SJI 2.1 Number of people with increased income

This indicator focuses on individuals that have benefited in financial terms as a result of participation in any Helvetas project. Their additional income can come from selling products (agricultural or non-agricultural), selling services (e.g., hospitality services), or from wage employment.

Net income: The income which, after deduction of all duties and taxes, is available to the individual. Measured as the average of the income in the last three months for non-agricultural activities and measured as the annual average for agricultural activities. Income can include both cash and in-kind (converted into monetary value).

Increased income refers to a positive change in net income between two points in time that can be directly attributed to the project. This means excluding any income changes that would have occurred without project support. To qualify, the increase must be at least 10% after appropriate adjustments. Inflation and other external factors should be considered to ensure the increase reflects real income growth rather than rising costs. The measurement is based on self-reported changes in net income, with adjustments made where exact income data is available.

Note that increased income for businesses is reported under indicator SJI 2.2. If you are uncertain whether to report the result under SJI 2.1 or SJI 2.2, choose the one that is most relevant (but not both).

In cases where the increased income is earned to the household as a result of combined efforts by the household members, e.g. in the case of smallholders/agricultural activities, count all household members that contributes significantly to the economic activity.

PSD 321

• Gender

• Age

• Belonging to left behind/vulnerable population group

• Agriculture (self-employment), non-agriculture self-employment, wage employment. 

Individuals who have changed their income as a result of HELVETAS-supported activities (employed, self-employed, smallholders)

Income is measured through surveys or financial diaries of individuals who have participated in relevant interventions. While a baseline assessment of net income before the intervention is recommended for tracking changes over time, it is not required for the measurement of this indicator. Since direct income comparisons between baseline and endline may not always be feasible, self-reported changes in net income serve as the primary measurement, with adjustments for inflation and other external factors where applicable.

When possible, administrative records from training programs, financial institutions, or employers should be used to verify reported income changes.

At least Endline (no baseline required)

Participants (primary stakeholders) should be asked to either record their income in a financial diary or participate in a follow-up survey conducted at an appropriate interval after completing the intervention (e.g., three to six months post-training). When feasible, baseline and endline data should be collected during the same time of year to account for seasonal income fluctuations. Self-reported income should be verified with administrative records when available, and qualitative insights such as participant stories and feedback should be collected to better understand income changes and assess whether they can be plausibly attributed to the project.

For Vocational Skills Development (VSD) projects, use the Helvetas Tracer Study templates (see "References and Resources"). The questionnaire for this survey is less thorough than the tracer study. There is no need to use both, either tracer study or the Kobo Questionnaire for SJI 2.1. if you want to measure agricultural income, please use the Kobo form from WFC 1.8 and report net production under 1.8 and net income under SJ 2.1.

This questionnaire can be substituted by a tracer study; however a tracer study cannot be substituted by this questionnaire!

Data Collection for Specific Groups

Self-Employed Individuals & Smallholders:

• Net income is calculated as income from sales minus expenditures, including inputs and hired labor costs.

• Frequent record-keeping methods, such as financial diaries or bookkeeping tools, are recommended to minimize recall bias and account for seasonal variations in income.

Employees in Businesses Supported by the Project (Secondary Stakeholders):

• Where available, income data should be sourced from administrative records (e.g., payroll systems, employer records).

• If administrative data is not available, a survey or financial diaries may be used to collect income information.

If it not possible to track all project participants, it is possible to limit the data collection to a representative sample and extrapolate the findings. The sample size should be large enough to be able to draw conclusions with sufficient confidence (95 percent). For example, a vocational skills development project trained and graduated 500 young men and women. The project needs to cut in resources for M&E and decides to only collect endline data on a representative sample. Using a sample size calculator, they find out that they should survey 220 former participants. When summarizing the data, they find that 70% of the surveyed respondents had higher income then what they had before they participated in the project (measured at baseline). They use this proportion to extrapolate the finding and conclude that 70% * 500 participants = 350 persons increased their net income due to the project.

Challenge: Difficult to track individuals after their participation in the project has ended.
Approach: To mitigate the challenge of locating participants after the project ends, establish a clear follow-up plan during the project. Collect up-to-date contact information e.g. such as phone numbers during the project and encourage participants to update it if needed. Schedule regular check-ins to maintain engagement. Use local networks and organizations to help track participants. To incentivize follow-up participation, consider offering the chance to enter a lottery with prizes for those who complete the follow-up survey.

Challenge: People may be reluctant to disclose their income.
Approach: If accurate income data is difficult to obtain, simplify the process. Offer respondents the option to select their current income from a list of ranges, or ask whether their income has increased, decreased, or stayed the same since participating in the project. To further understand the impact, follow up by asking if they believe these changes are a direct result of their participation. These methods help gather valuable data while respecting participants' privacy and avoiding the need for exact monetary figures.

Challenge: Individuals may experience no or negative change in income from baseline to endline.
Approach: Investigate the reasons behind the stagnant or declining income, considering external factors like economic downturns or job market shifts, as well as personal challenges such as skill gaps or job loss. Gather feedback from participants to identify specific barriers they faced and adjust project support accordingly, such as offering additional training, job placement assistance, or financial literacy programs. Implement targeted interventions for individuals who are struggling and monitor their progress. Document these challenges and the actions taken to address them to improve future project designs.

SDC:
IED_TRI_1 Change in yearly net income. NB, this indicator is not the same, but it can be derived from the same data, allowing both indicators to be reported simultaneously based on the same dataset - if the data includes concrete amounts of income at baseline and endline.

IFAD:
2.1.1 Number of people with increased income.

• SJI 2.2 Number and proportion of supported businesses with increased profit

• SJI 2.3 Number of persons having new or better employment

• SJI 2.4 Number of decent jobs created

• WFC 1.8 Number of smallholders who increased their volume of production per hectare

• VSD 2.2.2 Number of persons who completed a new or better vocational skills development