Match income variables from BHPS to UndSoc
I'm working with the BHPS and UndSoc and would like to create consistent income measures for the same underlying BHPS population extended to UndSoc. I'm interested in annual gross and net household income and, if possible, net disposable income. Can the variables wFIHHYR, wFIHHYL, FIHHYNL, wFIHHYI in the BHPS matched to ones in UndSoc? There is only fihhmngrs_dv (gross monthly HH income) and hhnetinc1 (total net HH income), but upon closer inspection these variables display huge discontinuities across the different panels for the same individuals and households. To rule out changes in household composition I also looked at individual level income, but again there are discontinuities. Any help on how to find consistent income variables without breaches would be appreciated.
#1 Updated by Gundi Knies almost 5 years ago
- Category set to Income
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we do not collect or attempt to estimate annual income in Understanding Society, so with data we provide we cannot continue this series. With some effort it might be possible to come up with a reasonable estimate of annual income (by matching waves and using job histories), but it is not something we are planning to do currently. It is worth noting that current income is the measure normally used in UK income statistics and annual income is very rarely used here: hence the decision not to continue with the annual income measure given other pressure on questionnaire space.
Of course it is possible to establish a consistent series using current (monthly) income. You may want to consider that interviews in the BHPS took place from September to December whilst interviews in Understanding Society are all year round; seasonality in wages may be one of the factors that could help explain differences in the time series for the same person.