Personal income is defined as which of the following?

Personal income is defined as which of the following?

• A. Your own money that you have earned or have been given
• B. Taxes paid to the government
• C. Money set aside for future
• D. Debts owed

Answer: (A)

Personal income is the money you personally receive. It includes what you earn from work—like wages, salary, and tips—and money you might be given, such as gifts or other small sources of funds. It’s the funds you can use for spending, saving, or investing. It doesn’t include money paid to the government as taxes, nor money set aside as savings, nor money you owe as debt. So the option that describes money you have earned or been given best matches the idea of personal income. For example, if you earn $2,500 this month and receive a $200 gift, your personal income for this period is $2,700.

Personal income is the money you personally receive. It includes what you earn from work—like wages, salary, and tips—and money you might be given, such as gifts or other small sources of funds. It’s the funds you can use for spending, saving, or investing. It doesn’t include money paid to the government as taxes, nor money set aside as savings, nor money you owe as debt. So the option that describes money you have earned or been given best matches the idea of personal income. For example, if you earn $2,500 this month and receive a $200 gift, your personal income for this period is $2,700.