discretionary income
noun
: income that is left after paying for things that are essential, such as food and housing
She has enough discretionary income to pay for a nice vacation each year.
Examples of discretionary income in a Sentence
Recent Examples on the Web
Without structured financial planning, revenge saving momentum may taper off, particularly as economic pressures (e.g., inflation) erode discretionary income.
—
Ron Shevlin, Forbes.com, 1 July 2025
The result is a smaller discretionary income and, thus, a smaller monthly payment required.
—Shahar Ziv, Forbes.com, 13 May 2025
However, discretionary income under this plan is calculated at 100% of your state’s poverty guideline.
—Robert Farrington, Forbes, 18 Dec. 2024
Wealth inequality, rising rent and higher cost of living mean that young people have less discretionary income.
—Kian Bakhtiari, Forbes.com, 25 May 2025
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Ron Shevlin, Forbes.com, 1 July 2025
The result is a smaller discretionary income and, thus, a smaller monthly payment required.
—Shahar Ziv, Forbes.com, 13 May 2025
However, discretionary income under this plan is calculated at 100% of your state’s poverty guideline.
—Robert Farrington, Forbes, 18 Dec. 2024
Wealth inequality, rising rent and higher cost of living mean that young people have less discretionary income.
—Kian Bakhtiari, Forbes.com, 25 May 2025
See All Example Sentences for discretionary income
Cite this Entry
“Discretionary income.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/discretionary%20income. Accessed 17 Jul. 2025.
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