In the Survey of Income and Program Participation (SIPP) item non-responses are imputed (or allocated), using a hot-deck procedure or, in some instances, are logically imputed using available information. These imputed values are then used in creating aggregate amounts, such as the value of total household income. In the SIPP, total household income is the sum of all income amounts reported or allocated by household members and includes wages and salaries earned, dividends, rental income, Social Security payments, income received from public assistance programs, Supplemental Security Income (SSI), and other sources. Any or all of these income sources could have been allocated and, to SIPP users, it is not well understood how these allocated amounts affect the created value of total household income.

Using the 2001 SIPP panel, this paper looks at the individual components of total household income and discusses the proportion allocated for each component.