disposable income

American  

noun

1. the part of a person's income remaining after deducting personal income taxes.

2. (in national income accounting) the total disposable income of all consumers.

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disposable income British  

noun

1. the money a person has available to spend after paying taxes, pension contributions, etc

2. the total amount of money that the individuals in a community, country, etc, have available to buy consumer goods

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Etymology

Origin of disposable income

First recorded in 1945–50

Example Sentences

Disposable income measures the amount of money people have left to spend after taxes have been paid.

From BBC • Nov. 27, 2025

Disposable income is shifting from goods to services, she said.

From Seattle Times • Apr. 25, 2023

Disposable income ticked up 0.4 percent, while inflation-adjusted consumer spending continued to strengthen with a 0.3 percent gain.

From US News • Sep. 2, 2016

Disposable income is any money leftover for saving or spending after taxes.

From Forbes • Aug. 9, 2015

Disposable income has been growing modestly—despite real-wage stagnation—mostly as a result of tax cuts and transfer payments.

From Slate • Jan. 16, 2012