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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 economist expects households’ real income to deteriorate further as inflation worsens, driven by supply shortages.

From The Wall Street Journal Jun. 8, 2026

“But at the same time, the U.S. consumer is well positioned to absorb the real income hit from higher gas/energy prices, and AI capex trends show no signs of slowing down.”

From Barron's Apr. 13, 2026

From 1962 to 2024, males between ages 25 and 44 saw real income growth of around 45%.

From MarketWatch Oct. 13, 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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