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Thanks to its evolution, modern society has realized the need for social protection of the population. To meet this need, state extra-budgetary funds are being created. The sources of their financing are budget funds, funds of enterprises, as well as funds of the population. Unlike traditional budgets, state extra-budgetary funds guarantee strictly targeted use of funds.
A priori, extra-budgetary funds are used to support socially unprotected segments of society (maintenance of disabled and elderly citizens, provision of material assistance to certain categories of citizens), as well as to finance educational and medical institutions. Directly the amount of funds allocated for the functioning of off-budget funds depends on the level of economic development of each specific country.
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