Definition of Disposable Personal Income (DPI) | Spending Money

Accounting Definitions

Browse terms alphabetically

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Disposable Personal Income Definition

Short Definition

Disposable Personal Income (DPI) is how much money a person has to spend after taxes and any other mandatory withholdings are taken from their paycheck.

Extended Definition

Disposable personal income is the total amount someone has after taxes to spend on necessities, like housing and food. It is calculated as DPI=gross wages-taxes. Economists use DPI to look at how much money is actually available to spend in a specific area.

Related Article

What is Disposable Personal Income?

Get Started
Try it free

Sign up today for a free, no-obligation 30-day trial.

Try It Free for 30 Days
Get Started
Take a demo

Kick the tires with a free self-guided demo.

Take a Self-Guided Demo