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

“Expressed as a percentage of disposable income, it’s never been more economical to travel by air,” he said.

From MarketWatch • Apr. 21, 2026

Does a family need a significant disposable income to start in motor racing?

From BBC • Apr. 16, 2026

“I’d rather spend my disposable income on traveling or experiences.”

From The Wall Street Journal • Apr. 14, 2026

To be sure, the amount of households’ disposable income that goes toward gasoline has fallen over the years—muting the impact of higher prices on total aggregate spending trends.

From Barron's • Mar. 31, 2026

My parents never openly discussed their money struggles, but I knew we didn't have disposable income.

From "Americanized" by Sara Saedi