Enter the total income ($) and the total expenses, including tax, into the Calculator. The calculator will evaluate the Discretionary Income. 

Discretionary Income Formula

DI = I - E


  • DI is the Discretionary Income ($)
  • I is the total income ($)
  • E is the total expenses, including tax

To calculate Discretionary Income, subtract the total expenses from the total income.

How to Calculate Discretionary Income?

The following steps outline how to calculate the Discretionary Income.

  • First, determine the total income ($). 
  • Next, determine the total expenses, including tax. 
  • Next, gather the formula from above = DI = I – E.
  • Finally, calculate the Discretionary Income.
  • After inserting the variables and calculating the result, check your answer with the calculator above.

Example Problem : 

Use the following variables as an example problem to test your knowledge.

total income ($) = 3000

total expenses including tax = 2000