What is Income: Definition and 54 Discussions

Income is the consumption and saving opportunity gained by an entity within a specified timeframe, which is generally expressed in monetary terms.For households and individuals, "income is the sum of all the wages, salaries, profits, interest payments, rents, and other forms of earnings received in a given period of time." (also known as gross income). Net income is defined as the gross income minus taxes and other deductions (e.g., mandatory pension contributions), and is usually the basis to calculate how much income tax is owed.
In the field of public economics, the concept may comprise the accumulation of both monetary and non-monetary consumption ability, with the former (monetary) being used as a proxy for total income.
For a firm, gross income can be defined as sum of all revenue minus the cost of goods sold. Net income nets out expenses: net income equals revenue minus cost of goods sold, expenses, depreciation, interest, and taxes.

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  1. bagasme

    Effects and Implications of 100% Income Tax Rate

    Hello all, Suppose that in a monopoly game (board game), a player passed through Go and receive $2000 as salary. Then he landed on Income Tax and he paid $2000 too. It means that he paid 100% tax rate, in other words he paid all of his salary only for the tax. What the effects and implications...
  2. Posty McPostface

    On the benefits of basic income.

    I've had many discussions with a friend about basic income and read about it online from reputable news sources. One of the major issues in even having a discussion about the notion of basic income is establishing how much money do people get. I've taken the lower bound estimate based on the...
  3. Richie Smash

    Inequality to represent minimum monthly income.

    Homework Statement I Type I Cost per pupil I I Full session I $50 I I Half session I $30 I The above table shows the cost of lessons per month to students attending a private class. The class operates under the following limitations...
  4. liometopum

    The Fundamental Delusion of Scientists?

    I was listening to a lecture by Peter Thiel. He argued that "scientists never make any money", and are "always deluded into thinking they live in a just universe that will reward them for their work, and this is probably the fundamental delusion that scientists tend to suffer from in our...
  5. CynicusRex

    Elon Musk Supports Universal Basic Income: A Needed Advancement

    I'm seriously happy Elon Musk is behind a universal basic income. It's something we desperately need to advance.
  6. N

    MHB Word problem : income tax and mixture

    Hello everyone! I need help on setting the equations for these problems. For prob 30. I could not solve it because there's no given amount in lbs of the mixture. For prob 28 I really had no idea what it is asking. Please bear with the monetary unit used those problems. These problems are...
  7. W

    Is there really a good income in IT market?

    My husband has a plan to work as a freelance technical support provider soon. I wonder, if it will be good for him. What's your opinion about it? Do you think that it could be a promising career? I understand that not all companies have an internal technical support team. Am I correct? Your...
  8. J

    What Does Box 1 on a W-2 Form Represent?

    On the W-2, what is the taxable income shown (box 1)? Is that the total amount of money I got to keep on each check, or is it the total amount each check was before taxes were taken out. In other words, which of the following is right: box 1 + box 2 = total money earned before tax OR box 1 -...
  9. EternusVia

    Income Distribution Data Sources for Statistical Analyses

    Hello all! I'm hoping you will be able to direct me to sources of raw income1 / employment data. Hopefully this thread can be a help to others who have similar needs in the future, as well. (I did a quick search for a similar thread and didn't find anything - please correct me if I'm wrong.)...
  10. R

    Engineering Engineering & Physics Degrees: Salary Overview

    Hello, I'm currently in college and getting a bachelors degree in physics and engineering, I also might get a bachelors in math too. I was wondering how much money I would start off getting with those degrees together? I've seen how much engineers get and physicist but what if you have both? Thanks
  11. S

    MHB Possible title: Solving for Equilibrium National Income in a Simple Model

    4) Consider the national income model Y =C +I C = aYd + 50 I = 24 1 Yd = Y T T = 20 Show that the equilibrium level of national income is given by Y = 741 20aa Transpose this equation to express a in terms of Y . Hence, or otherwise, …find the value of a for which Y = 155 and …find the value of C:
  12. L

    US income by religious affiliation

    Apparently 43% of American Hindus make over 100k a year. http://www.pewforum.org/2009/01/30/income-distribution-within-us-religious-groups/ That was surprising to me. I see Hindus in their native countries and they don't seem to be doing so well, but in America, apparently they're doing...
  13. W

    How to earn a massive income through Mathematics.

    Hi all, I'm a student in Mathematical Science in which I'm specialising in Mathematics and a little Computer Programming. I love Maths and definitely have a flair for it. I'm also extremely ambitious and am massively motivated by money, I love it. :P Ideally I'd be earning over 250k or even more...
  14. J

    News Negative Income Tax: A Progressive & Simple Proposal w/ Benefits for All

    I am making a proposal that the United State abandons its current tax code and adopts the Negative Income Tax as its federal tax model. For those who don't know the Negative Income Tax would annually tax every person at the same percentage and it would give a tax deduction/reimbursement of the...
  15. D

    Can You File a Tax Return for a Previous Year with an Old W-2?

    I have a W-2 from 2007 which I never filed for an income tax refund... is it still possible to file this?
  16. S

    Maximizing U of O Girls Club Soccer Team Income

    Homework Statement u of o girls club soccer team is raffling off a cicycle to raise money for new equipment. IF they charge 4 dollars per ticket they will sell 360 tickets for each 50 cent increase ticket price, they will sell 20 fewer tickets. what ticket price should they charge to maximize...
  17. S

    Finding the yearly income from energy in W

    Homework Statement Approximately 1.7*10^6 kg of water drops 60 m over Niagara Falls every second. 1*10^9 J of potential energy is lost every second by the falling water. If an electrical generating plant could convert all of the potential energy into electrical energy it would have a power...
  18. russ_watters

    News Should Everyone who is Able Pay Federal Income Tax?

    I'd like to gain some clarity on part of the issue with the Romney "47%" statement. There are a lot of "yeah, but..." responses to it, but few people who give such responses ever make it clear on this point: Should everyone who is not elderly, poor, a student, or in some other hardship pay...
  19. C

    Help with income raise problem, possible exponential problem?

    Homework Statement Hi, This is probably an easy equation and I know this is the pre-cal section and this is for my engineering math class but I feel like people in a pre-cal forum should be able to help! I'm writing an essay for my engineering math class and I am trying to calculate the income...
  20. 2

    News France to introduce 75% income tax rate on earnings above 1 million euros

    http://www.businessinsider.com/france-millionaires-tax-2012-7 I'm green with envy - oh to live in a country with a genuinely progressive socialist government. Perhaps a guillotine could be imported afterall...
  21. T

    Is GDP and National Income the Same Thing?

    I noticed in my textbook they said you can measure national income by measuring the GDP from either the expenditure or income side. So would this mean that national income and GDP have the same value?
  22. russ_watters

    News Income Inequality Causes Social Unrest?

    Copied from the OWS May Day protest thread... This is a very common argument on here and I've seen it in other contexts as well. Usually it is in the context of a larger discussion about income inequality, but it is treated as a self-evident, throw-away claim that doesn't ever get...
  23. M

    Greg Mankiw on income distribution.

    Hey, is greg mankiw misreading the survey when he writes "In other words, one reason that people differ in their incomes is that some people care more about having a high income than others", the survey takes data from people who took their education on elite schools. I mean he goes from a...
  24. Vanadium 50

    News How Accurately Do Income and Wealth Statistics Reflect Reality?

    I've read a lot of posts, and think it might be helpful to point out some facts that I think would help clarify people's arguments. 1. Income is not wealth. Using one as a proxy for the other is like using velocity as a proxy for position. A small disparity in income, acting over time...
  25. B

    What Could Be Causing the Discrepancy in My Fixed Income Mathematics Solution?

    This problem comes from a book on fixed income finance. The solution is provided, so I gave it a shot and had a slight discrepancy. Probably just due to my rustiness, so hopefully it's an easy one for you guys. Homework Statement Differentiate the following expression with respect to t...
  26. N

    Bestseller Authors: Income of Michio Kaku & Stephen Hawking

    I've read that authors of books get paid very little and have many challenges in getting their book published. But my question is, how much would Michio Kaku make out of "Physics of the Impossible" or Stephen Hawking out of "The universe in a Nutshell"? Both of which where bestsellers and...
  27. K

    Calculating income after taxes - how?

    Hello all! I am in a position where I am likely to be making quite a bit more money in the next year or two than I have previously. I would like to plan my finances around this and estimate me income after taxes. Is there an online calculator I can use to calculate such a thing? How can I...
  28. Gokul43201

    News Federal Government Revenue: the Income Tax

    This thread is meant to re-examine current systems of revenue generation and, more importantly, explore the potential for alternatives out of which governments may provide citizens with the services that they are charged with providing. The thread is not meant to be restricted to solutions for...
  29. Pengwuino

    Why Has Discussing Income Always Been Taboo?

    I've always been raised with the idea, as one person on another phone put it, that there are three things you don't talk about in life: sex, death, and income. Most ideas that are carried down from generation to generation seem to, at the least have a good basis for why they're good ideas...
  30. C

    News Can Income Tax Rate Hikes Close the Deficit? (interesting article)

    AUTHOR: William Ahern, Director of Policy and Communications, The Tax Foundation Ed. Note: Our Fiscal Future has invited distinguished guest bloggers to share their views about how to get the nation on a sustainable fiscal path. The views presented are their own, and do not necessarily...
  31. M

    What factors should be considered when calculating the income of Apple?

    Given Apple's current stance in the stock market, how do I calculate their income? I know that usually I would use the EPS formula but there are no dividends/yield.
  32. C

    News US Income Tax Rate Increase: Fact or Fiction?

    I heard from a source I would usually consider reliable on this matter that the top US income tax rate was going to be increased from 35 to 39% (not this year but in a few). Is this true? I wasn't able to find anything online in a brief search.
  33. M

    News What is the Impact of Income Inequality on Social Problems?

    There was a thread a while back where I claimed that inequality is more important than poverty when it comes to crime and other social problems. I don't think anybody agreed with me. Anyway, I found an interesting link with information about it...
  34. Mentallic

    Maximizing Income in Evony: A Mathematical Analysis

    Homework Statement I derived this problem from back when I used to play Evony. I do not endorse this game whatsoever, and I think it has made enough of a mockery for itself with its plentiful supply of false and explicit advertisements such that I don't need to add to its shame. Anyway, my...
  35. A

    General Basic Income: A Way Forward in Automation Age?

    The question is, inspired by Marshall Brain's "Robotic Nation", which states that more than half of the jobs that exist today will become automated in the next few decades. With 50% unemployment, there would be a drastic shift in the way that wealth is generated and distributed. What do...
  36. D

    Solving a Math Problem on Income with 5% Increases over 25 Years

    How do you solve this? There is this kind of question in our test and I don't know how will I do it. You're working in a company. Your starting income is 5000. Every year, the income will increase by 5%. What is your total income on your 25th year in the company?
  37. S

    Maximizing Income: Algebra II Problem Solving Tips

    Homework Statement A company makes two models of light fixtures, A and B, each of which must be assembled and packed. The time required to Assemble model A is 12 minutes, and model B takes 18 minutes. It takes 2 minutes to package model A and 1 minute to package model B. Each week there are an...
  38. A

    Highest income to working-hour ratio

    Highest "income to working-hour" ratio Which careers have the best income to working hour ratio?
  39. T

    News The FairTax in place of income tax

    The "FairTax" in place of income tax First of all; I'm not interested in any sort of partisan quibbles as they often degenerate into arguments that go nowhere. People will subscribe to what they subscribe to... I'm just putting this out there to get your thoughts and perhaps to make you aware...
  40. O

    News Real Time discusses income inequality and the Great Depression

    [url]iL6YS-8rBnE[/youtube] On Bill Maher's latest "Real Time" show, with one of the best panels he's had in months, he quotes BYU graduate, economist, and former fed chairman Marriner S. Eccles, who noted that when there is a large inequality in a society and the rich hold all the cards, it...
  41. J

    Physics Working on bachelor's in physics, need work / income

    I am extremely passionate about certain parts of physics, especially relativity, matter energy equivalence, forces, etc. I am over two years into my bachelors degree, and 23 years old. But I am having a very hard time affording school working at fast food restaurants and grocery stores to...
  42. I

    Estimating the rate at which the total personal income of a town is rising

    Homework Statement In this exercise we estimate the rate at which the total personal income is rising in the Richmond-Petersburg, Virginia, metropolitan area. In 1999, the population of this area was 961,400, and the population was increasing at roughly 9200 people per year. The average annual...
  43. A

    V (Voltage) or I (income) or can be convert to magnetic field?

    V (Voltage) or I (income) or ... can be convert to magnetic field?
  44. O

    PV of Income Path: Y1=100, Y2=125 & r=0.5

    Homework Statement What is the permanent income that corresponds to present value of the two period income path Y 1 =100, Y 2 =125 for the real interest rate r=.5? (Note: 50% not ½%!) Homework Equations PV = Y1 + Y2/(1+r)^t The Attempt at a Solution Correct Answer: a) 110...
  45. E

    News The American Dream: Income Equality, Mobility, and Oppotunity

    I'm sure you've all heard over and over again that income inequality in the US has increased over the years. This often leads people to conclude that "the rich are getting richer and the poor are getting poorer" and that "income mobility and opportunity are gone (or at least decresing)."...
  46. EnumaElish

    News Income Distribution: Labor Share Remains Constant, Inequality Increases

    A commonly referred "factoid" claims that within the past ___ years (or decades), the share of labor in income distribution has shrunk while that of capital has increased. However, all evidence that I've seen (mainly for the U.S.) indicate that: 1. including benefits, the income share of...
  47. R

    Yearly Income from 2.12E9 W of Energy at 1.8 Cents/kW-hr

    If the utility company sold 2.12x10^9 W of energy that they produced every second at an industrial rate of 1.8 cents per kW-hr, what would be their yearly income from this source? Give your answer in dollars. so what i was doing is this...i was converting from W-s to kW-hr 2.12E9 W-s x...
  48. 4

    Person A spends all his income ($100) on good X and composite good Y.

    Person A spends all his income ($100) on good X and composite good Y. Draw person A's budget constraint if good X sells for $5 each and each time he buys 5X, he receives a coupon redeemable for one unit of good Y. How would you draw this graph?
  49. Evo

    Alcohol use helps boost income: study

    Oh now this is preposterous. I agree that in "sales" socializing in places where you can meet potential clients can result in more sales, but I don't see how Zz or Moonbear cruising bars and tying one on will increase their income. Also, you do not need to drink alcoholic beverages just...
  50. E

    Creating an Income Stream with a PF-Type Website

    do they make money? how much money can one make by having a website like pf?