Enter the base income ($) and the change in expenses ($) into the Calculator. The calculator will evaluate the Income Erosion.

## Income Erosion Formula

IE = BI - CE

Variables:

- IE is the Income Erosion ($)
- BI is the base income ($)
- CE is the change in expenses ($)

To calculate Income Erosion, subtract the change in expenses from the base income.

## How to Calculate Income Erosion?

The following steps outline how to calculate Income Erosion.

- First, determine the base income ($).
- Next, determine the change in expenses ($).
- Next, gather the formula from above = IE = BI – CE.
- Finally, calculate the Income Erosion.
- 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.

base income ($) = 4000

change in expenses ($) = 200