active income
Money from work
Active income is money earned through direct effort or participation—wages, salaries, tips, commissions, and profits from businesses where you materially participate.
The term exists mainly in contrast to passive income, which comes from investments or ventures requiring little ongoing work.
Tax rules often treat active and passive income differently: Most of my active income goes to taxes, but rental income gets better treatment.
- earnedGained by effort
- salaryFixed periodic employment payment
- wagesPayment for work
- take-home payEarnings after withholdings
- paycheckCompensation for labor
bread and butter · hustle · side hustle · gig work · working · labor · job · day job · employment · commission · tips · hourly · overtime · sweat · sweat equity · elbow grease · grind · trading
active incomepassive income
Money earned without labor
unearned income · investment income · dividend income · interest income · rental income
active, income, act, action, actions, actor, actors, actress, activate