Indebtedness: documentation of statistics
The documentation of the statistics describes how the statistics were compiled and what methods were used in the compilation. The data help interpret the figures of the statistics and evaluate their reliability and comparability. The quality report is based on the EU's SIMS model. The documentation also contains change releases describing changes in the statistics and possible specifying methodological descriptions.
If you are looking for statistical figures for these statistics, go to the statistics page: Indebtedness
Quality report
Data description (SIMS 3.1)
Statistics on indebtedness describe debts of private persons and household-dwelling units. The statistics describe indebtedness by gender, age, family type and various regional levels. The data are based on the data of the Tax Administration and the total statistics on income distribution and published once a year.
Sector coverage (SIMS 3.3)
The data of the statistics on indebtedness are completely register-based data on the debts of persons and household-dwelling units covering the whole population. Excluded from the population are persons permanently resident abroad, persons without a postal address and the institutional population (e.g. long-term residents of old people’s homes, care institutions, prisons or hospitals).
This does not include data of personnel service offices and other common lenders on loans whose purpose of use is other than housing loan or student loan guaranteed by the Finnish Government or the Åland Provincial Government and whose debt capital is at most EUR 1,700.
In 2012, the definition of other debts changed so that they no longer include so-called continuous credits granted by financial corporations (see concepts and definitions for more details). The change affects not only the amount of other debts and the numbers of debtors, but also the total sum of debts and average debts. From 2015 onwards, study loans are no longer available separately but they are included in other debts. Housing loans in the statistics on indebtedness do not include housing company loans, which are included in housing loans in financial accounts.
Statistical unit (SIMS 3.5)
The statistical units of the statistics on indebtedness are private person and household-dwelling unit. Most of the examinations are made at household-dwelling unit level but database tables, for example, also contain data on individual persons.
The basic data for the statistics have been drawn from the Tax Administration’s database and combined with the data from total statistics on income distribution. The tax authorities derive the data on loans and interests by type of loan from the annual declarations of financial institutions and other credit providers. The total data on income distribution consists of register data covering the whole population. All of its data are collected from administrative registers.
Statistical population (SIMS 3.6)
The target population of the statistics on indebtedness is Finland's dwelling population at the end of the statistical reference year (31.12.). Excluded from the population are persons permanently resident abroad, persons without a postal address and the institutional population (e.g. long-term residents of old people’s homes, care institutions, prisons or hospitals).
Reference area (SIMS 3.7)
The data cover Finnish household-dwelling units. The regional levels on which the data are examined are the whole country, major region (NUTS2 classification), region (NUTS3 classification), wellbeing services county and municipality.
Time coverage (SIMS 3.8)
The time series data of the statistics on indebtedness cover data from year 2002 onwards.
Comparable time series data are available on the statistics on indebtedness for 2002 to 2011. In 2012, the definition of other debts changed so that they no longer include so-called continuous credits granted by financial corporations. The change affects not only the amount of other debts and the numbers of debtors, but also the total sum of debts and average debts. From 2015 onwards, study loans are no longer available separately, but they are included in other debts.
Base period (SIMS 3.9)
The base year for the real values of monetary data in the statistics on indebtedness is the latest statistical reference year.
Unit of measure (SIMS 4)
The measurement units used in the statistics on indebtedness are euro, per cent (indebtedness rate, share of household-dwelling units) and the number of household-dwelling units or persons.
Reference period (SIMS 5)
The reference period of the statistics is a calendar year.
Classifications (SIMS 3.2)
The classifications used in the statistics on indebtedness are age, type of family, gender, various regional classifications (country, major region, region and municipality), type of debt and rate of indebtedness of household-dwelling units and persons
Concepts and definitions (SIMS 3.4)
Debts charged on a source of income
Debts charged on a source of income include debts attributable to farming and forestry as well as to trade and business activities.
Disposable money income
Households' disposable money income includes monetary income items and benefits in kind connected to employment relationships. Money income does not include imputed income items, of which the main one is imputed rent. The formation of disposable money income can be described as follows: + wages and salaries + entrepreneurial income + property income (without imputed rent) ----------------------------------------------- = factor income + current transfers received (without imputed rent) --------------------------------------------- = gross money income – current transfers paid -------------------------------------------- = disposable money income When current transfers paid are deducted from gross money income, the remaining income is the household's disposable money income. The primary income concept used in the income distribution statistics is household's disposable money income according to international recommendations, in which case sales profits and taxes paid on them do not belong to the scope of the income concept. Following international recommendations, they are treated as a memorandum item outside the income concept. The concept of disposable money income in the total statistics on income distribution differs from disposable money income in the income distribution statistics. As a conceptual difference, the income concept of the total statistics on income distribution includes taxable realised capital gains. For practical reasons, the total statistics on income distribution do not include the majority of interest income and current transfers received and paid between households (e.g. child maintenance support). Real property tax is not deducted in the total statistics on income distribution either.
Gross income
The household's gross income is obtained when current transfers received by the household are added to the household's factor income (wages and salaries, entrepreneurial and property income), but paid current transfers (e.g. taxes and social security contributions) are not deducted.
Household-dwelling unit
A household-dwelling unit consists of the permanent occupants of a dwelling. Persons who according to the Population Information System of the Digital and Population Data Services Agency are institutionalised, or are homeless, or are abroad, or are registered as unknown, do not constitute household-dwelling units. Additionally, persons living in buildings classified as residential homes do not form household-dwelling units if their living quarters do not meet the definition of a dwelling. In the 1980 census household-dwelling units were also formed of these persons. The concept of household-dwelling unit was adopted in the 1980 census. In earlier years the concept of household was used. A household consisted of family members and other persons living together who made common provision for food. A subtenant providing for his or her own food constituted a separate household. Since 1980 subtenants have been classified in the same household-dwelling units with other occupants.
Housing loan
A housing loan is debt incurred by a taxpayer in acquiring or renovating his/her own or family's permanent dwelling.
Income deciles
The income distribution is described by means of tenths or deciles. Sometimes fifths or quintiles are also used, formed in the corresponding way as deciles. An example of how income deciles are formed: Nowadays the decile groups or income deciles used in the income distribution statistics are formed by dividing first the household's income by the household's consumption units (so-called equivalent income). Each household member will have the same equivalent income. The persons are then arranged in the order of their income and divided into ten groups of equal size. Each income decile then has 10 per cent of the population. The first income decile contains the lowest income tenth and the last one the highest income tenth. The income shares of income deciles show how large share of the total sum of the income in question each decile gets.
Indebtedness
The indebtedness of a household-dwelling unit is the share of debts of the annual disposable income as percentages. Indebtedness = (total debts of the household-dwelling unit/total income of the household-dwelling unit)*100
Liabilities (Debts)
Liabilities (Debts) describe the amount of debt per person in a household-dwelling unit at the end of the year (31.12.) Included are loans and credits granted by credit institutions and financial corporations, financial services offices, as well as other common lenders. The debts comprise housing loans and student loans guaranteed by the Finnish Government or the Åland Provincial Government. The debts also comprise loans granted by credit institutions and financial corporations, as well as loans exceeding EUR 1,700, granted by lenders other than credit institutions and financial corporations, the purpose of use of which is other than the aforementioned housing loan or student loan. The debts are grouped according to their purpose of use as follows: 1. Housing loans 2. Student loans 3. Debts charged on a source of income 4. Loans taken up for the purpose of acquiring income 5. Other liabilities
Loans taken up for the purpose of acquiring income
Loans taken up for the purpose of acquiring income are debts incurred in gaining taxable income. The income may be regular income, such as rental, interest or dividend income. The income may also be based on capital appreciation, e.g. if the taxpayer acquires a commercial property or a plot of land for investment purposes.
Other liabilities
Other debts include, for example, loans raised to acquire a free-time residence or a car, as well as other consumer credits. The data for the statistics on indebtedness have been collected from annual return data submitted by financial corporations to the tax authorities. Until 2011, the data included consumer credits and other debts provided they are loans granted by credit institutions and financial corporations or loans exceeding EUR 1,700 granted by other common lenders. From 2012, debt figures do not have to be submitted for continuous credit as defined in Chapter 7, Section 7, Paragraph 1 of the Consumer Protection Act. According to the definition in the Consumer Protection Act, continuous credit refers to all such credits that previously belonged to overdrafts. Continuous credits can include general or special credit card credits, accounts with overdraft facilities, and other credits that consumers can use continuously within the credit limits without a separate decision to grant credit from the lender.
Reference person
The household member with the highest gross income is selected as the reference person in total statistics on income distribution. Income is determined from register data.
Student loan
A student loan refers to a loan guaranteed by the Finnish Government or the Åland Provincial Government.
Institutional mandate (SIMS 6)
The compilation of statistics is guided by the Statistics Act. The Statistics Act contains provisions on collection of data, processing of data and the obligation to provide data. Besides the Statistics Act, the General Data Protection Regulation, the Data Protection Act and the Act on the Openness of Government Activities are applied to processing of data when producing statistics.
Statistics Finland compiles statistics in line with the EU’s regulations applicable to statistics, which steer the statistical agencies of all EU Member States.
Further information: Statistical legislation
Data sharing (SIMS 6.2)
The data compiled for the statistics on indebtedness are also used in the income distribution statistics.
Source data (SIMS 18.1)
All data in the statistics on indebtedness derive from administrative registers.
The data on debts and interests in the statistics on indebtedness are based on the annual tax return data drawn from the Tax Administration's data system. Credit and financial institutions, personnel service offices, employers, central government, municipalities, insurance corporations and pension institutions and insurance companies submit annual reports to the Tax Administration on taxpayers' loans and cheque accounts with overdraft facility (not limit), their purpose of use and paid interests. In the annual reports, the loan-specific loan and interest data concern loans by natural persons (incl. practitioners of trade, agricultural and forestry practitioners) and estates of deceased persons on 31 December. Foreigners can also be debtors. This does not include data of personnel service offices and other common lenders on loans whose purpose of use is other than housing loan or student loan guaranteed by the Finnish Government or the Åland Provincial Government and whose debt capital is at most EUR 1,700. Housing loans do not include housing company loans, which are included in housing loans in financial accounts.
The household-dwelling unit, classification and income data of the statistics on indebtedness derive from the income distribution statistics. The target population of the statistics consists of household-dwelling units, that is, the so-called household-dwelling unit population. Excluded from the population are persons permanently resident abroad, persons without a postal address and the institutional population (e.g. long-term residents of old people’s homes, care institutions, prisons or hospitals).
Frequency of data collection (SIMS 18.2)
The Tax Administration's annual tax return data are collected and submitted to Statistics Finland annually. The data for the total statistics on income distribution are collected annually.
Data collection (SIMS 18.3)
All source data for the statistics on indebtedness derive from administrative registers. In accordance with the agreement, the Tax Administration submits the annual tax return data to Statistics Finland annually. The data collection for the income distribution statistics is described in the documentation of the statistics concerned.
Data validation (SIMS 18.4)
The tax data used in the statistics on indebtedness are also used in the income distribution statistics, so the data are checked both from the perspective of indebtedness statistics and other statistics. Distribution data of variables are calculated from the data and compared with the corresponding data of previous years. For deviating observations, data from the income distribution statistics can be utilised in examinations at individual level.
The data of the statistics on indebtedness can be compared at the level of the whole country with those of Statistics Finland's statistics on financial accounts and the Bank of Finland's financial market statistics. In addition, the data produced by the Tax Administration's statistical service can be utilised in the comparison.
Data compilation (SIMS 18.5)
The debt and interest data of the statistics on indebtedness derive from the Tax Administration.
The household-dwelling unit, classification and income data of the statistics on indebtedness derive from the income distribution statistics. The processes related to their formation are described in the documentation of the income distribution statistics.
The Tax Administration's debt and interest data arrive as a file where separate credits have their own record. The data are combined into a person-level file, which also produces key figures by type of debt for revision of the data.
The time series of the statistics on indebtedness are formed by combining the debt data with the data selected from the income distribution statistics. Time series are formed for both personal and household-dwelling unit data. Finally, the monetary data (debts, interests, disposable monetary income) of the time series are deflated into the money of the statistical reference year.
Overall accuracy (SIMS 13.1)
The data of the statistics on indebtedness derive entirely from administrative registers. Then the sources of error affecting the quality of the statistics are errors in the source data and errors related to the processing of the data. Errors or deficiencies in the source data may arise, for example, in connection with data system updates. On the other hand, changes in taxation are reflected in the data received from the Tax Administration and errors may arise if the changes are not appropriately taken into account in further processing of the data.
Possible bias can be assessed by comparing the key figures calculated from the data and their distributions with the corresponding figures and distributions from previous years. Comparisons can also be made to corresponding key figures obtained from other sources, for example, by comparing to the figures produced by the Tax Administration's statistical services.
Quality assurance (SIMS 11.1)
Quality management requires comprehensive guidance of activities. The European Statistics Code of Practice forms the basis for the common quality system of the European Statistical System.
The Code of Practice is based on 16 principles that concern statistical authorities' independence, accountability and the quality of the processes and data to be published.
The principles are in line with the Fundamental Principles of Official Statistics approved by the United Nations Statistics Commission and are supplementary to them. The quality criteria of Official Statistics of Finland are compatible with the European Statistics Code of Practice.
Further information: European Statistics Code of Practice | Statistics Finland and Recommendations of the Advisory Board of Official Statistics of Finland | Statistics Finland
Quality assessment (SIMS 11.2)
Quality assessment, see OSF quality criteria and recommendation on quality description .
Data revision - policy (SIMS 17.1)
Revisions – i.e. improvements in the accuracy of statistical data already published – are a normal feature of statistical production and result in improved quality of statistics. The principle is that statistical data are based on the best available data and information concerning the statistical phenomenon. On the other hand, the revisions are communicated as transparently as possible in advance. Advance communication ensures that the users can prepare for the data revisions.
The reason why data in statistical releases become revised is often caused by the data becoming supplemented. Then the new, revised statistical figure is based on a wider information basis and describes the phenomenon more accurately than before.
Revisions of statistical data may also be caused by the calculation method used, such as annual benchmarking or updating of weight structures. Changes of base years and used classifications may also cause revisions to data.
Timeliness (SIMS 14.1)
The data for the statistical reference year are published around six months after the end of the statistical reference year. The income data of the target population of the statistics on indebtedness are received only later and the debt data (incl. indebtedness rates) supplemented with them are released around one year from the end of the statistical reference year.
Punctuality (SIMS 14.2)
The data of the statistics on indebtedness are submitted punctually on the release dates pre-announced in the release calendar.
Comparability - over time (SIMS 15.2)
Comparable time series data are available on the statistics on indebtedness for 2002 to 2011. In 2012, the definition of other debts changed so that they no longer include so-called continuous credits granted by financial corporations (see concepts and definitions for more details). The change affects not only the amount of other debts and the numbers of debtors, but also the total sum of debts and average debts. From 2015 onwards, study loans are no longer available separately, but they are included in other debts. Comparable time series data available starting from 2012 (excl. study loans separately).
From 2024 onwards, the classification of debt types changed due to the tax authority's more detailed categorization. In practice, this means that some consumer and other debts were reclassified as business and income source debts.
Coherence – cross domain (SIMS 15.3)
The income data used in the statistics on indebtedness are the same as in the income distribution statistics and, on the other hand, the same annual tax return data that have been formed for the statistics on indebtedness are used in the income distribution statistics.
The statistics on indebtedness are based on data covering the entire household-dwelling unit population, so it complements the picture of the amounts and distribution of debts by type of debts and type of household-dwelling unit or household that is available from sample data (sample data of income distribution statistics, wealth surveys) or macro level statistics on outstanding credit.
Coherence - national accounts (SIMS 15.3.2)
Data on the debts of the household sector are also published in Statistics Finland’s financial accounts. Due to conceptual differences and differences in definitions, the data of these can differ from each other. The household sector’s debts in financial accounts also include housing companies’ shareholder loans, which are missing from the statistics on indebtedness. Based on financial accounts, the indebtedness rates of the household sector are released in national accounts. They differ from those published in the statistics on indebtedness not only as regards the concept of debt but also as regards the concept of income.
Release calendar (SIMS 8.1)
Statistics Finland publishes new statistical data at 8 am on weekdays in its web service. The release times of statistics are given in advance in the release calendar available in the web service. The data become public after they have been updated in the web service.
Further information: Publication principles for statistics at Statistics Finland
Release calendar access (SIMS 8.2)
Future publications of the statistics can be found on the page of the statistics at: Future publications of the statistics
User access (SIMS 8.3)
The data are released to all users at the same time. Statistical data may be processed at Statistics Finland and information on them may be given before release only by persons involved in the production of the statistics concerned or who need the data of the statistics concerned in their own work before the data are published.
Further information: Publication principles for statistics
Unless otherwise specifically stated in connection with the product, data or service concerned, Statistics Finland is the producer and copyright owner of the data. The terms of use for statistical data.
Frequency of dissemination (SIMS 9)
The data of the statistics on indebtedness are released twice a year. The debt data of the previous year are released around six months after the end of the statistical reference year, usually in June. This publication does not yet include indebtedness rates, which are received later when income data are completed. The debt data supplemented with the latest indebtedness rates are released around one year after the end of the statistical reference year, usually in December.
News release (SIMS 10.1)
The release is published annually on the home page of the statistics.
Online database (SIMS 10.3)
The database tables of the statistics can be found in the StatFin database.
Micro-data access (SIMS 10.4)
The subscriber of unit-level data must submit an application for licence to use statistical data to Statistics Finland's research services, and only after the application has been approved can the data be released to the subscriber.
Other (SIMS 10.5)
Data from the statistics on indebtedness can also be published as articles and blogs (Tieto&Trendit) and in social media.
Confidentiality - policy (SIMS 7.1)
The data protection of data collected for statistical purposes is guaranteed. The compilation of statistics is guided by the Statistics Act. Alongside the Statistics Act, the EU’s General Data Protection Regulation and the Finnish Data Protection Act are applied to the processing of personal data. Provisions on the confidentiality of data collected for statistical purposes are laid down in the Act on the Openness of Government Activities.
The data are processed only by persons who need the data in their work. The use of data is restricted by usage rights. All persons employed by Statistics Finland have signed a pledge of secrecy, where they have obliged to keep secret the data prescribed as confidential by virtue of the Statistics Act or the Act on the Openness of Government Activities.
Further information: Data protection | Statistics Finland (stat.fi)
Confidentiality - data treatment (SIMS 7.2)
Statistics Finland's official guidelines on the protection of tabulated personal data based on the principles of statistical ethics and legislation are applied in the basic releases of statistics on indebtedness. The central guideline in data protection activities is to avoid publishing statistical data in a form from which an individual person can be identified. In terms of statistics on indebtedness this means that no individual household-dwelling unit or person can be identified from the published data.
The publications of the statistics on indebtedness contain figures and tables and StatFin database tables. The publication tables do not vary much from one publication to another and contain data aggregated to quite a general level. Database tables are more standardised and more detailed than publication tables in terms of data content.
Efforts have been made to make the classifications of tables less detailed so that data protection problems can be avoided. In addition, the numbers are checked and if necessary, all numbers are suppressed in the categories where the number of household-dwelling units is below the threshold value.