I cannot think what else I might add…
- Disposable income is net income. It’s the amount left over after taxes.
- Discretionary income is the amount of net income remaining after all basic necessities are covered.
- Economists monitor these numbers at a macro level to see how consumers are saving, spending, and borrowing.
- An asset that is not being used as collateral on a loan and may therefore be sold or donated. In other words, an available asset is any asset with no restrictions on its use.
- See: Liquid asset.