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real income

American  
[ree-uhl, reel] / ˈri əl, ril /

noun

  1. the amount of goods and services that money income will buy.


real income Cultural  
  1. Income measured in terms of the goods and services it can buy.


Etymology

Origin of real income

First recorded in 1925–30


Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

See Examples For:

A study by financial advising company SmartAsset of the 94 largest population centers in the U.S. looked at real income growth in 2024, and the Orange County neighborhoods were in the top 15.

From Los Angeles Times ● Aug. 12, 2026

The moderation in growth from this year’s projected 2% is owing to a slowdown in real income growth and consumer spending.

From MarketWatch ● Jun. 3, 2026

“If Brent crude remains above $100 a barrel for long, the tax-refund buffer will eventually be exhausted, real income growth will compress further, and aggregate demand will slow.”

From Barron's ● May 4, 2026

Then there is what economists call the precautionary motive: the money put to one side by those worried about losing their job or suffering a fall in real income as prices surge.

From The Wall Street Journal ● Nov. 10, 2025

The most palpable and the most fundamental effects will be a partial stoppage of earnings in the nations directly concerned, i.e., a reduction in the "real income," which consists of enjoyable goods.

From The New York Times Current History of the European War, Vol. 1, January 9, 1915 What Americans Say to Europe by Various

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