Personal income- Consists of the income that persons receive in return for their provision of labor, land, and capital used in current production as well as other income, such as personal current transfer receipts. In the state and local personal income accounts the personal income of an area represents the income received by or on behalf of the persons residing in that area. It is calculated as the sum of wages and salaries, supplements to wages and salaries, proprietors' income with inventory valuation (IVA) and capital consumption adjustments (CCAdj), rental income of persons with capital consumption adjustment (CCAdj), personal dividend income, personal interest income, and personal current transfer receipts, less contributions for government social insurance plus the adjustment for residence.

Net earnings by place of residence- Consists of earnings by place of work less contributions for government social insurance plus the adjustment for residence.

Personal current transfer receipts- Receipts of persons from government and business for which no current services are performed. Current transfer receipts from government include Social Security benefits, medical benefits, veterans' benefits, and unemployment insurance benefits. Current transfer receipts from business include liability payments for personal injury and corporate gifts to nonprofit institutions.

Supplemental Security Income (SSI) benefits, Earned Income Tax Credit (EITC), Additional Child Tax Credit, Supplemental Nutrition Assistance Program (SNAP) benefits, family assistance, and other income maintenance benefits, including general assistance.

Unemployment insurance compensation- Unemployment insurance compensation is made up of the following:

State unemployment compensation are benefits consisting mainly of the payments received by individuals under state-administered unemployment insurance (UI) programs, but they include the special benefits authorized by federal legislation for periods of high unemployment. The provisions that govern the eligibility, timing, and amount of benefit payments vary among the states, but the provisions that govern the coverage and financing are uniform nationally. Unemployment compensation of Federal civilian employees are benefits which are received by former federal civilian employees under a federal program administered by the state employment security agencies acting as agents for the U.S. Government.

Unemployment compensation of railroad employees are benefits which are received by railroad workers who are unemployed because of sickness or because work is unavailable in the railroad industry and in related industries, such as carrier affiliates. This UI program is administered by the Railroad Retirement Board (RRB) under a federal formula that is applicable throughout the Nation. Unemployment compensation of veterans are benefits which are received by unemployed veterans who have recently separated from military service and who are not eligible for military retirement benefits.

Trade adjustment assistance are benefits received by workers who are unemployed because of the adverse economic effects of international trade arrangements.

Retirement and other- Personal current transfer receipts excluding unemployment insurance compensation and income maintenance benefits. Retirement and other consists of retirement and disability insurance benefits, medical benefits, veterans' benefits, education and training assistance, other transfer receipts of individuals from governments, current transfer receipts of nonprofit institutions, current transfer receipts of individuals from businesses.

Dividends, interest, and rent- Consists of personal dividend income, personal interest income, and rental income of persons with capital consumption adjustment (CCAdj).

Population- The resident population of the area.

Per capita personal income- The personal income of a given area divided by the resident population of the area. See "personal income."

Per capita net earnings- Net earnings by place of residence of a given area divided by the resident population of the area. See "net earnings by place of residence."

Per capita personal current transfer receipts- Personal current transfer receipts of a given area divided by the resident population of the area.

Per capita income maintenance benefits- Income maintenance benefits of a given area divided by the resident population of the area.

Per capita unemployment insurance compensation- Unemployment insurance compensation of a given area divided by the resident population of the area. See "unemployment insurance compensation."

Per capita retirement and other- Retirement and other of a given area divided by the resident population of the area.

Per capita dividends, interest, and rent- Dividends, interest, and rent of a given area divided by the resident population of the area.

Earnings by place of work- Consists of compensation of employees and proprietors' income.

Wages and salaries- The remuneration receivable by employees (including corporate officers) from employers for the provision of labor services. It includes commissions, tips, and bonuses; employee gains from exercising stock options; and pay-in-kind. Judicial fees paid to jurors and witnesses are classified as wages and salaries. Wages and salaries are measured before deductions, such as social security contributions, union dues, and voluntary employee contributions to defined contribution pension plans.

Supplements to wages and salaries- Consists of employer contributions for government social insurance and employer contributions for employee pension and insurance funds.

Employer contributions for employee pension and insurance funds- Consists of employer payments to private and government pension plans and to private insurance funds such as for group health and life insurance; workers' compensation; and supplemental unemployment insurance.

Employer contributions for government social insurance- Consists of employer payments under the following federal, state, and local government programs: old-age, survivors, and disability insurance; hospital insurance; unemployment insurance; railroad retirement; pension benefit guaranty; veterans' life insurance; publicly administered workers' compensation; military medical insurance; and temporary disability insurance.

Proprietors' income- Proprietors' income with inventory valuation and capital consumption adjustments is the current-production income (including income in kind) of sole proprietorships, partnerships, and tax-exempt cooperatives. Corporate directors' fees are included in proprietors' income. Proprietors' income includes the interest income received by financial partnerships and the net rental real estate income of those partnerships primarily engaged in the real estate business.

Farm proprietors' income- Farm proprietors' income consists of the income that is received by the sole proprietorships and the partnerships that operate farms. It excludes the income that is received by corporate farms.

Nonfarm proprietors' income- Nonfarm Proprietors' Income consists of the income that is received by nonfarm sole proprietorships and partnerships and the income that is received by tax-exempt cooperatives.

The national estimates of nonfarm proprietors' income are primarily derived from income tax data. Because these data do not always reflect current production and because they are incomplete, the estimates also include four major adjustments--the inventory valuation adjustment, the capital consumption adjustment, the "misreporting" adjustment, and the adjustment for the net margins on owner-built housing. The inventory valuation adjustment offsets the effects of the gains and the losses that result from changes in the prices of products withdrawn from inventories; this adjustment for recent years has been small, but it is important to the definition of proprietors' income.

The capital consumption adjustment changes the value of the consumption, or depreciation, of fixed capital from the historical-cost basis used in the source data to a replacement-cost basis.

The "misreporting" adjustment adds an estimate of the income of sole proprietors and partnerships that is not reported on tax returns.

The adjustment for the net margins on owner-built housing is an addition to the estimate for the construction industry. It is the imputed net income of individuals from the construction or renovation of their own dwellings.

The source data necessary to prepare these adjustments are available only at the national level. Therefore, the national estimates of nonfarm proprietors' income that include the adjustments are allocated to states, and these state estimates are allocated to the counties, in proportion to tax return data that do not reflect the adjustments.

In addition, the national estimates include adjustments made to reflect decreases in monetary and imputed income that result from damage to fixed capital and to inventories that is caused by disasters, such as hurricanes, floods, and earthquakes. These adjustments are attributed to states and counties on the basis of information from the Federal Emergency Management Agency.

Employment- A count of jobs, both full-time and part-time. It includes wage and salary jobs, sole proprietorships, and individual general partners, but not unpaid family workers nor volunteers.

Wage and salary employment- Wage and salary employment, also referred to as wage and salary jobs, measures the average annual number of full-time and part-time jobs in each area by place of work. All jobs for which wages and salaries are paid are counted. Although compensation paid to jurors, expert legal witnesses, prisoners, and justices of the peace (for marriage fees), is counted in wages and salaries, these activities are not counted as jobs in wage and salary employment. Corporate directorships are counted as self-employment.

The following description of the sources and methods used in estimating wage and salary employment is divided into two sections: Employment in industries covered by unemployment insurance (UI) programs, and employment in industries not covered by UI.

Proprietors employment- Consists of farm proprietors employment and nonfarm proprietors employment.

Farm proprietors employment- Consists of sole proprietors and non-corporate partners in the farm industry.

Nonfarm proprietors employment- Consists of the number of nonfarm sole proprietorships and the number of individual general partners in nonfarm partnerships.

Average earnings per job- Average earnings per job is total earnings divided by total full-time and part-time employment. Earnings is the sum of three components of personal income--wages and salaries, supplements to wages and salaries, and proprietors' income.

The employment series for states and local areas comprises estimates of the number of jobs, full-time plus part-time, by place of work. Full-time and part-time jobs are counted at equal weight. Both employment for wages and salaries and proprietors employment are included, but the employment of unpaid family workers and volunteers is not included.

Average wages and salaries- Average wages and salaries are wages and salaries divided by total wage and salary employment.

Average nonfarm proprietors' income- Average nonfarm proprietors' income is nonfarm proprietors' income divided by the nonfarm proprietors employment.