to the population and private entrepreneurs, not related to the performance of their public service, but carried out in the order of redistribution of funds in favor of citizens who need them more through the budget; one of the schemes for the redistribution of state budget funds. It has three common forms: subsidies to private entrepreneurs, interest payments on public debt, state cash payments for social needs (pensions, benefits, etc.).

Raizberg B.A., Lozovsky L.Sh., Starodubtseva E.B.. Modern economic dictionary. - 2nd ed., corrected. Moscow: INFRA-M. 479 p.. 1999 .

Economic dictionary. 2000 .

See what "TRANSFER PAYMENTS" is in other dictionaries:

Transfer payments- (transfer) gratuitous payments by the state to the population for social insurance, interest payments to depositors and government bonds and other payments related to the redistribution of part of the funds, ... ... Economic and Mathematical Dictionary

Gratuitous payments by the state to the population for social insurance, interest payments to owners of deposits and government bonds, and other payments related to the redistribution of part of the funds mobilized to the state budget. AT… … Glossary of business terms

Transfer payments, one of the forms of redistribution of budgetary funds. They are divided into interest payments on public debt, payments for social needs (pensions, benefits and other types of financial assistance to the disabled, unemployed and ... ... Law Dictionary

Transfer payments Dictionary of Russian synonyms ... Synonym dictionary

Transfer payments, one of the forms of redistribution of state budget funds. Terminological dictionary of banking and financial terms. 2011 ... Financial vocabulary

transfer payments- - [L.G. Sumenko. English Russian Dictionary of Information Technologies. M.: GP TsNIIS, 2003.] Topics Information Technology in general EN transfer payment … Technical Translator's Handbook

TRANSFER PAYMENTS- one of the schemes for the redistribution of budgetary funds: payments from the state budget to the population and private entrepreneurs, carried out in the order of redistribution of funds in favor of citizens who need them more through the budget. They have three... Legal Encyclopedia

Transfer payments- TRANSFER PAYMENTS Gratuitous payments to the population from the state budget. Transfer payments are a way of redistributing the income of some segments of the population in favor of others in the form of social benefits, pensions, unemployment benefits, etc. ... ... Dictionary-reference book on economics

transfer payments- Funds transferred to the population by the government. Many benefits from government programs are considered transfer payments, including social security benefits, disability benefits… Financial and investment explanatory dictionary

transfer payments- ‘payments to the population under social insurance programs and interest payments to owners government obligations’ Syn: transfer payments… Thesaurus of Russian business vocabulary

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What does "transfer payments" mean?

Economic glossary of terms

transfer payments

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transfer payments

transfer payments, one of the forms of redistribution of budgetary funds. They are divided into interest payments on public debt, payments for social needs (pensions, benefits and other types of financial assistance to the disabled, unemployed, etc.), subsidies to private entrepreneurs (active financing of fundamental developments, introduction of new competitive equipment, technologies, new control systems, etc.).