A Refined Household Service Value

This paper proposes a comprehensive methodology for valuing household services based on the skill level employed by the average person. Arguments for the use of unskilled-level occupations and wages are presented as a refinement to other methods that use average wages without consideration to skill level. It builds on the methodology proposed by Sims in the Journal of Legal Economics (2021) and utilizes the most current skill-level data from the U.S. Bureau of Labor Statistics’ Occupational Requirements Survey, 2019-2021 time-use data from the American Time Use Survey, and 2019-2021 occupational wage data from the Occupational Employment and Wage Survey. Additionally, this paper compares the 2019 household service value presented here with the household service value in The Dollar Value of a Day: 2020 Dollar Valuation. The approach to valuing household services outlined here seeks to ensure that the time spent by individuals providing such services is valued in a more appropriate and reliable manner.