what do you mean disposable income
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Disposable income, also known as disposable personal income (DPI), is the amount of money that households have available for spending and saving after income taxes have been accounted for.
this is the answer
Disposable income, also known as disposable personal income (DPI), is the amount of money that households have available for spending and saving after income taxes have been accounted for.
Definition: Disposable income, sometimes called disposable personal income (DPI), is the total earnings a household makes that are available to save or spend after taxes have been paid. In other words, it's a household's take home pay after taxes and other employee deductions have been taken out of their paychecks.
Calculating disposable income is fairly simple. Subtract your tax liability from your income (e.g., wages, commissions, etc.) to find your DPI. If your DPI is less than what you need for essential items, such as rent and food, you may need to make lifestyle changes or take a bigger cut of your business's profits.
For example, a family with an annual household income of $90,000 that pays $20,000 in taxes has a net disposable income of $70,000 ($90,000 - $20,000). Economists use disposable income to identify nationwide trends in households' savings and spending habits.
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