ordinary income

American  

noun

1. taxable income, as salary and wages, other than capital gains.

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Example Sentences

These forced withdrawals are payback for years of valuable tax deferral and are taxed at ordinary income rates.

From The Wall Street Journal • Apr. 3, 2026

But they are more valuable as offsets to short-term gains because short-term gains are taxed at the same rates as ordinary income as high as 37%.

From Barron's • Mar. 21, 2026

From a tax perspective, because withdrawals on the brokerage account are taxed as capital gains and not ordinary income, the household “may even come out ahead from a long-term tax perspective,” he noted.

From MarketWatch • Mar. 14, 2026

Withdrawals for education, housing or business will be taxed as ordinary income.

From Los Angeles Times • Jan. 29, 2026

He has found, however, that his success in this direction has diverted about £10,000 from the ordinary income of the Salvation Army.

From Salvation Syrup; Or, Light On Darkest England by Foote, G. W. (George William)