The amount of income a family has left after paying taxes and paying for necessities is called its _____________ income.

Question

Quizplus · Accepted Answer

Discretionary income is the income that a family has left after paying for taxes and necessities like housing, food, and transportation. This income can be used for discretionary purposes such as savings, entertainment, or additional purchases. Personal income refers to an individual's total earnings before any deductions, and marginal income refers to the change in income resulting from a change in production levels or sales. Family income and adjusted income are not commonly used terms in this context.

The Amount of Income a Family Has Left After Paying