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Lecture N 15



“Finance of households”

Finance of households represents the economic money relations on formation and use of funds of money resources with the purpose of maintenance of material and social conditions of life of members of economy and their reproduction.

They carry out two base functions:

Maintenance of needs of family by money resources

Distributive

Budget of household unites the cumulative incomes of the members households and expenditures ensuring them personal needs.

State social transfers- pensions, grants, and other payments from means of budgets of a different level and of off-budget funds.

The money expenditures of households - actual expenses for purchase of material and spiritual values, necessary for continuation life of person, which include the consumer expenditures and expenditures which are not connected directly with consumption.

The concept of individual business formulated in the Law on individual business.

Kinds of individual business are:

Personal

Joint





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