Transfers are an effective tool in regulating the social status of the population

The appearance of the concept of moving or redistributing resources (material or monetary) accompanies humanity for many centuries, but it was called differently, and the essence was interpreted somewhat differently.

In the modern understanding, transfers are:

- transfer of transaction results between the accounts of the entity;

- the order of the bank in writing to its correspondent about the issuance of a certain amount of money to the specified person;

- transfer of ownership of registered securities from one person to another with mandatory registration of transfer of ownership in the relevant company registries, after which financial reports, dividends and announcements of the meeting must be sent to the new owner;

- with the help of the transfer document, the shares of JSCs are redistributed among their founders;

- transfer of monetary resources from the fund of financial regional support to the budgets of the lower territorial level. At the same time, the share of each constituent entity of the Russian Federation requiring such financial assistance is established by calculation.

Thus, transfers are various payments that are redistributed at the federal level.

An analysis of the current system of such distributions in Russia shows that it does not fulfill the function of social protection as a mechanism for regulating the incomes of the population that badly needs such support.

Therefore, social transfers are represented by a system of measures of in-kind and cash aid to the poor, not related to their participation in the activities of companies both now and in the past. The purpose of their provision is the humanization of public relations, which prevents the growth of crime and supports domestic demand.

The share and volume of resources directed by the state for needs depend on the model of social orientation and can be different. Thus, in the early 1990s, 16% of GDP was allocated to social needs in Japan, 19.4% in the USA, 27.5% in the FRG, and 39.8% in Sweden.

During the economic crisis, the need for social support is growing, and transfers are moving to the forefront. This can turn into an unbearable burden for the Russian economy, and its gradual increase may conflict with economic growth. Today in Russia there are over a thousand normative acts that provide for more than 250 social benefits for 200 categories of citizens. The number of people applying for these benefits and compensation reaches 100 million.

The design of a market economy in itself makes state intervention in the revenue sphere inevitable for their redistribution. Transfers successfully solve this, because thanks to this instrument, the government has funds that are supposed to be directed to meet certain needs (for example, ecology, defense and the development of social infrastructure).

That is why the coordination of some financial flows that are sent to the social sphere in the form of budgets of subjects and state social funds is extremely necessary.

Unlike social transfers, government transfers are payments that are not related to the purchase of services or goods. These include scholarships, pensions, health insurance payments and some benefits.