disposable income

noun

: income that is left after paying taxes and for things that are essential, such as food and housing
I don't have enough disposable income to buy such luxuries.

Examples of disposable income in a Sentence

Recent Examples on the Web
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According to Morgan Stanley, in the U.S., adults ages 55 and older control about three-quarters of all wealth and 40% of total disposable income. Lara Devgan, Forbes.com, 1 July 2025 Access to public water is even more essential for unhoused individuals and communities without the disposable income to purchase bottled water — and for many reasons that shouldn’t be their only option. Rachel Bustamante, Baltimore Sun, 28 June 2025 Most American metropolises perform well in the report’s measure of disposable income, particularly San Francisco (No. 3), Boston (No. 7), and Chicago (No. 8). Greg McKenna, Fortune, 27 June 2025 These chains typically cater to lower and middle-income families looking for a sit-down meal, but diners are abandoning these companies as their disposable income shrinks because of inflation. Jordan Valinsky, CNN Money, 5 June 2025 See All Example Sentences for disposable income

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Cite this Entry

“Disposable income.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/disposable%20income. Accessed 7 Jul. 2025.

Legal Definition

disposable income

noun
dis·​pos·​able income
: income available for disposal: as
a
: the income remaining to an individual after deduction of taxes
b
: the income of a debtor in bankruptcy that is not necessary to support the debtor or the debtor's dependents
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