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
Payments are typically set at 15 percent of discretionary income for most, or 10 percent for new borrowers after July 1, 2014.
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Suzanne Blake, MSNBC Newsweek, 10 Oct. 2025
Informal grandparenting care is especially common among low-income families, who may live in communities with few affordable care options and may not have the discretionary income to pay grandparents.
—Marina Lopes, The Atlantic, 6 Oct. 2025
Historically, the plans cap people's monthly payments at a share of their discretionary income and cancel any remaining debt after a certain period, typically 20 years or 25 years.
—Annie Nova, CNBC, 3 Oct. 2025
At the same time, travel experts say rising costs across the board are leaving less discretionary income in Americans' pockets.
—Joel Rose, NPR, 2 Oct. 2025
See All Example Sentences for discretionary income
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Suzanne Blake, MSNBC Newsweek, 10 Oct. 2025
Informal grandparenting care is especially common among low-income families, who may live in communities with few affordable care options and may not have the discretionary income to pay grandparents.
—Marina Lopes, The Atlantic, 6 Oct. 2025
Historically, the plans cap people's monthly payments at a share of their discretionary income and cancel any remaining debt after a certain period, typically 20 years or 25 years.
—Annie Nova, CNBC, 3 Oct. 2025
At the same time, travel experts say rising costs across the board are leaving less discretionary income in Americans' pockets.
—Joel Rose, NPR, 2 Oct. 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 15 Oct. 2025.
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