suspension, and the worker’s previous formal employment spells. PNAD-C collets information about individuals who report to have received the insurance in the period of the survey. It also asks about the time individuals had been actively searching for a new job, though it does not collect precise information about the time when the termination ocurred and about the previous labor history. Unemployment benefit amounts are reported in the survey and used in our estimations. F<sup>23</sup>

- _Salário Familia._ The benefit is granted to formal workers who have children or stepchildren aged 14 or less and receive a salary up to a limit (BRL 1,364.43 in 2019) . In case of disabled children, there is no age limit to the benefit. PNAD-C does not have information on disability, so we consider individuals as disabled when they declare to have received BPC and to be under 65 years old. It is important to note that both parents can receive Salário Família if their salary is below the threshold and they have a child under 14 years old or with a disability. Workers receive a benefit that is proportional to the number of children that match these conditions.

- _Abono Salarial._ This benefit is paid to formal workers who earn up to a limit (two minimum wages). To be eligible, workers must satisfy two criteria: i) have been registered in PIS/PASEP for five years or more and ii) have worked for at least one month in the current calendar year. 23F<sup>24</sup> Because PNAD-C does not provide information on enrollment in PIS/PASEP database, we assume that a person needs to have five years of potential experience to be considered a beneficiary of Abono Salarial, defined as age minus years of schooling minus 5. The benefit value is calculated based on the number of months worked in the previous calendar year considering all formal jobs. Given that this information is not available in PNAD-C data, we use the number of months worked in the current job (capped at 12 months).

- _Bolsa Família._ PNAD-C has a specific question about Bolsa Família, which allows us to identify those who declared to be beneficiaries of such program. However, the total number of beneficiaries measured by the PNAD-C question is substantially smaller than those from administrative records. Given this study’s objective of providing relative comparisons of fiscal policies, it is therefore important to rely on an estimate of the number of Bolsa Família beneficiaries closer to official accounts. To do this, we calculate individual’s per capita household income – under certain assumptions – to determine elegibility to the Bolsa Família program. The main assumption is that individuals under-report their total income, and that the level of under-reporting is higher the lower their formal income is. In particular, we assume that a pre-determined share of households’ declared informal income is considered for the Bolsa Família elegibility (World Bank, 2020).

- _Benefício de Prestação Continuada (BPC)._ There are two different groups targeted by BPC: the elderly poor and the poor with disabilities. In principle, PNAD-C captures information about respondents’ BPC beneficiary status. For individuals in the first group, we verify individuals’ age to confirm the BPC beneficiary status. For the latter, we use the same criteria used to identify persons with disabilities in the case of Salário Família. An important stylized fact of PNAD-C is that the number of individuals reporting to have received BPC is smaller than the number of actual BPC beneficiaries according to administrative data. To represent the BPC population in this fiscal incidence analysis we also note that

> 23 The minimal insurance was the minimum wage in 2019 (BRL 998.00), while the maximum could not surpass 1.74 minimum wages (BRL 1,735.29). In certain cases, we correct the data to make the unemployment insurance income to lie within this range.

> 24 PIS stands for Programa de Integração Social and PASEP for Programa de Formação do Patrimônio do Servidor Público. Both are public funds for unemployment, child benefit and allowance for formal low-paid workers. Workers can only qualify for PIS and PASEP if they are registered in the PIS/PASEP database.

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