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Asset income.
First of all, taxes are withheld less often from asset income like dividends and capital gains than they are withheld from wages.
To capture adaptive capacity, we used labor, education, asset (income)/consumption/per capita, household size, natural capital, and social capital.
Thus, single parents with some asset income, perhaps child support (although this was rather uncommon during this period), might be better off on Unemployment Benefit and Housing Benefit than on Income Support.
For other families, however, all the asset, income and demographic information demanded on the FAFSA form does enter into the congressionally-mandated formula that determines their Expected Family Contribution (EFC) to college.
"Stripping out these two factors, nominal incomes declined at a 5.9% annual rate as compensation declined at a 2.9% pace and most categories of asset income performed abysmally," said Michael Feroli, senior U.S. economist at JPMorgan Chase.
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"The traditional 60/40 approach to building a portfolio is on the way out," said Michael Fredericks, head of retail asset allocation for BlackRock and lead portfolio manager for the BlackRock Multi-Asset Income Fund.
In his own Multi-Asset Income Fund, which has traditionally focused on fixed-income assets, Mr. Fredericks said he had reduced the amount invested in high-yield bonds and moved into stocks that pay high dividends, using an options strategy to lock in gains and protect against market drops.
But it is a complex decision, involving other assets, income taxes and estate plans, so it is best discussed with an adviser.
The poorest households were quite vulnerable, with low assets, income and income diversity.
We sought to characterize the financial liability, assets, income, and debt of surgical residents, and evaluate the necessity for additional financial training.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com