Active Income

What does it Mean? Income for which services have been performed. This includes wages, tips, salaries, commissions and income from businesses in which there is material participation.
Investopedia Says... There are three main categories of income: active income, passive income and portfolio income. These categories of income are important because losses in passive income generally cannot be offset against active or portfolio income.

Terms Related Links

Income
Passive Activity
Passive Income
Portfolio Income
Social Security
Taxable Income

Terms Related Links
Protecting Your Income Source - Social Security benefits can be hard to collect. Should disability insurance be a part of your financial plan?

Income Distribution - A paper by Ruben Cohen on the dynamics of wages, incomes and earnings.

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