earned income

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Earned income

Compensation earned from employment, which includes wages, salary, tips, and compensation.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Earned Income

Income from salaries, wages, commissions, tips, bonuses, and any other source related to the work one does. Earned income specifically excludes income from investments. Earned income is taxed at one's regular income tax rate. See also: Marginal tax rate.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

earned income

Individual income, such as commissions, salaries, and bonuses, that is derived as compensation for personal services. Compare unearned income.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.

Earned income.

Earned income is pay you receive for work you perform, and includes salaries, wages, tips, and professional fees.

Your earned income is included in your gross income, along with unearned income from interest, dividends, and capital gains. If you have earned income, you're eligible to contribute to an individual retirement account (IRA).

Dictionary of Financial Terms. Copyright © 2008 Lightbulb Press, Inc. All Rights Reserved.

earned income

that part of a person's income earned from employment or self-employment (WAGES, SALARIES, FEES. COMMISSIONS and PROFITS). By contrast unearned income derives from the ownership of assets (interest and dividends from investment, rents from property, etc.) or can take the form of unemployment benefits, old age pensions, etc. See INCOME.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson

earned income

the return accruing to LABOUR for work done. The distinction between earned and unearned INCOME is made by the INLAND REVENUE for ease of assessment and collection of INCOME TAX. Earned income comprises WAGES, SALARIES, FEES, COMMISSION and PROFITS attributable to sole proprietors and partners within partnerships. Unearned income, by contrast, is primarily the return accruing to NATURAL RESOURCES and CAPITAL in the form of rental income, DIVIDENDS or INTEREST received. Earned income is generally taxed progressively, commencing with a tax-free income band and progressively increasing the rate of TAXATION in predetermined bands of income as income increases.

The distinction between earned and unearned income is not a valid one in economics as all FACTORS OF PRODUCTION can be said to ‘earn’ income. Even from the taxation authorities'view, the distinction has been controversial, the argument being put forward that unearned income is the result of investing from the SAVINGS of income previously earned. See INCIDENCE OF TAXATION, PROGRESSIVE TAXATION.

Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005

Earned Income

Earned income is income for services rendered as distinguished from income generated by property or other sources. Earned income includes amounts received as wages, tips, bonuses, other employee compensation, and self-employment income, whether in the form of money, services, or property. The definition of earned income is not the same for all income tax provisions. For example, alimony is treated as earned income only for purposes of determining how much an individual can contribute to an IRA.
Copyright © 2008 H&R Block. All Rights Reserved. Reproduced with permission from H&R Block Glossary
References in periodicals archive ?
The belief that: 'What you earn determines how you spend' seems to have superseded love.
According to figures from the Office for National Statistics (ONS) women working full-time in the Huddersfield parliamentary constituency earned an average of PS23,786 a year in 2018.
"Hunger is real and women are now fighting for 50/50 representation, so why not date someone who earns more even if she is older?" were some of the comments given by the men especially from the informal settlements.
MAN will typically have earned PS1 million by the age of 51 during his working life but a woman will have to wait until her 70th birthday to do the same, according to analysis of official figures.
By the time the average worker has earned their first million they will have paid around PS123,300 in tax and PS93,200 in national insurance, according to Prudential, which looked at average earnings from the Office for National Statistics (ONS) to make the calculations.
* The gap between men's and women's salaries begins immediately upon entering the workforce, with women earning 80 of what men earn one year out of college.
But Hanks also earns from films and TV shows he produces.
Once they earn their college degrees and embark on careers, many CPAs are perfectly happy never to see the inside of a classroom again.
Of the respondents that work in sales and marketing, the largest subgroup (27.8%) earns $76,000 to $100,000 annually while the next largest group (19.5%) earns $51,000 to $75,000.
When she adopted James four years later, she says, "He didn't come with much, and I wanted to spoil him." She charged more than $22,000 on gifts but has been able to eliminate most of that debt using money earned from summer jobs.